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Evaluate the two options and recommend which one Uber should choose to become market leader. - Edexcel - A-Level Business - Question 2 - 2022 - Paper 1
Question 2
Evaluate the two options and recommend which one Uber should choose to become market leader.
Worked Solution & Example Answer:Evaluate the two options 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
Uber should consider adapting its services to meet the diverse requirements of the Indian market. Given that India has a vast population with varied languages and cultures, recruiting drivers who are fluent in local languages could help bridge communication gaps and improve customer satisfaction. This adaptation can also enhance their competitive edge against Ola and other local players. Moreover, understanding the unique characteristics of Indian cities, such as their traffic patterns, can inform better service offerings like tailored pricing strategies and enhanced customer support, which are more likely to resonate with local users.
Step 2
Decision for focusing on improving its business ethics
Answer
On the other hand, Uber must also focus on ethical business practices. Addressing issues regarding driver rights, including fair wages and safety standards, is crucial. By improving its reputation through ethical practices, Uber can differentiate itself from competitors like Ola, which have faced criticism over similar concerns. This focus on ethics can not only attract more customers who are concerned about corporate responsibility but can also create a more motivated workforce, directly affecting service quality and customer satisfaction.
Step 3
Recommendations
Answer
In conclusion, while both strategies are critical, Uber should prioritize improving its business ethics as a foundational step. Ethical practices foster trust and loyalty among customers and employees, which can fundamentally strengthen Uber's market position in the long term. Once a robust ethical framework is established, Uber can seamlessly adapt its services to meet local demands. This dual strategy of focusing on ethics coupled with localization could ultimately secure its position as a market leader.