Professional Documents
Culture Documents
In Marketing Under The University of Calcutta)
In Marketing Under The University of Calcutta)
In Marketing Under The University of Calcutta)
SUBMITTED BY:
CU Roll. No :- 191017-21-0080
SUPERVISED BY:
May, 2022
Page |1
Annexure – 1A
SUPERVISOR’S CERTIFICATE
This is to certify that Mr. Adil Raza Khan, a student of B.com Honors in Accounts and Finance of the
College, The Bhawanipur Eductaion Society College, Under the University Of Calcutta has worked
under My Supervision & Guidance for his/her project Work & Prepared a Project Report with A
Title which He/ she is submitting his/her Genuine & original work to best of my Knowledge.
Signature:
Designation: Faculty
Place: Kolkata
Date:
Page |2
Annexure – 1B
STUDENT`S DECLARATION
I Hereby declare that the Project Work with the Title submitted by me for the partial fulfillment of the
degree of B.com Honors in Accounts and Finance under the University of Calcutta is my original
Work & has not been submitted Earlier to any other University / Institution for the fulfillment of the
requirement for any course of study.
I also decide that no chapter of this Manuscript in whole has been incorporated in the report from any
earlier work done by others or by me. However, extracts of any Literature which has been used for
this Report has been duly acknowledged providing details of such literature in the reference.
: Signature:
Place: Kolkata
Date:
Page |3
Acknowledgement
Any project work cannot be completed without the support of a team or a group of
persons. Although all the attention is received by the person whose name has been
mentioned in it, there are a lot of persons who help in the preparation of such projects
and remain unmentioned. Such projects can never be completed without them. So I
would like to take the opportunity to thank all my supports in the project report for
their immense help and support.
I would like to thank all my friends and colleagues who provided me essential data,
graphs etc for the project. Without their help the job could have never been successful.
I would also like to thank my parents and relatives for their help in this project report.
Lastly but most importantly I would like to thank my project guide Prof. Ipshita Das
who was always there whenever required. Her suggestions and views have raised the
standard of the project report.
Page |4
Index
Serial Contents Page
no. No.
Introduction to Ecommerce
Government Regulations
Impact on supply chain
management
Social impact of
Ecommerce
3-7
Distribution Channel
Types of Ecommerce
Advantages of
1 Chapter 1
Ecommerce
Disadvantages of
Ecommerce
Justification of the Study 8
Brief Review of Literature 9
Research Objective 10
Research Methodology 11
Limitation of the Study 12
Research Plan 13
Global Trends
2 Chapter 2 International Scenario 14
National Scenario
3 Chapter 3 Data Analysis 16-30
Page |5
5 Chapter 5 Bibliography 38
Chapter 6 Annexure – IA 39
6
Annexure – IB 40
Page |6
Chapter: Introduction
E-Commerce is the trading or facilitation of trading in products or services using computer
networks, such as the Internet. Electronic commerce draws on technologies such as mobile
commerce, electronic funds transfer, supply chain management, Internet marketing, online
transaction processing, electronic data interchange (EDI), inventory management systems,
and automated data collection systems. Modern electronic commerce typically uses
the World Wide Web for at least one part of the transaction's life cycle, although it may also
use other technologies such as e-mail.
Business application
Teleconferencing
Electronic tickets
Social networking
Instant messaging
Pretail
Digital Wallet
Governmental Regulations
For a long time, companies had been troubled by the gap between the benefits which supply
chain technology has and the solutions to deliver those benefits. However, the emergence of
e-commerce has provided a more practical and effective way of delivering the benefits of the
new supply chain technologies.
E-commerce has the capability to integrate all inter-company and intra-company functions,
meaning that the three flows (physical flow, financial flow and information flow) of the
supply chain could be also affected by e-commerce. The affections on physical flows
improved the way of product and inventory movement level for companies. For the
information flows, e-commerce optimized the capacity of information processing than
companies used to have, and for the financial flows, e-commerce allows companies to have
more efficient payment and settlement solutions.
In addition, e-commerce has a more sophisticated level of impact on supply chains: Firstly,
the performance gap will be eliminated since companies can identify gaps between different
levels of supply chains by electronic means of solutions; Secondly, as a result of e-commerce
emergence, new capabilities such implementing ERP systems have helped companies to
manage operations with customers and suppliers. Yet these new capabilities are still not
fully exploited. Thirdly, technology companies would keep investing on new e-commerce
software solutions as they are expecting investment return. Fourthly, e-commerce would
help to solve many aspects of issues that companies may feel difficult to cope with, such as
political barriers or cross-country changes. Finally, e-commerce provides companies a more
efficient and effective way to collaborate with each other within the supply chain.
Along with the e-commerce and its unique charm that has appeared gradually, virtual
enterprise, virtual bank, network marketing, online shopping, payment and advertising,
such this new vocabulary which is unheard-of and now has become as familiar to people.
This reflects that the e-commerce has huge impact on the economy and society from the
other side. For instance, B2B is a rapidly growing business in the world that leads to lower
cost and then improves the economic efficiency and also bring along the growth of
employment.
To understand how the e-commerce has affected the society and economy, this article will
mention these issues below:
P a g e | 10
1. The e-commerce has changed the relative importance of time, but as the pillars of
indicator of the country’s economic state that the importance of time should not be ignored.
2. The e-commerce offers the consumer or enterprise various information they need, making
information into total transparency, will force enterprise no longer is able to use the mode of
space or advertisement to raise their competitive edge. Moreover, in theory, perfect
competition between the consumer sovereignty and industry will maximize social welfare.
3. In fact, during the economic activity in the past, large enterprise frequently has advantage
of information resource, and thus at the expense of consumers. Nowadays, the transparent
and real-time information protects the rights of consumers, because the consumers can use
internet to pick out the portfolio for the benefit of themselves. The competitiveness of
enterprises will be much more obvious than before, consequently, social welfare would be
improved by the development of the e-commerce.
4. The new economy led by the e-commerce change humanistic spirit as well, but above all,
is the employee loyalty. Due to the market with competition, the employee’s level of
professionalism becomes the crucial for enterprise in the niche market. The enterprises
must pay attention to how to build up the enterprises inner culture and a set of interactive
mechanisms and it is the prime problem for them. Furthermore, though the mode of e-
commerce decrease the information cost and transaction cost, however, its development also
makes human being are overly computer literate. In hence, emphasized more humanistic
attitude to work is another project for enterprise to development. Life is the root of all and
high technologies are merely an assistive tool to support our quality of life.
The e-commerce is not a kind of new industry, but it is creating a new economic model. Most
of people agree that the e-commerce indeed to be important and significant for economic
society in the future, but actually that is a bit of clueless feeling at the beginning, this
problem is exactly prove the e-commerce is a sort of incorporeal revolution. Generally
speaking, as a type of business active procedure, the e-commerce is going to leading an
unprecedented revolution in the world, the influence of this model far exceeded the
commercial affair itself. Except the mentioned above, in the area of law, education, culture
and also policy, the e-commerce will continue that rise in impact. The e-commerce is truly to
take human beings into the information society.
P a g e | 11
Distribution channels
E-commerce has grown in importance as companies have adopted pure-click and brick-and-click channel
systems. We can distinguish pure-click and brick-and-click channel system adopted by companies.
Pure-click or pure-play companies are those that have launched a website without any previous
existence as a firm.
Bricks-and-clicks companies are those existing companies that have added an online site for e-
commerce.
Click-to-brick online retailers that later open physical locations to supplement their online efforts.
Types of E-commerce
Advantages of E-commerce
It can help increase profits; it can increase sales and decrease costs.
It can help organizations do business 7 days a week and 24 hours a day.
It can help organizations have customers all around the globe and not be limited to a specific region.
It helps organizations bring higher return on advertisements, if managed properly.
It helps organizations identify new suppliers, partners and customers.
It increases flexibility and ease of shopping for the customer.
It can help in low operational cost.
It can provide personalized product and customer customization.
Shoppers are given a broader range of products to choose from online.
Disadvantages of E-commerce
The best literature for this study is from Tornatsky and Fleischer’s theory. The
Tornatsky and Fleischer’s theory comprises two important foundations: stages in E-
commerce and factors of the adoption and implementation of E-commerce in SMEs.
According to Jennex and Lertwongsatien who used Tornatzky and Fleischer’s model,
the reliability of these foundations will directly impact the ability of SMEs to
implement E-commerce.
P a g e | 15
Research Objectives
To study the emergence of Ecommerce in Indian Market
To study the type of product that the Indian market generally pursues.
To study the negative impacts of ecommerce in the National and
International Market.
The study of level of satisfactory derivative of Ecommerce. In my project
the topic is basically Service based business. It does not involve a (B2B)
business nor (C2C) business but (B2C) business.
To study the frequency of use of Uber’s private cabs.
To analyze the factors and their effect on the students in SAJC.
To study the awareness and marketing influence of Uber on SAJC students.
To analyze the level of competition and techniques involved in these
competition of ecommerce in service oriented business (Uber Vs Ola).
P a g e | 16
Research Methodology
Research Design >>>
Duration: 3 weeks
Instrument: Questionnaire
Primary data collected with the help of survey conducted on SAJC students using a
questionnaire.
ヽ Not everyone uses Private Cab services hence collecting fruitful Data was
difficult.
ヽ I was able to acquire details from customer’s point of view only because it
was not possible to get a cab every time and enquire the drivers for travelling
would be an essential part of it. (I myself don’t use cab services everytime for
travelling being the fact!!)
Research Plan
P a g e | 19
Global trends
International Scenario
In 2010, the United Kingdom had the biggest e-commerce market in the world when
measured by the amount spent per capita. As of 2013, the Czech Republic was the European
country where ecommerce delivers the biggest contribution to the enterprises´ total
revenue. Almost a quarter (24%) of the country’s total turnover is generated via the online
channel.
P a g e | 20
Among emerging economies, China's e-commerce presence continues to expand every year.
With 384 million internet users, China's online shopping sales rose to $36.6 billion in 2009
and one of the reasons behind the huge growth had been the improved trust level for
shoppers. The Chinese retailers have been able to help consumers feel more comfortable
shopping online. E-commerce transactions between China and other countries increased
32% to 2.3 trillion yuan ($375.8 billion) in 2012 and accounted for 9.6% of China's total
international trade. In 2013, Alibaba had an e-commerce market share of 80% in China.
In 2013, Brazil's eCommerce was growing quickly with retail eCommerce sales expected to
grow at a healthy double-digit pace through 2014. By 2016, eMarketer expected retail
ecommerce sales in Brazil to reach $17.3 billion. India has an internet user base of about
243.2 million as of January 2014. Despite being third largest user base in world, the
penetration of Internet is low compared to markets like the United States, United Kingdom
or France but is growing at a much faster rate, adding around 6 million new entrants every
month. In India, cash on delivery is the most preferred payment method, accumulating 75%
of the e-retail activities.
E-Commerce has become an important tool for small and large businesses worldwide, not
only to sell to customers, but also to engage them.
In 2012, ecommerce sales topped $1 trillion for the first time in history.
Mobile devices are playing an increasing role in the mix of eCommerce. In 2014, one
estimate saw purchases made on mobile devices making up 25% of the market by 2017.
In 2014, there were 600 million Internet users in China (twice as many than in the US),
making it the world's biggest online market.
For traditional businesses, one research stated that information technology and cross-
border e-commerce is a good opportunity for the rapid development and growth of
enterprises. Many companies have invested enormous volume of investment in mobile
applications. The DeLone and McLean Model stated that 3 perspectives are contributed to a
successful e-business, including information system quality, service quality and users
satisfaction. There is no limit of time and space, there are more opportunities to reach out to
customers around the world, and to cut down unnecessary intermediate links, thereby
reducing the cost price, and can benefit from one on one large customer data analysis, to
achieve a high degree of personal customization strategic plan, in order to fully enhance the
core competitiveness of the products in company.
National Scenario
P a g e | 21
India has an internet user base of about 354 million as of June of 2015. Despite being the
second largest userbase in world, only behind China (650 million, 48% of population),
the penetration of e-commerce is low compared to markets like the United States (266 M,
84%), or France (54 M, 81%), but is growing at an unprecedented rate, adding around 6
million new entrants every month. The industry consensus is that growth is at an inflection
point.
In India, cash on delivery is the most preferred payment method, accumulating 75% of the e-
retail activities. Demand for international consumer products (including long-tail items) is
growing much faster than in-country supply from authorized distributors and e-commerce
offerings.
Uber, Inc.
Uber's logo
Uber was founded as "UberCab" by Travis Kalanick and Garrett Camp in 2009 and the app
was released the following June. Beginning in 2012, Uber expanded internationally. In
2014, it experimented with carpooling features and made other updates. Klout ranked the
San Francisco-based company as the 48th-most powerful company in America in 2014. By
late-2015, Uber was estimated to be worth $62.5 billion/
The legality of Uber has been challenged by governments and taxi companies, who allege
that its use of drivers who are not licensed to drive taxicabs is unsafe and illegal.
P a g e | 23
History
Early history
Uber was founded by Garrett Camp, the founder of StumbleUpon, and Travis Kalanick in
2009. The company received $200,000 inseed funding that same year. In 2010, Uber
raised $1.25 million in additional funding.
Following a beta launch in the summer of 2010, Uber's services and mobile app officially
launched in San Francisco in 2011. Initially Ryan Graves was appointed as CEO, however,
Kalanick replaced him in the role later that year. Graves stepped down to become the
company's COO.
By the end of 2011, Uber had raised $44.5 million in funding. That year, the company
changed its name from UberCab to Uber.
Additional funding
Recent history
As Uber grew internationally, it also began to experience disputes with governments and
taxi companies in those regions. In April 2014, Uber was banned by the government in
Berlin, although the company remains active in other German cities. The ban is still being
discussed as of December 2014. Taxi drivers in London, Berlin, Paris and Madrid staged a
large-scale protest against Uber on June 11, 2014. Also in February 2015, Uber announced
collaboration with Carnegie Mellon to establish the Uber Advanced Technology Center, a
new facility in Pittsburgh meant to support research in the development of self-driving
vehicles. Additionally, Uber expanded its UberPOOL services to Los Angeles and New York
City, expanding further in March, to offer UberPOOL in Austin, Texas, in anticipation of
the South by Southwest festival. In April 2015, Uber renamed its UberFRESH program as
UberEATS and expanded the service to include Barcelona, Los Angeles, Chicago and New
York City.
The following month, Uber launched its UberMilitary Families Coalition, a new project to
support its existing UberMilitary initiative. The project seeks to partner Uber with existing
military family organizations and hire more military dependents, in addition to veterans,
as drivers. Also in May 2015, Uber updated its app to include accommodations for drivers
who are deaf or hard of hearing.
Development history
During the initial development of the Uber app, the company created a think
tank consisting of a nuclear physicist, a computational neurosurgeon, and a machinery
expert who worked on predicting demand for private hire car drivers and where demand is
highest. Later in 2012, Uber launched its Uber Garage initiative in Chicago. The
experimental program allowed Uber to partner with local taxi cab drivers, alerting them
when an app user requested a ride. The company also introduced uberX in 2012, a service
option which allows local drivers to respond to notifications on the Uber app by driving
customers in their own non-luxury cars. During 2013, Uber offered its first non-car option
when it launched UBERChopper rides from New York City to the Hamptons for $3000
each.
In August 2014, Uber launched UberPOOL, a carpooling service, in San Francisco and
UberFRESH, a lunch delivery service, in Santa Monica.
Uber CEO Travis Kalanick has spoken about his desire to eventually move to using self-
driving cars for Uber vehicles. By May 2015 the company had hired a large number of
P a g e | 26
Expansion
The company expanded into a new city each month starting in May 2011, including New
York City, Chicago and Washington, D.C. The Uber app's coverage expanded to Paris in
December 2011.In May 2012, Uber launched a beta test in Philadelphia, followed by an
official launch in the city that June. Uber expanded rapidly into overseas markets in 2012
and 2013.
Paris was the first city outside of the U.S. where Uber's service began operating in
December 2011 prior to the international LeWeb Internet conference. In 2012 it launched
its services in Toronto, Canada, a 90-driver launch in London, a Sydney, Australia launch
in November 2012 and a soft launch in Singapore in January 2013. Sydney was Uber's first
launch in the Asia Pacific region. Consumers in Johannesburg, South Africa, were able to
use Uber after it was launched in September 2013. Uber was then started in Cape Town on
October 10, 2013, after a six-week "testing phase".
In August, the company began offering its ride services in Seoul. In June 2014, Uber
launched its services in Tijuana, Mexico. In June 2014, Uber announced that it had raised
$1.2 billion in funding and it publicized an $18.2 billion valuation. [32] In summer 2014,
Uber announced it had raised $1.5 billion in venture capital.
Following a soft launch of the Uber app in the Sanlitun shopping district in March 2014, an
official launch was held in Beijing, China, in mid-July 2014. The company's service
operates in China’s four largest cities. In July 2014 Uber announced a nationwide rollout of
UberX in India. In addition to a Bangalore presence, Uber's inaugural Indian location that
was publicized in August 2013, drivers in Delhi, Hyderabad, Chennai, Mumbai and Pune
made UberX available to users in those cities. Although the Metropolitan Government of
Seoul stated in mid-2014 that it would seek to ban Uber from operating in its jurisdiction,
while also developing its own Uber-like app for registered taxis to be launched in
December 2014, Uber introduced its UberX service in the city at the end of August 2014.
According to the Wall Street Journal, UberX uses a "for-pay rideshare scheme" and "trips
cost less than the same journey in an ordinary taxi". At the time of the launch, an Uber
representative based in Seoul said that a charge will not apply to rides in Seoul until further
notice.
The company launched black car services in Warsaw, Poland and uberX services in Seoul.
Uber also began its services in Anchorage, Alaska in September, 2014. Drivers
P a g e | 27
in Warsaw began using the Uber app on August 18, 2014. The service was launched
in Montreal in October 2014. The service was introduced in Denmark in November 2014,
but only the Uber Black was available in the capital city of Copenhagen, while UberPOP
was scheduled to be added at a later stage. On November 28, 2014, Thailand's Department
of Land Transport declared Uber's continued operation within Thailand illegal.
Uber unveiled Ice Prince Zamani as the Rider Zero in Lagos, Nigeria in July 2014,
signifying its launch in the largest city in Africa and most populous country in Africa.
In May 2015, Uber started testing cash payments in India. The pilot project was started in
the Indian city Hyderabad. In September 2015, Uber tied up with Airtel India to allow cab
users to pay using Airtel mobile wallet service. It also allows users to use Airtel 4G data at
no charges.
Surge pricing
The practice has often caused passengers to become upset and invited criticism when it has
happened as a result of holidays, inclement weather, or natural disasters. During New
Year's Eve 2011, prices were as high as seven times normal rates, causing outrage. During
the 2014 Sydney hostage crisis, Uber implemented surge pricing, resulting in fares of up to
four times normal charges; while it defended the surge pricing at first, it later apologized
and refunded the surcharges. This is detailed in a case study around a sold-out-concert at
Madison Square Garden when surge pricing took effect. During this event, the number of
P a g e | 28
people who opened the app increased 4x, but the actual ride requests only rose slightly,
enabling ride requests to be completed with the usual ETAs.
Rating score
Users of the app may rate drivers; in turn, drivers may rate users. A low rating might
diminish the availability and convenience of the service to the user.
P a g e | 29
Reception
Uber faces competition from lower-cost real-time ridesharing startups such
as Lyft, Sidecar (no longer in business), Ola Cabs, Didi Kuaidi and Haxi. To compete at
lower price levels, Uber introduced UberGo on Nov 19, 2014, UberTaxi (partnerships with
local taxi commissions) and UberX (non-luxury cars such as Toyota Prius hybrids). This
move led to dissatisfaction among existing Uber limo drivers who saw their earnings
decrease.
However, it has also received negative reception. In October 2014, Uber received an "F"
rating from the Better Business Bureau (BBB), which cited complaints over unexpectedly
high charges.
Product expansion
In 2014, the company experimented with online food orders, pilot testing uberFRESH in
Santa Monica, California. In April 2014, Uber announced a courier package delivery service
called Uber Rush, with pickup from anywhere in Manhattan. While Rush only offers
delivery, the Uber Essentials or Corner Store service, starting testing in Washington D.C. in
August 2014, allows online ordering from a list of about 100 items. In April 2012, Uber
launched the Uber Garage initiative, a project to experiment with other ideas for urban
transportation services. The first project from Uber Garage was to give Uber users the
option to hire a regular taxi driver, or a crowd-sourced Uber driver.
The startup announced a new carpooling service called UberPool at the start of August
2014, after a beta testing phase in the San Francisco Bay Area. UberPool matches riders
with another rider who is traveling in the same direction—the app will share the first name
of the other rider and who is getting picked up first. If a match cannot be found, riders are
offered a discount on a regular Uber trip. In December 2014, Uber expanded the UberPool
concept to New York City. The Uber blog announcement offered riders the possibility of
reducing their journey costs by 20 to 50 percent, explaining: "On any given day, the vast
P a g e | 30
majority of UberX trips in NYC have a 'lookalike' trip—a trip that starts near, ends near,
and is happening around the same time as another trip".
In June 2015, in Istanbul, Uber launched a water-taxi service called UberBOAT, allowing
users to travel by Beneteau boats across the city’s central Bosporus strait.
In November 2015 Uber signed a global partnership deal with Dutch satellite navigation
company TomTom to provide maps and traffic data for the Uber driver app across 300
cities.
In some markets, where leasing arrangements for vehicles are available, the only
requirement for driving for Uber, other than appropriate age, health, and ability to drive, is
passing a background check. Both a smartphone, called a "device" by Uber, and a vehicle
may be leased.
Marketing
Uber, led by David Plouffe, an experienced political operative, expands its operations
though commencing operation and then engaging in a political campaign which mobilizes
public support for the service. If, as is usually the case, its mode of doing business does not
conform to local regulations, Uber, supported by a small army of lobbyists, mounts a
campaign to change them. Customers and potential customers are mobilized through
social media including using the Uber app itself. Bradley Tusk, a former campaign manager
for Michael Bloomberg, has played a significant role in advising Uber with respect to cities.
In July 2012, in honor of National Ice Cream Month, Uber launched an "Uber Ice Cream"
program in the U.S. so that users in seven cities could summon an ice cream truck for on-
demand delivery, while purchases were billed to users' accounts.
In July 2014, Uber partnered with Blade to offer "UberCHOPPER" helicopter rides from
New York City to the Hamptons for US$3,000, including availability during the July
4 holiday weekend.
P a g e | 31
In March 2015, Uber offered luxury car-rental service in collaboration with Dream Drive in
Singapore until 20 May 2015.
On September 4, 2013, Uber announced its first sports deal. The company held a
promotion with the NFL Players Association to promote safe rides for NFL players.
On March 10, 2015, Travis Kalanick, Uber’s founder and chief executive announced a
partnership between Uber and the UN Women. They had intended to invest in local
communities where the UN Women’s group was located hoping to create 1,000,000 jobs
for women globally by 2020. However, after pressure from trade unions and women's
rights organizations, UN Women declined to participate, citing Uber's legal status, safety,
and privacy concerns.
Benefits
Uber gives consumers a choice between regulated taxi cab companies and other forms of
transportation and can potentially provide drivers with "flexible and independent
jobs". Users can track the car picking them up on their smartphone, which allows them to
know when it will arrive. A receipt will be automatically sent to their email.
P a g e | 32
As Uber does not require cars to be hailed, this means that it can more easily pick up
customers in less built up neighborhoods. For this reason, Bloomberg Review said that
Uber helps the poor by making it easier for them to get a taxi. It also helps reduce
congestion as "because Uber can’t accept street hails, they do much less unnecessary
driving-around than either yellow cabs (who are cruising for hails) or individuals (who are
looking for a parking spot)." This assumes that there is no extra traffic created by people
who would otherwise have used public transport or walked. One study showed that having
Uber in a city reduced drunken driving rates.
Criticism
Uber is the subject of ongoing protests and legal action from taxi drivers, taxi companies,
and governments around the world who are trying to stop Uber from operating in their
areas. These groups say that Uber presents unfair competition to taxis because the
company does not pay taxes or licensing fees; that it endangers passengers; and that
drivers are untrained, unlicensed and uninsured.
As of mid-2015, protests had been staged in Germany, India, Spain, Colombia, France,
Italy, Denmark, Canada, China and England, among other nations, and dangerous
incidents involving passengers have been documented. Uber executives were arrested in
France in June 2015. In December 2014, Uber was banned in Spain and in two cities in
India. Uber continues to be involved in disputes with several governmental bodies,
including local governments in the U.S., Australia and Brazil.
Governments have been largely unable to stop Uber's operations in their jurisdictions
because its operations are conducted primarily over the Internet. At city jurisdictions, this
might be easier to achieve. In addition, Uber is said to use extremely aggressive tactics such
as bullying and hiring investigators to "dig up dirt" on journalists who criticize
them. Portland, Oregon's transportation commissioner called Uber management "a bunch
of thugs". A commissioner in Virginia who opposed Uber was flooded with emails and calls
after Uber distributed his personal contact information to all of its users in the state.
The Australian New South Wales government created a taskforce to look into the Uber
problem stating that the existing regulatory framework is "difficult to enforce", and
therefore not as effective as it could be. The taskforce also noted that ride sharing services
"appear to meet the criteria of a public passenger service" under the 1990 Act. This is
despite the fact Uber has reaffirmed that it is not a taxi service and should not have to
operate under taxi regulation.
P a g e | 33
Competitive effects
Uber and other ride-sharing companies have brought a new element of competition to the
taxi industry. One result has been a decline in the value of the limited-issue taxi licenses
that have traditionally restricted the number of authorized taxis in a given locale.
According to the Wall Street Journal, taxi medallion prices are plunging in some U.S. cities.
For example, in New York medallions were valued at more than US$1.3 million in 2013
have decreased in value to US$700,000 to 800,000 in 2015, and in Chicago prices of more
than US$360,000 in 2013 have decreased to US$240,000 in 2015.
Contractors or employees
Uber contracts with their driver partners under legal arrangements as contractors, and
not employees. Since taxation, work hours, overtime benefits, and so forth may be treated
differently by various political jurisdictions globally, this designation has been
controversial.
In a class action lawsuit filed in the United States District Court for the Northern District of
California on August 16, 2013 Uber drivers plead that they were employees who had been
misclassified as independent contractors and violations of the California Labor Code and
demanded that they be given any tips Uber had collected on their behalf and payment of
business expenses such as gas and maintenance of their vehicles. The District
Judge, Edward M. Chen, ruled in the plaintiffs' favor with respect to a motion for summary
judgement by defendants on March 11, 2015 holding that whether Uber drivers were
P a g e | 34
employees was a disputed fact to be resolved by the jury. September 1, 2015 Chen certified
the class but generally limited it to drivers in California hired before June 2014 (when an
opt-out arbitration clause was included in the contract) who had directly contracted with
Uber.
User privacy
Kalanick received a letter, dated November 19, 2014, from Senator Al Franken, Chairman
of the United States Senate Judiciary Subcommittee on Privacy, Technology and the Law,
over user privacy. In addition to a list of 10 questions, Franken stated that the company
had a "troubling disregard for customer privacy" and that he was "especially troubled
because there appears to be evidence of practices inconsistent with the policy [Uber
spokesperson] Ms. Hourajian articulated" and that "it appears that on prior occasions your
company [Uber] has condoned use of customers’ data for questionable purposes." Franken
concluded his letter by asking for a response by December 15, 2014.
Concerns have been raised about internal misuse of the company's data, in particular the
ability of Uber staff to track the movements of its customers, known as "God View". In
addition to the aforementioned use of the service to track journalists and politicians, a
venture capitalist disclosed in 2011 that Uber staff were using the function recreationally
and viewed being tracked by Uber as a positive reflection on the subject's character. An
individual who had interviewed for a job at Uber said that he was given unrestricted access
to Uber's customer tracking function as part of the interview process, and that he retained
that access for several hours after the interview ended.
On February 27, 2015, Uber admitted that it had suffered a data breach more than nine
months before. Driver names and license plate information on approximately 50,000
drivers were inadvertently disclosed. Uber discovered this leak in September 2014 but
waited more than five months to notify the people affected.
Safety
On August 4, 2014, the company announced the scheduled removal of a driver from the
service pending a medical review, after the driver suffered an epileptic seizure while
driving that resulted in a crash with a pedestrian in San Francisco. The 56-year-old driver
was hospitalized after hitting three parked cars and then a man on the sidewalk; an Uber
spokesperson said in the announcement that the driver "has an outstanding record of
service and safety with no prior incidents."
a customer makes a request, drivers are notified on an official Uber mobile app and are
provided the customer's location. In order to accept the request, the driver has
approximately 15 seconds to tap the phone to accept the request. An Uber driver reported
that drivers can be temporarily suspended for ignoring these requests. Deborah
Hersman of the National Transportation Safety Board criticized the 15-second system,
saying that it presents a significant distraction to drivers, as drivers are financially
motivated to respond to fares while driving. In response, Uber has stated that the app "was
designed with safety in mind," and that drivers are not required to physically look at the
device to accept a fare.
According to South Carolina State Law (Governor's Action: June 24, 2015, Signed), Uber
Transportation Network Company Partner vehicles must pass annual safety inspections
and post an Uber emblem in the lower right (passenger) side of the windshield. This is a
safety provision that was added to the South Carolina Statutes (SC Statutes A88, R126,
H3525), Chapter 23, Title 58 of the 1976 Code is amended by adding: Section 58-23-1610).
P a g e | 36
The Hyderabad road transport authority banned Uber cabs a day after the Indian Ministry of
Home Affairs advised all states to stop the operation of web-based taxi services. A spokesman
for the authority said that Uber did not hold a license to operate in the city, and asked the
public to cease using Uber cab services.
Karnataka
New Delhi
In December 2014, following allegations of rape against an Uber driver in New Delhi,
India, Uber was banned from New Delhi for not following the city's compulsory police
verification procedure. The driver had been charged, then acquitted, of a prior sexual assault in
2011. Within two days of the rape incident, almost 7,000 people signed a petition calling on
Uber to conduct mandatory seven-year background checks on drivers, in line with its U.S.
operations. Delhi's transport department banned Uber from all activities related to the
provision of any type of transport service in the city. Uber issued a statement stating that it
would work with the Indian government "to establish clear background checks currently absent
in their commercial transportation licensing programs."
In banning Uber, Delhi's transport department cited a number of rules that Uber had broken.
According to New Delhi's Radio Taxi Scheme, 2006, all taxi licensees must be either a company
under the Companies Act, 2013 (or the 1956 Act), or a society under the Societies Registration
Act, 1860. Furthermore, taxi services must provide adequate parking space for all taxis, as well
as sufficiently sized office space to accommodate the control room, the maintenance of a
minimum fleet size per license (500 vehicles), and all vehicles must be fitted with GPS/GPRS
tracking systems (to be in constant communication with the control room while on duty). The
rules also stipulate that the taxi licensee is responsible for ensuring the quality of drivers,
including police verifications, supervision, and employee behavior.
P a g e | 37
Uber Vs Ola
We read about the convenience of Lyft, Uber and other private car hire firms seemingly
daily in Western media. While these services simplify car bookings and remove some of the
associated dangers and frustrations, this fast-growing industry has even greater potential
in developing markets, such as India.
Uber has its ‘Black’ and UberX services running in India, but it is a local company — Ola
Cabs — that leads the market, with a network of 11,000 drivers across 9 cities. Indeed, that
very company has just raised a whopping$40 million to ramp up its focus and bring
affordable and efficient transportation to more cities across the country.
“There is us, a couple of small local players and Uber, which is using a Westernized model,”
Bhavish Aggarwal, cofounder and CEO of Ola Cabs, says of the competition.
The company works with leading financial institutions that provide loans to help
prospective drivers buy their cars outright, and it also offers training to ensure drivers are
equipped to deliver a quality and safe experience for passengers. The funding will go into
expanding these initiatives into more parts of the country.
P a g e | 38
Right now, Ola Cabs covers over nine cities across India, but the company is aggressively
ambitious and is aiming to be in as many as 25 by the end of the year. That next tier of
cities, Aggarwal says, is where it can make its biggest impact yet.
“We are already present in some tier-two cities in India, and the adoption [of our service
there] is encouraging. The transport and logistics systems in these [and tier-three] towns
is even worse than in big cities like Delhi and Mumbai, and we can help make a difference,”
he explains.
India’s rate of vehicle ownership is low — 41 per 1,000 people ranks it 128th worldwide—
but Aggarwal believes that there is an opportunity for the population to “leapfrog”
automobile ownership altogether, and instead rely on booking services… like Ola Cabs.
No overseas expansion plans
With Uber, Lyft, Rocket Internet’s Easytaxi and Malaysia’s GrabTaxi rapidly expanding
their presence worldwide, does Ola Cabs have similar global ambitions?
“India has a population of more than 1.2 billion, so I think there’s enough here to keep us
busy,” Aggarwal says.
One thing we can expect is that Ola Cabs will raise more funding again soon,
although Aggarwal declines to offer a timeframe for when that might take place. “We’re
focused on growth at this point, not profit,” he says, before pointing out that the business is
a capital intensive one.
Prior to today, the three-year-old company had raised a $20 million Series B round from
Tiger Global and Matrix Partners last year. That followed an initial $5 million Series A
round from Tiger in 2012
Observation
Those written above were the experts review but as for Reality one often prefers Uber over
Ola because of the simple reason that Ola’s First 4 km Rate being INR 99 which makes it
comparatively expensive but a small proportion in percentage to actual cost. The app
handling is compact of Uber than Ola. Ola now uses Ola Share to cut the rates of their
fellow passenger’s but it holds the question “If it ensures the safety of its passenger”. Uber
has ‘Uber disguise’ disallowing the parties to save the actual details of the parties and a
Attention icon in their app which when pressed in case of any suspicion on the driven, will
contact their server and hence a local PS will be informed about the car and driver details
which helps them to secure their passenger. Though Ola has a Tie-up with TFS for cheaper
rates and many other functions but there is least for the safety. Also, I would like to add
P a g e | 39
upon that if there is a grievance from any passenger the Feedback group of Uber
‘DEENMA’ is far more responsive, abrupt and consumer friendly, giving the passenger’s a
upper hand and hence a quality service rather than that of Ola who’s Feedback portal is
more unresponsive.
P a g e | 40
UBER’S Promise
“We’re passionate about the cities we call home. Our teams are working to create
opportunities for millions of people and improve the way everyone gets from A to B. It’s no
small task. But we wouldn’t want it any other way.”
Respondents
Male
Female
50 50
We took a survey of 100 respondents, where number of female was 50 and that of male
were 50. These students were of 1 st 2nd and 3rd semester of Finance, SAJC and neighbors
from my apartment.
20
18
16
14
12
10 Male
Female
8
6
4
2
0
Always Often Occasionally Rarely Never
35
30
25
20
Male
15
Female
10
0
Friends Television Newspaper and Advt. on Web Relatives
Mag
Most of the students came to know about Uber through friends, followed by television
and online advertisements. This proves that word of mouth strategy by Uber is the most
P a g e | 43
successful means of making people aware about them and their products. This success
can only be gained through satisfied customers who act as advocates for your products.
60
50
40
Increased
30
Decreased
Unchanged
20
10
0
Male Female
The frequency of purchase for most of the male students has increased while it has slightly
increased for most of the female students but mostly remained unchanged.
(a)Poor service (b) Unprofessional driver (c) Latency (d) Rash driving (e) Bulky
app (f) Surcharge (g) Expensive (h) Others (please specify if any)
40
35
30
25
20
15
10
5
0
e er cy ng p ge e rs
r vic riv ten ivi y ap ar nsiv the
r h
se ld La d lk rc pe O
or na sh Bu Su Ex
Po ssio Ra
fe
pro
Un Male
Female
P a g e | 44
Expensiveness and Surcharge is basic reason why most of the sexes don’t use Uber. For
Females they sometimes feel insecure because the drivers are mostly male.
30
25
20
15 Male
Female
10
0
Always Often Occasionally Rarely Never
Promotional schemes influence more male students than female students to visit
Uber.
The frequency of visit is still very less as most of the male students occasionally
visit Uber app while in case of female students it is rare.
6. Primarily for how much distance would you use Uber?
40
35
30
25
20 Male
Female
15
10
0
Nearby Mi-range Pleasant Distance Farthest
P a g e | 45
Almost all the Students use Uber between the range of nearby to a pleasant distance.
Not everyone uses Uber for a very long distance. Mostly the females use Uber for a
long distance Travel.
30
25
20
15 Male
Female
10
0
Always Often Occasionally Rarely Never
Male students mostly go through the Surcharge before making their decision to use the
service than female students who occasionally mind the surcharge before taking their
decision.
5
4.5
4
3.5
3
2.5 Male
2 Female
1.5
1
0.5
0
Distance Time Rate Advance booking Promotions
P a g e | 46
Almost all the factors that Uber is focusing onto are of high importance to the students
in SAJC, both male and female have almost the same preferences about the parameters
for their bookings.
9. Kindly rate the satisfaction that you derived from Uber’s service?
50
45
40
35
30
25 Male
Female
20
15
10
5
0
Satisfied Somewhat Satisfied Average Somewhat dissapointed dissatisfied
From the graph we can see that the level of satisfaction is somewhat satisfactory. Almost
both the sexes have the same opinion about Uber. The only problem they always
complained about was the Surcharge pricing. Uber recently dropped their rates from
INR 9/km to 7/km which is about 22.5% of savings in the cost of the passengers which
is far satisfactory for the passengers.
Yes / no
P a g e | 47
Male Female
Yes
No Yes
No
Most of the Sexes Still prefers Uber over Ola but still many of them use Ola over Uber
that may be because of Inclusion og TFS in Ola which makes it more cheaper than
Uber.
P a g e | 48
Conclusion
So now that we have reached the end of our project work I would like to conclude it
with what I have learned from the project.
The marketing techniques used like DeLorean and other media and the most profound the
mouth conveyance is the epic way advertising strategy used by it and offcourse it’s the
ultimately the drivers who are the heroes of successful advertisement as their service towards
the customer is the most important form of advertising that any cab service company
requires.
P a g e | 49
Bibliography
ヽ https://en.wikipedia.org/wiki/E-commerce
ヽ https://simple.wikipedia.org/wiki/Electronic_commerce
ヽ https://en.wikipedia.org/wiki/E-commerce_in_India
ヽ https://en.wikipedia.org/wiki/Types_of_e-commerce
ヽ https://www.uber.com/
ヽ https://twitter.com/Uber
ヽ www.taxiautofare.com/taxi-fare-card/Kolkata-Uber-Go-fare
ヽ https://en.wikipedia.org/wiki/Uber_(company)
ヽ https://newsroom.uber.com/india/
ヽ https://www.uber.com/our-story/
ヽ https://www.uber.com/cities/
ヽ https://www.uber.com/safety/
ヽ https://www.uber.com/careers/