Uber is a highly valued unicorn, with a high disregard for regulations and other external factors that

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Uber is a highly valued “unicorn,” with a high disregard for regulations and other external factors that would slow its growth as discussed in this chapter. Other competing firms are taking a somewhat different route to the ride-hailing marketplace. For example, Lyft (discussed in Chapter Case 9) was also started in San Francisco, and since 2012 it has been growing across the country and more slowly internationally. Lyft started as a ride-sharing service targeting U.S. college students heading home for the holidays. The firm continues to focus on building a trusting community of drivers and riders—a community that is both social and cost-effective. In 2017 Lyft added to a prior partnership with General Motors by allying with Waymo (an Alphabet company). Another Uber competitor is Didi Chuxing, a dominant ride-hailing service in China. In your groups, do internet research aboutUber competitors (www.lyft.com and http://www.xiaojukeji.com/en/index.html will get you started).


1. What similarities and differences do you find in the way these firms have implemented sometimes similar ideas?
2. Discuss why traditional taxi companies, such as Yellow Cabs and those needing medallions (such as in New York City), are choosing to attempt to prohibit these app-enabled, ride-hailing services rather than aggressively implementing their own app-calling systems.

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Strategic Management

ISBN: 978-1260092370

4th Edition

Authors: Frank Rothaermel

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