Report on Disruptive Technologies: Uber's Influence on Taxi Companies

This report examines the disruption of the taxi industry by companies such as Uber and Ola, focusing on the foundational role of information systems. It explores how these companies leveraged technology to meet customer needs more effectively, offering services at lower costs and with improved quality. The report highlights the importance of innovation, particularly disruptive innovation, in adapting to changing market demands and technological advancements. It analyzes the strategies of Uber, including diversification into new services like Uber Boat and electric bike startups, and their focus on artificial intelligence and IoT to enhance customer experience. The conclusion emphasizes the significance of dominant strategies and disruptive information technology in reshaping the taxi business landscape and satisfying customer needs.

FOUNDATIONS OF
INFORMATION SYSTEMS

Contents
INTRODUCTION...........................................................................................................................3
Disruptive companies like Ola, Uber and Lyft impacting the business of taxi companies.........3
What is the next Uber/Taxi paradigm?........................................................................................4
CONCLUSION................................................................................................................................4
REFERENCES................................................................................................................................5

INTRODUCTION
People, hardware, software, data, and networks, are the five basic resources of information
systems. Data resources are transformed by information processing activities into a variety
of information products for end users. Information processing consists of input, processing,
output, storage, and control activities. This report highlights the issues that has affected the
business of taxi operators and make way for the companies such as Ola and Uber into the market
(Nechkoska, 2020).
Disruptive companies like Ola, Uber and Lyft impacting the business of taxi companies.
The business of taxi companies is on the urge of leaving the market it is because they are
struggling to meet the needs of people on the basis of their expectations in the market. There are
many reasons of success for Ola, Uber etc. and many reasons for the failure of taxi business. One
of the most important is considered is harnessing the system of information through which they
are able to make changes in their model of business and improve the offering of the service as
per their requirements of the customers. It is because of this that they are able to offer their
services in low cost and improve the quality of it. It is the innovation in their culture that has
helped them to harness their business. These companies have served as per the needs of the
customer such as they offer carpool services which reduces the cost for customer and help the
driver to earn more. All these things have been possible because of information technology and
its harnessing properly. In order to do that they have invested in the area of research and
development so that they can manage the forces of business and cater the needs of people on the
basis of technological advancements (Ghawe and Brohman, 2018).
Disruptive innovation-
This aspect analyzes that innovation which can be disruptive for the innovation. It focus
on sustaining the level of innovation in the market with the help of using technology that is
innovative so that it gets easy for the customers as they get easily solution to their problems. For
instance earlier customers had to explain where the cab has to reach and it took time to reach the
driver at the asked destination and also due to less availability cabs had to book earlier so that
they could get it on time. But now with the help of technological advancements companies such
as Ola and Uber have introduced their own app through which they can get their cab anytime
anywhere at their own convenience. These are the dominant solutions by the company which

affected the sector of taxi business. Still this aspect requires constant upgrade and change with
time so that it does not become obsolete because it is linked with technology (DeLone and
McLean, 2016).
What is the next Uber/Taxi paradigm?
Currently Uber is focusing on making its portfolio for offering their services diversified and
unique so that they can attract and serve more customers through which they will be able to increase their
revenue and share in the market. Recently the company has launched new and different range of services
such as Uber Boat which will surf on river and take the passengers to one access point to another so that
they can reach faster as there will be no traffic. This was the idea behind the start of the service. Other
than this they also introduced mini helicopters through which they can travel in air and reach immensely
fast but because of some left documents and permissions that thing is still at wait. They are doing
everything they can to improve the experience of customers and increase their reach in the line of cab
business. They have also bought the shares of electric bike startup company Jump through which they can
reach to the place in a eco friendly measure. It is considered as useful in metro cities where there is high
amount of traffic. The company is keen to that way of transport which is futuristic and linked with
artificial intelligence through vehicles can run automatically, other than this technologies are linked with
IOT which is used by people in their daily life. Companies that are dealing in the line of automotive
sector is working on complying with these factors so that they can change the structure of the company
and this will also help Uber to satisfy the needs of people (Bishop, 2019).
Also if Uber use resources that benefits to the society and preserves the aspects of society which
will also help them to get the support of government to carry out their activities. The activities undertaken
by the company are considered as rare as they are futuristic and they want to be the first mover of
anything that is emerging in the market. This way they are taking initiatives and complying with the
change of paradigm shift in the sector. The vision of the company is clear, flexible and adaptive so that
they lead into the market and are enthusiastic in nature, this is the reason why they invest in new areas
and projects so that they can explore new ventures. Uber has announced that they will make changes in
their application so that all the other initiatives taken by them can be included in the app and be ready for
the customers (Basden, 2017).
CONCLUSION
From the above studies it has been concluded that it is the dominant strategies and disruptive information
technology that has helped companies such as Ola, Uber to conquer the share of taxi business and shut

their business. They adapted the right use of technology and with the help of innovative ideas they were
able to attract customers and serve their needs as per their requirement.

REFERENCES
Books and Journal
Basden, A., 2017. The foundations of information systems: Research and practice. Routledge.
Bishop, S., 2019. The Foundations of Information Systems: Research and Practice, Andrew
Basden: book review. Journal for Christian Scholarship= Tydskrif vir Christelike
Wetenskap, 55(3-4), pp.239-241.
DeLone, W.H. and McLean, E.R., 2016. Information systems success
measurement. Foundations and Trends® in Information Systems, 2(1), pp.1-116.
Ghawe, A. and Brohman, K., 2018. Conceptual Foundations of Information Systems Leadership.
Nechkoska, R.P., 2020. Theoretical Foundations: Management—Information Systems—
Complexity. In Tactical Management in Complexity (pp. 65-134). Springer, Cham.