The SWOT Analysis is atechnique or an approach that is used by organization and corporates to helpinform their best strategy to help achieving their mission, vision and futuregrowth. On this Paper my company of interest is the popular ridesharing companyUber that have brought a disruptive business Source: Pestle Analysis Strength.
1. Well recognized brand 2. High-edge service proved drivers and cars. Uber black users enjoy very high standards 3. Has unlimited fleet of vehicles 4. Has no responsibility to drivers 5. Very little competition 6.
Prices are lower compared to traditional cabs 7. High valuation. Attractive to investors Weakness: 1. Idea is easy to copy 2. Relationship between Uber and drivers is ethically questionable 3. High cost of operating to drivers 4.
Unpredictable business model 5. Company privacy issues have raised questions. Opportunities: 1. Customers aren’t happy with traditional cabs due to high prices and lateness 2.
Possibility of exploiting big markets like India 3. Suburban areas have opportunity for Uber 4. Raise in the number of Uber driver reduces waiting time 5.
Raising valuation attracts more investors. 6. Additional services like delivery of goods transport of patients, children to schools etc.
Threats: 1. Driver unhappy with low profit margins 2. Some regulations like in Germany that burn Uber from operations 3. Problems with local authorities damages the company PR 4. Increasing competition 5. New markets have had fraud cases. Threats to Business.
Uber has recently faced threats on it business model that hashalting of the company services in other countries. A good example is Germany;some other countries have started imposing regulations due to frauds in the newmarket. With the SWOT analysisapproach the Company can make an informed decision on the opportunities thatinclude taking its services to new market, modification of the business throughintroduction of new services like products delivery and ambulance service.