Report: Business Environment and Strategic Management Analysis of Uber

This report analyzes Uber's business environment and strategic management, addressing the impact of regulatory structures and the company's growth strategies. The analysis examines whose interests are served and not served by existing regulations, as well as the tactics employed to preserve them. It further explores Uber's growth strategy, identifying key impediments and the company's approach to overcoming them, including its disruptive innovation model. The report highlights Uber's adversarial approach to innovation, evaluating its effectiveness in gaining market share and creating a competitive advantage, while also considering potential downsides such as market monopolization and potential exploitation of customers. The study references multiple sources to support its findings and provides a comprehensive overview of Uber's business operations within a dynamic market environment.

Running head: BUSINESS ENVIRONMENT AND STRATEGIC MANAGEMENT
BUSINESS ENVIRONMENT AND STRATEGIC MANAGEMENT
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Answer to question 4
 The interests of the organization are served thought he different regulatory impositions
that are being made by the legislative and regulatory authorities. It has been observed
throughout the case that the concerned organization Uber received an enormous support
from the users due to their explicit service quality. The regulatory impositions acted as
negative promotional strategy for the organization while minimizing their efforts in
advertising their services publicly.
 The state authorities and the Taxi Council boards took the initiative of downsizing the
growth of the organization in San Francisco, California, New York and the like.
However, their efforts of subduing the organization was not fulfilled through the
enormous support that the organization received from its users who are benefitted
through the services. It has been observed from the case analysis that several ordinances,
bills and objections were passed in the name of the organization and its operations (Pan
& Qiu, 2018). However, the organization survived all the impediments through their
acclaimed innovativeness.
 The CEO of the organization, Kalanick, also faced an elevated risk of imprisonment and
heavy penalties as the organization had no license for providing quick picks. Through all
the challenges the organization managed to create a public image and created loyalty
among the customers through their distinguished propositions.
 The support from the clients and customers reflected the brand image of the venture and
the manner in which the regulatory challenges that the same faced increased the brand
value. Therefore, the regulations and legislative impositions enabled the organization in

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gaining a maximum exposure in the markets without investing much on promotions and
advertising.
 On the other hand, it has been observed that the existing taxi organizations encountered
losses with the growth and expansion of Uber in the different new markets. The
distinctive services that are proposed by the organization enabled the same in ensuring
market growth while empowering the loyalty and commitment of the customers towards
using the services that are proposed by the business.
 The increased threat of competition in the markets have disabled the existing businesses
in upholding the effectiveness of the business operations while operating as per the
common goals of the venture. It has been observed that the technological innovations that
were made by the concerned organization outnumbered the sales volume of the other
existing organizations in the cab industry in the different regions. Therefore, the growth
of Uber, irrespective of the regulatory and legal impositions affected the capability of the
existing businesses in retaining their sustenance.
Answer to question 5.
 The growth strategy that was initiated by Uber specifically aimed at inducing
technological innovations in the business practices while influencing the service
propositions in accordance with the changing demand of the customers. The organization
aimed at introducing their services in the different markets without adhering to the
common legislations or regulations which created a scope of negative promotion for the
venture widening the scope of promotions.
 From the case study it has been identified that the concerned organization followed a
disruptive strategy where the propositions made by the venture brought about significant

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changes in the way of doing business in the cab industry in economies like San Francisco,
New York and Canada. The organization aimed at adhering to the needs of satisfying the
customers which empowered their means of increasing the experience that the same
focused at providing to the customers.
 The CEO of the organization commented in the case that regulators and legislations are
specifically imposed with the purpose of ‘stifling’ innovation. Improved innovativeness
of the organization supported the same in gaining a significant market share while
operating in the different economies (Kim, Baek & Lee, 2018). Therefore, the
organization focused more on improving the quality of the service deliveries as per the
changing needs of the customers rather than adhering to the legislative and regulatory
frameworks which enabled the venture in gaining a competitive edge over the existing
market players.
 Uber’s adverisal approach to innovation is correct as long as the company aims at
providing the customers with better services than the existing players. However, the
approach might be criticized on the basis of market monopolization which might result to
exploitation of the customers and the saturation of the industry in the regions. The market
monopolization related criteria might affect the capability of the existing players in
conducting their businesses in the existing markets which might again result to
exploitation of the customers. Moreover, the market monopoly would also affect the
capability of the customers to bargain on the price of the service propositions which
might result to unethical practices.

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References
Kim, K., Baek, C., & Lee, J. D. (2018). Creative destruction of the sharing economy in action:
The case of Uber. Transportation Research Part A: Policy and Practice, 110, 118-127.
Pan, Y., & Qiu, L. (2018). Is Uber Helping or Hurting Mass Transit? An Empirical
Investigation. An Empirical Investigation (October 1, 2018) .NET Institute Working
Paper, (18-11).