Case Analysis of Uber

A Case Analysis of Uber
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A Case Analysis of Uber
Introduction
Uber is an American-based and the planet's largest ride-sharing corporation that traced back its roots in 2009. Most importantly, the company's main goal is to enhance the movement of travelers (its target audience) move from one point to the other. Moreover, Uber is a platform that allows customers to order food affordably from different food places and get them delivered to their doorsteps at any time required. The company's activities create an approach that allows the users to access an exceptional travel experience from place A to place B. Uber services are relatively affordable as it tries to remain sustainable in its services. Specifically, the firm's goal is to be an entirely zero-emission and electric platform within a decade, whereby it aims to use zero-emission vehicles to execute its services. The paper incorporates a critical analysis of Uber in various aspects related to the multinational company and its operations.
Market Analysis before its Entry
           The ride-sharing sector was not fully exploited before Uber came in as one of the sector's components to provide its services, hence meeting the needs of the specific target audience. The market had not taken shape appropriately, it was fragmented, and technological aspects and adoption were still lacking and not considerably exploited. Yellow cabs, conveniently located in New York City, were the leading players occurring within the ride-sharing sector (Dudley et al., 2017). The cabs were almost near the customer's location, or one would call the provided contacts to be picked up and dropped to the desired destination. Upon Uber entering the sector or market, the primary factor it had to exploit was technology to enhance travel services. Before the industry took a well-defined shape, whenever a person wanted to move from one point to the other, the individual would call the nearby cab or hopefully wait and hope that a tax became available for the service.
           However, when Uber was introduced in the market, it meant a swift and convenient solution for travelers or Uber users to coordinate with the readily available drivers. The other inefficiency that Uber tried to handle entailed prices for the services offered. For instance, before Uber's emergence, taxis received operation registration only operational within the designated city and had limited permits available. Prices for using the taxis went up such that not all individuals could comfortably afford them because the sector was reasonably lucrative. Luckily, Uber intruded into the market to straighten the situation due to the inefficiency. Specifically, there was price moderation, and users could easily afford to use the transport service. There were no costly permits and regulations to operate Uber.
Uber's Surge Pricing in the Context of Shifts in Supply and Demand
           According to Zha et al. (2017), surge pricing is a pricing strategy that some companies use to momentarily increase costs as a response mechanism to rising demand and considerable reduction in supply. Uber de...