Challenges and Opportunities of Uber Business: A Comprehensive Analysis
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Added on 2023/06/04
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This presentation provides a comprehensive analysis of the challenges and opportunities faced by Uber business. It covers key issues, challenges, opportunities, and the business model of Uber. The presentation also provides recommendations to overcome the challenges faced by Uber business.
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INTRODUCTION -Uber business was founded in 2009 as Ubercap. -Founders of Uber company are Garrett Camp and Travis Kalanick. -Uber is a private company.Attaran, (2017 p.11)it is a service delivery and a transport network company. -Access to products and services offered by Uber is done through; mobile application ,websites. Services provided by Uber I.Access to individual or group ride II.Food delivery services III.Flexible shipping IV.Simplifying employee’s travel V.Urban air transportation
Key issues facing Uber California ruling against Uber Tax liabilities on employees Risk when operating in states that Uber has been banned,Teece, (2018 p. 46) Increased operational risk Threat of new new entries Low profit margin Challenges of Uber business -Even playing ground,Attaran, (2017 p. 18) -Sexual harassment and crime activities -Uber drivers classification -Inaccessibility of wheelchair
Opportunities of Uber business -Acquisition of new big market in countries where taxis are expensive and inconvenience,Norman, (2017 p.26) -Reduction in customer’s waiting periods due to increase in uber drivers. -Transportation of patients to hospital and children to school. Competitive advantage of Uber business -Good effective and strong network -Uber brand and name has good reputation to the society at large, (Foss, and Saebi,2018p.14) -Regulations avoidance hence reducing costly expenses -Excellence operation of the business hence making transport industry less competitive.
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BUSINESS MODEL AND BUSINESS PROPOSITION OF UBER KEY PARTNERS Includes: Drivers together with their cars Processors of payments Map APL or location providers The investors STREAMS OF REVENUE Overflow pricing Rideshare by uber, Uber taxi Car rides Uber cargo STRUCTURE COST Payment of salaries to permanent employees Start new events and new market expenditure Tech infrastructure CUSTOMER SEGMENTS: USERS •Those who want a cab with low cost •None car owners •Those who want to be driven to parties and functions •Those who like to be treated as VIPs KEY BUSINESS ACTIVITIES; Hiring of drivers Customers’ support Development and management of products Management of drivers’ payout Acquisition of customers and market CUSTOMER RELATIONSHIP: •Support from customers •Social media •Reviewing, rating of the service and feedback system BUSINESS VALUE PROPOSITION Customers Reduction of waiting time No hiding of cash Reduced transport cost from the normal taxis CUSTOMER SEGMENT: DRIVERS •Those who have their own cars and want to earn money •Those who love driving •Those people who wish to be called partners rather than drivers KEY RESOURCES: Skilled employee/ drivers Technological platform BUSINESS CHANNELS •Mobile application •Websites BUSINESS VALUE PROPOSITION Driver
Recommendation to challenges facing Uber business I.Even playing ground,Srnicek, (2017 p.258) II.Drivers to be finger printed III.Drivers’ classification IV.Accessibility to wheelchairs Conclusion Even though Uber business has some challenges, its strengths such as its reputation and brand,Schoemaker et al. (2018 p. 81)very minimal competition, low operation cost and a high standard of service make it the best industry in transportation.
References. -Amankwah-Amoah, J., Osabutey, E.L. and Egbetokun, A., 2018. Contemporary challenges and opportunities of doing business in Africa: The emerging roles and effects of technologies. Technological Forecasting and Social Change, 131, pp.171-174. -Attaran, M., 2017. The internet of things: Limitless Opportunities for business and society. Journal of Strategic Innovation and Sustainability Vol,12(1), p.11. -David, C. and West, R., 2017. NDIS Self‐ Management Approaches: Opportunities for choice and control or an Uber‐style wild west? Australian Journal of Social Issues,52(4), pp.331- 346.
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Norman, D., 2017. Design, business models, and human-technology teamwork: As automation and artificial intelligence technologies develop, we need to think less about human-machine interfaces and more about human-machine teamwork.Research-Technology Management, 60(1), pp.26-30. Schoemaker, P.J., Heaton, S. and Teece, D., 2018. Innovation, Dynamic Capabilities, and Leadership.California Management Review, p.0008125618790246. Srnicek, N., 2017. The challenges of platform capitalism: Understanding the logic of a new business model.Juncture,23(4), pp.254-257. Teece, D.J., 2018. Business models and dynamic