MARK935 - UBER's Strategic Management: Marketing Strategies Analysis

This report provides a comprehensive analysis of UBER's strategic management, examining its goals, strategies, and marketing initiatives. It begins by defining UBER's objectives, including the ambition to revolutionize private car ownership, take a leading role in public transportation, and launch UBER Air. The report then outlines the company's strategies, such as the early adopter strategy, referral programs, and partnerships with local taxi services. A key component is the application of SMART objectives to maintain global recognition, enhance customer loyalty, and increase the number of drivers. The report also delves into UBER's marketing strategies, particularly its use of disruptive innovation, including the elimination of transaction costs, the implementation of innovative technology, and the application of a dynamic pricing model. The analysis also covers the importance of quality control and strategic partnerships. The report concludes with a list of references. The assignment is a response to the MARK935 International Marketing Strategy brief, focusing on the analysis of a company's current situation, the development of goals and SMART objectives, and the creation of a marketing strategy.

Running head: MANAGEMENT
Strategic management of UBER
Name of the student
Name of the university
Author Note:

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Table of Contents
Definition of the goals and strategies.........................................................................................3
Goals of UBER......................................................................................................................3
Strategies of UBER................................................................................................................4
SMART Objectives of UBER................................................................................................4
Application of Marketing Strategies..........................................................................................6
References..................................................................................................................................7

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Definition of the goals and strategies
Goals of UBER
Uber technologies is an American multinational ride hailing company that offers
various types of ride services like peer to peer ridesharing, ride service hailing, food delivery
and also bike rides (uber.com 2020). With an operating income of $3.033 billion, and more
than 30,000 employees, the company is one of the largest ride hailing services of the globe.
Some of the major goals of the company are as follows;
a. Putting an end to the private car ownership system- The management of Uber has
plans to develop such a system that there will be no need for the private cars to
operate. The system to totally mitigate the needs for the private car ownership system
has already started with the company providing a subscription plan for the customers.
These subscription plannings are of different categories based on the ride necessities
and the frequency of travel of the customers (uber.com 2020). However, the company
needs to provide great value for such offers as customers will search for all the
pleasures and luxuries of owning a car in such a system. On the other hand, the
company also claims these plans to be a big step towards the reduction in the carbon
emissions and pollution in air.
b. Taking over the reins of the public transportation system- The Company has plans to
take over all the different public transportation systems across the world. However,
the management of the organization has been able to manage just 1% of the total
aimed systems (Skok and Baker 2018). Though there have been some questions on
whether a profit seeking company like Uber could be allocated the total system of
public transportation, the presence of world quality safety standards and the
implementation of the technological standards can help the management to ensure

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great success for their venture (uber.com 2020). There are some examples of cities
where the authorities of the cities have provided Uber the necessary permission and
licence to fill in the shortcomings of the present public transportation systems (Baron
2018). Thus Uber has to manage these goal in a proper and efficient manner to ensure
business success.
c. Launching of the UBER Air- The launch of the air taxi services is the ultimate goal of
the organization. The flying air taxi, according to the analysts of the organization has
a potential of around $5billion (uber.com 2020). Other major companies have also set
an eye on the same sector and thus Uber wants to be the very first in the development
and launch of the air taxi services.
Strategies of UBER
Some of the strategies of Uber are as follows;
a. Early adopter strategy
b. Referrals
c. Involving local taxi service companies
d. Partnerships with other ride hailing services
SMART Objectives of UBER
The objectives and their smart analysis has been provided below;
a. Objective 1- Maintain global recognition
Specific-The Company needs to uphold its reputable name to maintain the root of its
success
Measurable- The Company has to carry on measures to improve its reputation. Such an
action can ensure its stability

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Achievable- The implementation and use of the resources
Realistic- The Company can easily maintain its reputation given its current rate of success
Time based- The deadline for the maintenance of its reputation is infinite and it can be
important for success
b. Objective 2- Customer loyalty and value for money
Specific- The major issue for the organization is the customer loyalty as it is the key to
success
Measurable- The statistics that can determine the loyalty of the customers are used to
measure loyalty
Achievable- The objectives are met by applying them on the drivers and the users of Uber
Realistic- The objective is a reality as such a survey can ensure success for the company
Time based- Customer loyalty as well as the loyalty of the drivers can take immense time
to be achievable
c. Objective 3- Rise the number of drivers to reduce waiting time
Specific- Increasing the incentive and offers for the drivers. This can lead to rise in
revenue
Measurable- Uber business statistics can provide the exact figures relating to the objective
of raising the driver numbers
Achievable- The objective lies within the capability of the company to elevate the
resources
Realistic- The objective is realistic as increasing the number of drivers can help to gain
success

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Time based- The task can be completed on an infinite deadline as the situation and need
of the time will be considered for doing so
Application of Marketing Strategies
The management of Uber uses different kinds of disruptive innovation strategies that
helps the company to increase its footprint across the global cities. Some of the major
strategies includes the likes of;
a. Elimination of the different kinds of the transaction costs- The mitigation of the
transaction cost while reservation of a car has made Uber stand out from the others.
The absence of such a service strategy in the conventional ride sharing cabs has
helped the organization to gain success.
b. Use of innovative technology- The development and implementation of innovative
technology has further made Uber an innovative on and the strategy of standing out
from the others have worked out in this particular case (Baron 2018).
c. An innovative pricing model- The variable pricing model of Uber which is dependent
on the demand of the services or under any circumstances have gain been a good
strategy that has helped the organization to address different challenges in a proper
and efficient manner (Skok and Baker 2018).
d. Quality control- The providence of the best services that includes quality luxury
services, proper fares, value for the rides and developed technology along with
security has been praiseworthy for the company.
e. Partnerships- Partnerships with different other services offering same business can be
important for the organization as such services can help Uber to develop its growth in
other countries (Grant 2016). Apart from this the implementation of the loyalty

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system of the company can also be of great help as it can easily attract more people to
use ride hailing services.

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References
Baron, D.P., 2018. Disruptive entrepreneurship and dual purpose strategies: The case of
Uber. Strategy Science, 3(2), pp.439-462.
Grant, R.M., 2016. Contemporary strategy analysis: Text and cases edition. John Wiley &
Sons.
Skok, W. and Baker, S., 2018. Evaluating the impact of Uber on London's taxi service: A
strategic review. Knowledge and Process Management, 25(4), pp.232-246.
Uber. 2020. Earn Money By Driving Or Get A Ride Now | Uber United Kingdom. [online]
Available at: <https://www.uber.com/> [Accessed 28 March 2020].
Urbinati, A., Chiaroni, D., Chiesa, V., Franzò, S. and Frattini, F., 2018. An exploratory
analysis on the contextual factors that influence disruptive innovation: the case of
Uber. International Journal of Innovation and Technology Management, 15(03), p.1850024.
Zhao, X.Y. and Su, Q., 2019, July. Existing Issues of Ride Sharing Company Operation and
Sharing Economy in China: Uber Case Analysis. In 5th Annual International Conference on
Management, Economics and Social Development (ICMESD 2019). Atlantis Press.