Solution 2:
The core competencies of Uber are:
1. The surge pricing technology helped Uber manage demand and supply more
effectively than its competitor. In fact it was so important to its core business model
that Uber applied for its patent in the US.
2. Uber distinguished itself from its competitors by offering a plethora of services, like
UberHealth & UberAssisst to name a few, other than traditional cab services. Its also
launched a cheaper service called UberX for the price conscious customers.
3. Instead of trying to replace the shared public transportation system, Uber came out as
an alternative for poor cab infrastructure. and aimed to fix their low service standards.
4. Uber was extremely easy for drivers to onboard onto. Since the company presented
itself as a technology platform rather than taxi company, the traditional taxi laws
didn’t apply. It also shared 80% of the gross fares with their drivers, which meant
drivers were happy to be the part of the ecosystem.Apart from this, the drivers had to
option to work flexible hours, which made their life easier.
All these competencies made it a prime example of a successful sharing economy.
1. Sustainability: The ride sharing in Uber meant increased utilization of the available
cars (underused resources), which meant the carbon emission would be drastically
reduced (potentially upto 72%).
2. Social Benefit: Uber services like UberPool would increase interaction between the
local citizens in the area and strengthen communities. According to research, while
this may seem insignificant, the psychological and neurological benefits couldn’t be
ignored.
3. Technological Innovation: Uber was uniquely designed to seamlessly integrate with
the society using just a phone app. It changed the people perception about the sharing
economies by making Uber part of everyones daily life.