Case Study Discussion #2

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A Case Study of The Company “Uber”

Introductory Notes on A Case Study Analysis On “Uber”


Uber is a trailblazing company in the ridesharing space that has revolutionized urban
transportation with its creative tech solutions. Uber has been a major force in the industry
over the last five years, upending established cab services and acquiring a sizable competitive
edge. Uber has completely changed how people book and enjoy trips by utilizing the power
of mobile app technology, providing unmatched efficiency and convenience. Uber's value
proposition, technology advancements, and overall impact on the transportation industry are
highlighted in this introduction, which lays the groundwork for a deeper examination of the
company's strategic approach to disruptive innovation.
Competitive Advantage and Value Proposition
Uber's creative approach to transportation services gives them a competitive edge.
Uber made it easier to plan and pay for rides by utilizing a mobile app platform, which made
it more convenient and effective than traditional taxi services. With features like real-time
tracking, upfront pricing, and driver ratings guaranteeing an improved customer experience,
its value proposition revolved upon offering on-demand transportation at competitive rates
(Jalloh & Perez, 2023).
Technology Innovations
Several key technology innovations contributed to Uber's competitive advantage:
1. Mobile App Platform: In addition to facilitating trip requests from clients, Uber's
user-friendly mobile app gave drivers a smooth driving experience by letting them
find pick-up locations and finish rides quickly (How to Develop an App Like Uber?
Features and Technology Stack, 2024). Users and drivers felt more transparent and
trusted thanks to the app's easy-to-use layout and features like trip histories and driver
ratings, which also promoted a feeling of dependability and safety.
2. GPS and Mapping Technology: By combining GPS and mapping technology, Uber
was able to gather useful information about user preferences and travel patterns in
addition to facilitating effective route optimization (Xu et al., 2019). Uber was able to
predict demand, manage driver assignments, and continuously enhance its services
thanks to this data-driven strategy, which improved both the overall customer
experience and the dependability of the service.
3. Dynamic Pricing Algorithm: Although surge pricing can occasionally be contentious,
it is an essential instrument for maintaining supply and demand equilibrium,
encouraging drivers to operate in regions with high demand, and guaranteeing
availability during peak hours (Behind the Surge: How Uber's Dynamic Pricing
Works, n.d.). Furthermore, by informing consumers in a clear and understandable
manner about surge pricing, Uber helps users set realistic expectations and makes
educated decisions that enhance service dependability and resource allocation.
4. Driver Partner Network: Individuals were enabled by Uber's platform to have
flexible work schedules and entrepreneurial liberty in addition to earning
opportunities. Uber increased its service reach and capacity by building a network of
driver partners (Khosrowshahi, 2023). This allowed it to accommodate changes in
demand and offer consumers dependable, on-time transportation services in a variety
of places.
Disruptive Innovation
Uber is the perfect example of disruptive innovation because it is upending the taxi
business and drastically changing the transportation landscape. Disruptive innovations,
according to Clayton Christensen's theory, first target neglected or overlooked market groups
with easier-to-use, more convenient, and frequently less expensive alternatives to already-
existing goods or services. Uber targeted underrepresented markets including tech-savvy
urban commuters and late-night revelers when it first entered the market by offering a less
complicated, more practical, and more affordable option to traditional taxis. Uber's innovative
business strategy was eventually adopted by the general public, changing both consumer
behavior and industry standards. The intext reference is missing.
Conclusion
Uber's success serves as an example of how disruptive technologies can completely
transform long-standing markets. Uber established an advantage over competitors and
changed the transportation industry by utilizing cutting-edge technological solutions and
questioning traditional business paradigms. To remain competitive in a market that is
becoming more and more dynamic, businesses need to adopt technology developments as
disruptive innovation continues to drive change across industries.

References

Behind the surge: how Uber's dynamic pricing works. (n.d.). Uber. Retrieved February 20,

2024, from https://www.uber.com/en-GH/blog/uber-dynamic-pricing/

Christensen, C. M. (1997). The innovator's dilemma: when new technologies cause great
firms to fail. Harvard Business Review Press.
How to Develop an App like Uber? Features and Technology Stack. (2024, January 5).

LinkedIn. Retrieved February 20, 2024, from https://www.linkedin.com/pulse/how-

develop-app-like-uber-features-technology-stack-guru-technolabs-ovebf?

ref=morioh.com&utm_source=morioh.com

Jalloh, M., & Perez, Y. (2023, Aprill 22). Uber: Advantages and Disadvantages.

Investopedia. Retrieved February 20, 2024, from

https://www.investopedia.com/articles/investing/110614/taxi-industry-pros-cons-uber-

and-other-ehail-apps.asp
Khosrowshahi, D. (2023, November 13). Uber Newsroom. Uber Newsroom. Retrieved

February 20, 2024, from https://www.uber.com/newsroom/onlyonuber23/

Xu, Y., Lu, C., Kaw, S., & Wolf, D. (2019, April 25). Improving Uber's Mapping Accuracy with

CatchME. Uber. Retrieved February 20, 2024, from

https://www.uber.com/en-JM/blog/mapping-accuracy-with-catchme/

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