CASE $10$

Uber: Feeling the Heat from Competitors and Regulators Worldwide

I. CASE ABSTRACT

Uber, originally known as $$UberCab$,$ was started by Travis Kalanick and Garrett

Camp in San Francisco, California, in $2009.$ Its target audience was young,

educated, tech$-$savvy urbanites, more likely to rent than own their own homes, who

generally got around via public transportation, biking, or walking. The company

grew rapidly and by $2015$ it was providing carpooling services in $300$ major cities

in fifty$-$eight countries around the world$\mathrm{.}1$

As Uber moved forward into new territories, however, it got entangled in many

regulatory and legal hassles. The company had to figure out how to sustain its lead

in the heavily regulated, controversial, competitive, and ever$-$changing taxi

industry. Moreover, despite a landslide market share Uber was operating at a loss.

How to lower costs and become profitable was another challenge for this young and

aggressive company.

Decision Date: $2014$ FY Sales: $$104$ million

FY Net Loss: $$30$ million

II$.$ CASE SUBJECTS AND ISSUES

Data Privacy First Mover Advantage Strategy

Formulation Competitive Advantage

Employee Labor Law Marketing Promotions

Core Competencies Social Responsibility

Global Expansion Govt. Regulation

Stages of Corporate Development Competitive Strategy

III. STEPS COVERED IN STRATEGIC DECISION$-$MAKING PROCESS

IV$.$ CASE OBJECTIVES