Drivers of Change Impact on Uber Business Model and Industry Analysis

This report examines the impact of various drivers of change, particularly technological and socio-economic factors, on Uber's business model and its disruption of the taxi industry. It begins with an introduction to the concept of drivers of change, differentiating between technological, demographic, and socio-economic drivers. The discussion section delves into the specific impact of these drivers on the taxi industry, highlighting Uber's innovative approach through its sharing economy model and the role of technological advancements like cloud technology and smartphones. The report emphasizes how Uber has addressed inefficiencies in resource allocation, improved safety, and offered cost-effective services. Furthermore, it explores the future implications of artificial intelligence and robotics on Uber's business operations. The conclusion summarizes the key findings, underscoring the significance of innovation driven by the three types of drivers of change, and how Uber successfully leveraged these changes to transform the taxi industry. The report cites relevant academic sources to support its analysis.

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Impact of Drivers of Change on Uber
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Table of Contents
Introduction......................................................................................................................................2
Discussion........................................................................................................................................2
Brief on Drivers of change..........................................................................................................2
Impact of Drivers of Change in Taxi Industry.............................................................................4
Conclusion.......................................................................................................................................4
Reference.........................................................................................................................................6

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Introduction
Technological changes are the major that the world needs to grow beyond its limit. The
development of the world has been occurring since ancient times and the contribution of
technology in this is immeasurable. With every innovation, the world has moved a step forward.
The industrial revolutions has changed the socio-economic structure of the world significantly.
This report discusses about such drivers of change that has been causing the innovation in the
world taking it to the new heights. Therefore, the aim of the report is to discuss about the
importance of drivers of change in technological innovation.
Discussion
Brief on Drivers of change
The world is currently going through major technological changes. These technologies
are of high potential and can change the world significantly (Aydalot 2018). The technological
changes are actually occurring due to five major innovations and they are robotics,
biotechnology, artificial intelligence, 3D printing and machine learning (Chen et al. 2019). The
innovations are said to bring the fourth industrial revolution. During this industrial revolution,
many sectors will face tremendous surge and many will extinct. The technologies with highest
potential are robotics, artificial intelligence and machine learning. Innovation and technology are
the words that are pronounced together. With innovation technological progress occurs. Any
innovation that occurs in the world are meant for improving the socio-economic structure of the
world. However, innovation are done based on the socio-economic needs. These needs for
innovation are called the drivers of change (Andrew 2017). The drivers of change are of three
types and they are technological driver, demographic driver and socio-economic driver. The
drivers of change indicates the problem the world is going through and solve those problems

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innovation is done. Demography is related to the population of the world. Thus, change in
aspects of population changes the demography of the world. The population of the world cannot
grow forever and there should be limit to it unless demand exceeds the supply (Gurevitch et al.
2016). The resources are limited in the world, thus efficient use of resources are necessary, and
thus innovation is required in the world. Thus, demographic changes demand for innovation.
Technological driver of change is one of the reason due to which the world is seeing so much
changes every day. The economy has grown to its potential due to the technological changes that
occurred so far. Technological disruption has always brought major changes in the economy.
The current changes that the world is witnessing are due to the technological changes like
improvement in energy resource, internet of things, internet, and cloud technology. These
technologies have advanced the economy to new level. The development of world is majorly
measured on the parameter of socio-economic changes. Thus, it is the most important drivers of
change. The changes in the socio-economic aspect of the world acts mostly as the drivers of
change. The possible socio-economic changes could be change in financial status, type of work,
fast urbanization, empowerment of women, ethical and privacy issues (Abit et al. 2018). The
significant change that has occurred in the world economy is due to the socio-economic and
demographic change. There is improvement in the utilization of resources and they are
significant changes. The trade in the world has reached new heights. There is efficient use of
office spaces. The major reason for this increased utilization of office space is the idea of co-
working space. The culture of work has change and lot with the improvement with changes. The
technological changes have supported every changes in world economy that occurred due to the
existence of other drivers of changes. The drivers of change has impact on the business model of

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the companies significantly. The concept of sharing economy and knowledge economy has
emerged with the improvement occurred due to drivers of change.
Impact of Drivers of Change in Taxi Industry
Uber is has brought change in the taxi industry by introduction of its new business model based
on the sharing economy (Schor 2016). The change that occurs in the taxi industry is driven both
by technological and socio-economic drivers of change. The taxi industry has been inefficient in
resource allocation and utilization. Along with that, riders needed privacy and safety while
travelling. Uber thus with the help disruptive technology and disruptive business model the
company has been able to solve the problem the problem of the industry and its customers.
However, the disruption brought by Uber was possible due the technological advancement
mainly cloud technology and innovation of mobile phone into a smart phone (Perara and
Albinsson 2020). The sharing economy concept is very much disruptive in nature and thus it is
able to penetrate the economy at a significant pace. The contribution of Uber and thus sharing
economy in improving the condition of the taxi industry is tremendous. The cost of waiting has
been mitigated, the availability of taxi has increased, riding taxi is now safer than before, there
are options for various kind of payment mode and most importantly, the cost of riding taxi has
reduced than before. With the sharing economy and internet of things, Uber has successfully
captured the taxi industry. The future of technical disruption is going to be very significant
because of artificial intelligence and robotics (Huckle et al. 2016). The impact of these two
technologies on the business model of Uber will be significantly high.

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Conclusion
From the above discussion of drivers of change, it can be concluded that innovation is
very much important for world economy to improve and grow. However, innovation is driven by
the three drivers of change and they are demographic change, technological change and socio-
economic change. These changes directs the path of innovation and thereby disruptions occur in
the economy. Addressing the drivers of change Uber the app cab giant brought in the disruption
in the taxi industry. The problems that where existing in the industry since emergence of the
industry has now been solved. The business model based on sharing economy, the technological
changes occurred in the information, and communication technology has support the company to
improve the efficiency of the industry.

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Reference
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Gurevitch, J., Fox, G.A., Fowler, N.L. and Graham, C.H., 2016. Landscape demography:
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