Read the Uber case from the textbook and answer the following questions. Quote the case at least once while answering each of the questions (Q1-3).

1. Despite the negative publicity surrounding Uber, consumers continue to utilize the companys services. Is this surprising?........

1. Is ride-hailing likely to become a commodity service? If so, how will companies such as Lyft and Uber differentiate themselves in the market? Write the unique value proposition that Uber/Lyft can offer.........

1. Do you think either Uber or Lyft will emerge as the leading global ride-hailing brand? Or will the sector be characterized by local and regional brands such as Chinas Didi or Indias Ola?...............

You are the global marketing manager for Lyft for Canada. You hire a market research company to determine the preference of Lyft vs Uber by the consumers in Canada and the criteria riders use to decide which ride-sharing company they will use. The company conducts some focus groups and also conducts a survey which lead to the following criteria:

Importance Rating 1-5 scale

Uber Lyft

1. Brand name 20% 2.5 2.7
2. Rates 35% 4.6 5.0
3. Use of Greyball software/drivers can reject rides 18% 3.0 2.5
4. Passenger safety/background checks for drivers 20% 4.7 3.8
5. Drivers are like employees,

not completely independent contractors 7% 1.0 2.0

A separate survey shows how Uber and Lyft are rated by its riders on a 5-point scale, see above.

Given the data, which ride-sharing service is preferred by the customers? Explain and show any calculations clearly. How will you improve the services of Lyft so that customers prefer Lyft to Uber?

WITH CALCULATION