Impact and Influence of Macro Environment on UBER

Business Strategy
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Table of Contents
INTRODUCTION ..........................................................................................................................3
Main body .......................................................................................................................................3
P1. Impact and influence of macro environment on UBER . .....................................................3
Stakeholder analysis ....................................................................................................................4
P2 Analysis the internal environment and capabilities of UBER ...............................................5
VRIO ..........................................................................................................................................5
McKinsey’s 7S.............................................................................................................................6
Bench marking.............................................................................................................................7
Value Chain Analysis..................................................................................................................7
P3. Application of Porter’s Five Forces Model ..........................................................................9
Balance-score-card approach.....................................................................................................10
P4. Devising strategic planning ................................................................................................10
Porter's generic model ...............................................................................................................10
Ans off Matrix ...........................................................................................................................11
CONCLUSION .............................................................................................................................12
REFERENCES..............................................................................................................................13
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INTRODUCTION
Business strategy are various moves and action plans that are framed by the businesses to
accomplish their goals and get competitive advantage from other competitors in the market.
UBER technologies Inc is an American technology company which deals in offering vehicles
for hire, courier services, food delivery services etc. it is one of the largest Tax providers in the
large economy and monthly active users worldwide is estimated is over 110 million.
This report will discuss about the internal as well as external analysis of organisation which
influence on the macro environmental and strategic business growth or development.
Furthermore, It will describe about the internal environment and capabilities of given Uber
enterprise, applying the appropriate porter’s five force model in order to determine competition
level of enterprise in marketplace. However, it will identify the different theories, model, and
concept in context of strategic planning of enterprise.
 Vision- Uber’s vision is clear when they always trying to give the best transportation
service at reasonable price or cost
 Mission- mission of Uber is to expand their business across globe, while generating huge
amount of profit rate in marketplace.
Main body
P1. Impact and influence of macro environment on UBER.
Pestle Analysis of UBER
Pestle analysis is type of framework in which analysis the external macro environment of
organisation in marketplace. Pestle stands for Political, Economic, Sociological,
Technological, Environmental and Legal (Perera, 2017). These are different factors which
influence the enterprise in order to identify positive as well as negative aspect of business in
marketplace.
Political Factors- The political factor is directly affecting on the profitable rate of
enterprise, lead a chances of survival of the company are quite diverse. In country like UK,
political factors includes tax policies, fiscal policies, trade tariffs, price control which affect
the flow the business environment. With changes in the taxes policies it may directly affect the
business of UBER which may create the burden on UBER.
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On the other side relief in the trade restrictions or decrease in the trade taxes can affect
the UBER business positively and company can take competitive advantages and improve their
profitability.
Economic Factors- It is important for UBER to understand economic factor in context
of foreign exchange rate, inflation rates, labour market. these are directly affecting on the
economic condition or environment in marketplace. At certain level, it has been identified that
rise of inflation rate of UBER, which is likely to mean rise in the cost of the service. Also
employees demanded high wages which affect the business of UBER . Company overcome the
issues it they continuously improve their services and meet the satisfaction level for the
customers.
Social Factors- It includes cultural norms ,attitudes to product, consumer preferences ,
age and gender distribution, etc (Simões, 2020). UBER develop local teams and develop local
partnerships for understanding the societal norms and values of the customers that has positive
impact ion the company. Change in the customer’s lifestyle and their behaviour can have
negative impact on the UBER because they need to conduct market research to identify
customers needs.
Technological Factors- UBER uses upgraded technology, automation and research and
development which attracts the customers. Use of new updated technology attracts the customers
which helps in achieving competitive advantage. On the other side quick changes in the
technology may impact UBER because its take time to implement new teleology for the
company like UBER .
Legal Factors- this type of factor is related to the legal aspects of uber. Company will
follow some necessary rules and regulation, which is always influence staff members to follow
them in properly. Moreover, laws that affect the business environment in a certain country while
there are some policies that companies maintain for themselves. It includes consumer laws,
safety standards, labour laws etc. which affect the functioning of the business. UBER has to
follow the Consumer Protection Act and deliver safer rides to the customers. It is necessary for
UBER to follow the governmental laws otherwise they can face many problems from the
governmental institutes.
Environmental Factors- These factors are climate, weather, geographical location,
global change in climate, environmental offsets, etc. UBER uses recycle technologies which
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