The document analyzes factors for choosing Amritsar as a city for Uber to expand into. It finds that Amritsar has high intra-city transportation costs relative to income, making Uber potentially more affordable. Average trip distances in Amritsar are also short at 4.5-5 km, enhancing Uber's profits. Amritsar is a compact, populous city with many tourists, companies, and colleges, providing strong demand for Uber's services. The document recommends Uber launch a special "UBER ta Punjab" campaign offering fixed fares to visit popular tourist destinations to take advantage of this opportunity in Amritsar.

1. The city that we have chosenis Amritsar after consideringthe followingfactors: -
1. Cost of Intra Urban Transport (RefertoExcel Sheet1):- The Costof intraurban transportin
relationtoaverage citizen’sincomeishigh.Thiscanbe inferredfromthe analysisprovidedin
the excel sheet.The Populationdensityof acity declinesexponentiallyandcanbe quantifiedas
A* (e) ^ (-b*r),where ris the distance fromthe densestregion(orthe citycenter).The value of
coefficientbforAmritsaris0.63 whichindicatesthatdensitydeclinessharplywithincreasing
distance fromthe city center,i.e. itisa compactcity. Since bis largelydependentuponthe cost
of intraurban transport(citizens donotwantto spenda substantial portionof theirincome on
travellingand the city doesnotspreadout),itis clearthat the cost of travellinginrelationto
average citizen’sincomeisquite high inAmritsar,thusprovidinganopportunityforUber.
2. Price Competencyfor Customers(RefertoExcel Sheet2): - From the excel datasheet,itcan be
observedthatUberwouldbe 20-40% lessexpensiveforthe customersascomparedto Ola.
UberGo wouldonlybe around5% more costly than OlaAuto. The customerswouldbe attracted
towardssuch an offering.
3. Shorter Average Trip Distance (RefertoExcel Sheet3): - Using Populationdensitymapand
approximatingdense andmediumdense regionasa circle,we observe that86% of the city
population residewithinanareaof around 44 sq.km. Usingmathematical theoryondiskpoint
picking(average distance between2pointsona disk),we observe thataverage tripdistance in
the city (foran Uber) wouldbe between4.5and 5 km. Thiswouldenhance the profit/tripfor
Uber as the ratio of base price to Trip distance orTrip Fare wouldbe higherforshortertrips.
4. Tourism: - Amritsarishome to the mostfamous Sikhshrine, the HarmandirSahibapartfrom
havingheritage sites/placessuchasJallianwalaBagh,Wagahborder,etc.Thus, more than1 Lac
touristvisitthe cityon a weekday,whosetravellingneeds are tobe cateredto.
5. Numberof companies/colleges:- Amritsarishome toaround200 companiesandseveral
educational Institutes,thusmakingitaviable optionforUber.
6. Other factors: - Amritsarhas bettercreditcardpenetrationthanLudhiana andJalandhar(used
for paymentof Uberrides),hasa fasterincome growthrate than ChandigarhandJalandhar
(around10-12% peryear),makingitthe bestalternative amongstthe fourcities
Recommendation:- A NewCampaign for the City.
Uber shouldlauncha special package for customersthatwishtovisit historical placesinand
aroundAmritsarwitha campaignname “UBER ta Punjab” thatwouldoffera single fare for
GoldenTemple,JallianwalaBagh& Wagah Border.The distance betweenRailwaystation/Bus
standto Wagah borderis more than 20 km makingthe travel a cumbersome activityforthe
tourists.
WhyUBER TA PUNJAB: - It clearlymeans“ShiningUBERwith ShiningPunjab” that wouldrelate
it to people’ssentimentwhichisextremelyimportantaswe are launchingitina new citywith
alreadyestablishedcompetitioninformof Ola,hence itisveryimportanttocome up witha
strategythat isdifferentiatingandhascost competency.UBERTA Punjabwouldrequire
marketingplatformssuchasadvertisementthroughTV Commercial,RadioandHoarding,sothat
people couldwelcome thisnew campaigninabettermanner.
Overall UBER hasa greatopportunityinAmritsarandit isveryimportantto utilize this
opportunityasitwouldprovide itwithabase for othercitieslike Ambala,JalandharandPatiala.