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Evaluate the issues and recommend which one Uber should choose to become market leader. - Edexcel - A-Level Business - Question 2 - 2022 - Paper 1
Question 2
Evaluate the issues and recommend which one Uber should choose to become market leader.
Worked Solution & Example Answer:Evaluate the issues and recommend which one Uber should choose to become market leader. - Edexcel - A-Level Business - Question 2 - 2022 - Paper 1
Step 1
Decision for adapting its products to India
Answer
India's diverse culture and languages necessitate that Uber customizes its services to local needs. By hiring staff fluent in local languages, Uber can provide better customer service and improve its market competitiveness against Ola. Furthermore, adopting payment methods that cater to local preferences, such as cash, may enhance user accessibility and trust.
Uber has faced challenges in enforcing its global practices in different markets. Unlike in the US and UK, where customers expect certain features, local strategies must be developed to resonate with Indian users. This means prioritizing issues specific to Indian cities, such as traffic and urban transportation needs, which would likely attract more customers.
Step 2
Decision for focusing on improving its business ethics
Answer
In the Indian context, ethics must be a core focus for Uber. Improving driver treatment and providing fair wages can enhance Uber's reputation. This would likely differentiate it from competitors like Ola. Being seen as an ethical business could build trust with customers who may have concerns regarding safety and service quality.
To stand out, Uber could implement higher ethical standards that not only comply with local laws but also go beyond them. This could help in enhancing customer loyalty, as ethically-minded consumers seek to support companies with responsible business practices.
Step 3
Potential judgement
Answer
The most critical aspect for Uber in India is to establish its position as a reliable and ethical ridesharing service. Given India's sensitivity towards ethical issues and the importance of service quality, focusing on enhancing both product offerings and ethical standards will likely provide a dual advantage.
Ultimately, Uber should adapt its products to fit the Indian market while concurrently improving its business ethics. This strategy will help it attract a loyal customer base while distinguishing itself from competitors. Balancing these two elements will not only support growth but also solidify Uber's reputation in the region.