Answer To: Goal: To develop a strategic innovation analysis and recommendation by applying relevant theoretical...
Akansha answered on Jun 03 2020
Running head: Strategic Management
Strategic Management
Strategic Management
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Contents
Introduction 3
UBER’s strategic management of innovation 3
Innovation threats and opportunities 3
Opportunities 3
Threats 4
Pestle Analysis 4
UBER’s current growth (innovation) strategy 7
BCG Matrix in the Marketing strategy of Uber 7
McKinsey GE frameworks of UBER 9
Innovation opportunity it is currently pursuing 11
Conclusion 14
References 15
Introduction
Uber is a global taxi service and a ride-sharing company that, after facing strict government supervision and strict policies, started its service in Australia in 2015. Add to the complexity of this issue; Laws from one country to another country are not the same. Due to various scams and scandals related to border crossing and nationality, it has been listed as headline news repeatedly in front of the global brand Tarnish issues due to the wrong reasons. Uber is one of the most acclaimed internet powers and in fact, inorganic development is a startup. Uber is a company known as the company, which is mostly the owner of the car fleet, but it has no car. Uber is a ride-sharing app that replaces those who have to get out of the house to encourage taxis. The cab is now at your door. This and the fact is that low-cost pricing strategies for users make Uber constant and even favorite applications for random travelers. Many people who go to the office often choose Uber Cab instead of going to the office.
UBER’s strategic management of innovation
Innovation threats and opportunities
SWOT Analysis
Opportunities
Disagreements with the unorganized market: Uber’s Customers are not satisfied with unorganized taxis market, which offers opportunities to recover. This is the major reason for the success of recovering. Local taxi drivers are considered harsh and do not follow them.
Latest technology: UberEats App is an Uber’s Food Delivery Service
Increase in Internet Access: Since the government digitizes countries, usage of smartphones continuously increase, as well as technology-based apps like Uber can enhance their services in different countries and can expands its business all over.
Increase disposable income: When disposable income increases, customers are more eager to spend money on convenience.
Alternative Transport: UBER also launched Uber Chopper in different countries moreover also finding some other transportation equipment catering to local transport requirements. In Australia, Uber just launch an aggregator system (Conway-Smith, 2016).
Threats
Government rules are not yet clear: The main reason for disagreements between cab aggregators and in government regulators are their legal status, whether they are considered as standard taxi company or an IT company.
Maintain brand and customer conversion: Due to competition intensified, maintaining outstanding customers and drivers becomes more difficult. Any monetary benefit can affect the customers as well as drivers of recovering.
Low-profit margins: Remote drivers can help drivers get daily driving pleasure, but the drivers do not have high-profit margins, so they are easily shaken.
Uprising from unorganized markets: Unorganized markets for taxi drivers can revolt against these companies, which are driving drivers away from bread and butter from weak markets (Hempel, 2015). This resistance will affect UBER’s operations.
Pestle Analysis
Political: Uber started a fierce political debate around the world. Many governments are concerned about the regulation of the shared economy. On one hand, although shared economies and recovery have their own advantages, they have their own drawbacks too. The rise of UBER has put a disruptive impact on the other traditional cab services providers business.
Economic: UBER is influenced and impacted by economic factors. The common financial system has simply formed more jobs for the great scale of people. It also creates distinctive job opportunities and jobs for a lot of drivers.
Social: Social aspects of a business are as important to others. This is because both countries have mutually beneficial relationships and there is no relation to anyone. So, to recover, it is important to manage this socially acceptable as well as respectable image or reputation. It is simply based on the two things that accelerate popularity and acceptance.
Technology: The main reason for all main things in the 21st century is technology. If not impossible, it is difficult to imagine development without technology. Behind the recovery is also excellent technique. Uber has provided a smooth ride and good experience for drivers and travelers with its excellent technique, thus capturing a large part of the riding share market.
Environmental: Sustainability and continuous development has become an important issue for many companies in the 21st century. There is a growing concern about the stability of sharing services like Uber and Life. Uber launched a pilot project called Uber Green, where drivers can request a green ride by clicking one button (Petit, 2012).
Legal: An important challenge for legal compliance companies. If companies fail to comply with the rules, then they can make big fines. The emergence of Uber challenges the legal authorities and systems, which are identifying whether the applicable law on traditional services applies to the regulation or not. Uber is also facing some legal issues, not just on tax issues, however also on HR issues. Last year, there was one case related to the minimum wage related to the two drivers.
From the beginning of elegance, Uber have developed into extensively used car services. In addition, Uber continues to grow; it has been sought to extend the scope of service to anything from one to another place, not people, however food and parcels also. Perhaps the important point is that Uber is the premier technology company. In other words, Uber itself focuses primarily on the development of Smartphone software that allows the use of its network of ride-sharing...