Abstract
The objective of this study is to analyze the strategies for entering the private urban transport services market managed by the multinational company Uber in the Guadalajara Metropolitan Area. The analysis included the growth conditions in coverage, its influence on urban mobility movements, and the decline due to competition, and finally to the 2020 pandemic. The entry of Uber to the local metropolitan area of Guadalajara market has experimented an impressive rise despite the conflicts with the traditional taxi systems of private transportation of passengers. However, the pandemic has suddenly turned down the increasing growth into a falling and decreasing phase. As a result, the analysis of this work shows the determining factors that have placed Uber as one of the leading companies within its area of influence and ends with some recommendations on the conflicts that the firm presents when entering a new market location.
TopIntroduction
Uber is currently an international firm that offers its customers a private transport service, through its platform, an application for smartphones, which associates travelers with drivers of vehicles registered in the system to offer a service of private transportation through vehicles to people. The organization classifies travel in many urban communities around the world and its headquarters are located in California. Initially, drivers had vehicles that the company certified as appropriate. After 2012, Uber includes a broader determination of cars for the market. The cars assigned with the portable application. With this application, customers can track the area of accessible cars and the qualities of both the car and the driver.
The big data solutions of the Uber Movement platform analyzed as a set of resources that allow the management and analysis of massive amounts of data, as Montealegre Gallocod (2017) concludes, have an important role in companies that need the information to plan or organize market strategies that impacts society by generating positive value for their clients.
The company's operations begin in July 2014 in Mexico and Guadalajara, according to its official website. The qualities of this organization are the association between the driver of the automobile and the traveler who requires the benefit of the vehicle. Operating simultaneously and a stage of virtual private connection and not as a taxi organization. His method of connecting the customer and the supplier has been a progressive path for the market and has changed the big point of view of transport to a creative method of world rivalry. The entry of the firm in Latin America has caused an extraordinary confusion in the organization of the relationship of the taxi drivers with the commercial risk implied by the prominence that Uber obtained in steps. Therefore, there is a solid resistance.
The objective of this work is to reveal information about the Uber mobile application and its foray into the Mexican open transport market, in particular from Guadalajara. The objective of this study is to analyze the strategies for entering the private urban transport services market managed by the multinational company Uber in the Guadalajara Metropolitan Area, the growth conditions in coverage, its influence on urban mobility movements and the decline due to competition, and finally to the 2020 pandemic.
To begin with, the document presents a general description of the strategic aspects of Uber and the service it provides. At this point, a description is made of how it has entered the Mexican market and has entered into direct competition with the conventional taxi service and other firms with a platform model similar to Uber. The article shows a general outline of the idea of Uber and the administration it provides and a brief synopsis of how it has entered the global transportation showcase.
Besides, the document delves into Uber from a strategic and competitive point of view (especially the taxi service), where an attempt is made to discover if the administration that provides this service, with its particularities and its competitive advantages, could be considered as a component of the same important market of different types of public and private transport. The intention to raise the advantages and disadvantages of this company in the market. Besides, what measures taken to solve the latter, as well as raise some competitive advantages that could be beneficial for the firm.
Key Terms in this Chapter
Private Transportation: The act and consequence of moving something from one place to another, as a service offered by individuals. It also allows to name those gadgets or vehicles that serve for this purpose, carrying individuals or goods from one place to another.
Urban Transport: Transportation that runs entirely within the same municipal term. ... Some regulations define it, in a less appropriate way, such as that which runs entirely on urban or developable land.
Competitive advantage: A competitive advantage is any characteristic of a company, country or person that differentiates it from others, placing it in a relative superior position to compete. That is, any attribute that makes it more competitive than the others.
Supply and Demand: The term demand refers to the quantity of goods or services that requested or desired in a certain market of an economy at a specific price. Offer, refers to the amount of goods, products or services that are offered in a market under certain conditions.
Strategy: The direction given to the internal resources of an organization based on changes in the environment, to obtain advantages.
Digital Application: A digital application (also called an app) is simply a computer program created to carry out or facilitate a task on a computing device. It should be noted that although all applications are programs, not all programs are applications.
Virtual Platform: Digital platforms or virtual platforms are spaces on the Internet that allow the execution of various applications or programs in the same place to satisfy different needs.
Uber: Uber is the name of an international company dedicated to the transport of passengers connecting customers and drivers thanks to a free application.