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- 1. Uber Case Study Presentation Team G5 : Hussain Abdullah.Abdullah Thawaba .Emran AlMakhthi . Abdulsalam Alazzani. Mansour Gadri
- 2. • Founded in 2009 • Founders : Travis Kalanick & Garrett Camp • Based in California USA • Use technology to bring together passengers and drivers Reliable Transportation …. -Luxury -Affordable Cheap Fast Efficient
- 3. Uber Business Model Uber business model is also known as a multisided platform business model, as it connects drivers (offer) and passengers (demand), in order to offer cheaper transportation and an additional source of income Uber commission :20% Driver : 80%
- 4. Products offering : • UberX, • UberXL • UberBlack • UberSUV • UberPool • UberTaxi • Uber Business • UberRush –UberEats
- 5. Pricing strategies • Standard fees • Airport rates • Surge pricing
- 6. Challenges • Competition (Lyft,Curb &Side) • Regulations (Employees/Contractors, unfair competition for taxi drivers) • Low barrier to entry
- 7. Opportunities • Expansion • Diversification • Increase number of drivers
- 8. Strengths • Global reach • Convenience • Pricing • Operating structure • Strong Brand
- 9. Weakness • Lawsuits • Sustainability • Transparency • Safety • Internet dependence
- 10. Lessons • You don’t need huge capital to start a business. Uber doesn’t even own a car and, still, provides over 1 million rides a day • Uber founders saw a problem in an industry and simply sought a solution for it. And in doing so, they were able to transform the cab industry. • Expand one step at a time. Uber started with cars and is already operating with bikes, boats, and even helicopters!
- 11. Recommendations • Uber should treat its workforce as partners • Should work diligently on attracting regular taxi driver to its model so to avoid regulation issues • Work day & night on R&D (Driverless cars)
- 12. Thank You
Editor's Notes
- How uber makes money
- bargaining power of drivers, demanding to consider them as employees instead of independent contractors are some of the forces impacting the growth of the company.
- Expansion: Uber has a huge opportunity to expand into new markets around the planet; Diversification: The company has already added food delivery to its services, but it can still diversity its business and offers, especially niching down to categories of transportation, for example; The number of drivers: Whether it is a result of an economic crisis or not, the company has been able to attract many drivers. This increases the offer for cars, which pleases the consumers, thus raising the number of regular users. Cellpone + car --- you are partner with uber
- Global reach: Uber is a worldwide company, making it the most recognizable brand in the industry, since it operates in 85 countries; Convenience: Uber is accessible to anybody with an internet connection and a smartphone. The app is easy to use, offers interaction with the drivers, provides several payment methods, and is usually cheaper than regular taxis; Pricing: The company uses multiple variables to determine the price of a trip, also bringing more advantages for the drivers; Operating structure: Uber doesn’t have employees, which allows the company to invest much more back in the business and R&D; Brand: Uber has the widest coverage in the industry, was the first one to be launched, and also had a lot of attention from the media.
- Lawsuits: Uber has been involved in many lawsuits which have been affecting its image and reputation; Regulations: The company has a history of problems with governments regarding regulations and laws of the taxi industry; Sustainability: Uber does not have internal policies to minimize the impact on the environment; Transparency: As it is a private company, Uber does not need to open up its finances, but this lack of transparency puts in check whether they are investing in R&D or others; Safety: Like any other transportation, Uber riders are subject to robbery, abuse, and other safety issues; Internet dependence: It relies on the internet and smartphones to run, but the majority of emerging countries still face difficulties in those matters.