Unit 41 Marketing Issue Assignment - Uber

Unit 41 Marketing Issue Assignment - Uber

Unit 41 Marketing Issue Assignment - Uber


Diploma in Business

Unit Number and Title

Unit 41 Marketing Issue Assignment - Uber

QFC Level

Level 4


Innovation and technology have helped the economy to flourish in a favorable manner. It is with the increase in the innovation the technology had paved its way in the economy that increased the demand of new things to emerge in the market. Thus, it is the innovation that caused Uber to come to the scenario. Uber is a new form of public transport that people could hire for their travel through online booking. The application of the uber booking could be installed in the smart phones and it enables the people to get access to the source with the help of internet connection. It is the application that helps to make the people aware of the cost of the travel and the available number of uber that are present in the nearby areas. It further gives the people details about the time period at which the uber would be reaching the picking spot. It is observed that the price of uber is very pocket friendly and it makes the people want the opportunity to be used in a rapid manner. The marketing issue assignment discusses about the innovation that uber is incorporated with and how it helps the people with its innovative approach in a global sphere. It further focuses on the factors that hinder the development of the innovation. Moreover, the extent of the disruptive innovation in relation to uber is also discussed in the marketing issue assignment .

Analyzing and discussing the nature of innovation

Innovation and technology is the most apt things that helped uber to come in the market and gain its importance. Moreover, it is because people are more phones centric therefore; the access to uber becomes easier for the people and is mostly wanted by the people due to its good service and easy access. The nature of innovation that helped uber to come inside the market is as follows:

  • Focus of innovation: the increase in the communication technology have changed the way we think and act in day to day lives. it is with the increase in the emphasis in innovation that are shown by the scientist uber has become one of the wanted accessible item for the people that serve its Hsc services in an appropriate manner (Laurell, 2016, p.113).
  • Technology push: the application of the software being installed in the smart phones makes it very easy for the people to get access to the travel guide. It is with the help of the application that the people are aware of the service that uber could provide. On the other hand, it also displays the cost and the distance and the time it would require reaching a certain destination from the pick point. Thus, it is with the easy access to internet, the acceleration to technology had showed its display.
  • Market pulls: the innovative technology have been popularly accepted by the market. Thus, uber has become a remarkable pull in the market that tends to make a high percentage of profit with its excellent service served to its customers. Along with that, it had also made a good place in the eyes of the people with its satisfactory service and has earned a good name in the market. It has been further observed to be one of the dominating businesses that had become so popular with the passage of days (Bharwani, 2016, p.416).
  • Levels of innovation: it has been further observed that the level of innovation is increasing day to day with the updating of the application. Before, it was only the single hired uber that was there in the market, but now one uber could be shared by four people at a once. Thus, this further tends to reduce the expense of the purchase that is made by the people. Before, it was a normal cab that was available to people but now air conditioned uber are also there in the market that picked the interest of the people. 

Types of innovation were shown in the following:

  • Product:the product refers to the cars and the comfort that the car holds for the public with air condition facilities and comfortable seats.
  • Service: the service refers to the quick service that is shown by the organization thereby satisfying the needs of the public (Bharwani, 2016, p.416).
  • Process:the processing of the service is also very good from the start to till the end that is from the picking of its customer till dropping the customer at the desired destination and the payment for the service.
  • Strategy:the strategy refers to the satisfactory service that the uber present to its customer in employee relations to the payment modes that could be done by cash, online payment or through pay tm cash.

Identifying and analyzing the main drivers that helped to brought the innovation in uber

There are several drivers that helped to bring the innovation in the service of uber. Formerly, people had to wait for taxi for hours and then the rejection of the taxi driver that they cannot serve their customers. This caused the customers to get annoyed that made the other taxi driver suffer. It is with the introduction of uber in the economy the issues related to travel become meager for the public. It is because now in just a few clicks on their smart phone, having the application software of uber being installed in the phone the people could get access to uber. Thus, the drivers that helped the innovation in uber are as follows:

It is with the increase in the competition like ola cabs and taxi on time it made uber to introduce itself in the market. It is with its excellent service quality and satisfactory cost of purchase it made it a popular one among the many in the market. Further, to decrease the financial pressure of the people and increase the efficiency of its excellent service the popularity of uber maximized in the market (Bharwani, 2016, p.416). Further, it is with the rise in the customer’s expectation and need the importance of uber come into display in the market. The change in the economy and the lifestyle of the people with the rapid globalization made the industry to flourish in a more increasing manner. Along with that, to reduce the time and the expense of the people it further made its place in the market and caused its importance to raise high in the market. on the other hand, technology and globalization also plays an important role in relation to the driving factor that caused uber to become popular in the market (Jonas, 2016, p.8). The GPS navigator and the cost efficiency made a remarkable stand in the market. The introduction of several services like shared service of the uber is also a good example that could be illustrated to have been a driving factor that helped to soar its name in the market. The demand of the people for its service and the satisfactory service that it provides to its customer is another driving factor that helps the innovation of uber to make a good stand in the market. It is because the increase in the use of smart phones has made uber and its service easier to be available for the people.

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Evaluating the factors that hindered the innovation of uber

Certain driving factors being into display for uber to gain its importance in the market such that the name and the fame of the organization soar high. There are certain factors that hinder the innovation of uber which could be discussed as under. Considering the factors that highlights the individual are training and job rotation. Most of the drivers who drive the uber are not properly trained therefore; it tends to reduce the trust of the public to access the travel. On the other hand, the drivers are reluctant to take up the rotational shift of duty especially in country like India where people are keener to stay home at night. These cause a hinder for the innovation of uber to make a high stand in the market. It is because the services are available only when the drivers want to serve the customers and are making a bad name in the market (Greer, 2016, p.28). Further, the range of network is also very poor that hinders the innovation it is because the connection of internet is though available but the speed is so less that it does not support the application to be used easily by the leading people.

Along with that it is further observed that the rules and the regulations of the service are not properly being followed therefore, it further cause a hinder to the innovation that the organization has brought into display in the market. Moreover, the partnership service that is started by the organization is not fully accepted by the people. It is because the people are keener to use their own privacy rather than sharing the service with others. The level of competition also cause a hinder for the uber a\as there are many other organization’s like uber that are serving its service to the people therefore, a choice of distinction is coping up in the market (Bharwani, 2016, p.416).

Evaluating the extent of uber being a disruptive innovation in the industry

Uber is considered as a disruptive innovation because though with the introduction of gps system the driver could easily locate its customer and could offer its service to them by making the person reach his destination. At some point there is no availability of uber in certain areas cause uber to become a disruptive innovation. It is because at those areas still taxis are making its way to the customers and serving its service but the availability of uber is not seen at those areas. Moreover, the service is sometime not as good as it is suppose to be because the time that it displays would reach at the picking spot does not happen (Yang, 2016, p.56). It takes more than half an hour to reach the spot and that cause a hindrance for its innovation thus it could be claimed that uber’s innovation is disruptive. It is because it could not serve the need of the people on time and therefore, the inconvenience cause by the innovation had made its innovation disruptive.


It could be concluded from the above discussion that uber plays a very important role in the life of the people as its innovative measures helps to increase the consistency of the service. The service that is provided by the respected public travel helps to make the destination to be reached easier. On the other hand, it further helps to increase the liability of the transport facility as the people could connect to the internet and get the opportunity to get hold of an uber to reach their destination easily. It further discusses about the several factors that helps uber to get modified with the new innovation and updating of the application software. Moreover,uver provides a good scope for the people to get access to the public transport easily such that it is less time consuming and is less expensive too. It has gained its importance in the global sphere and it now one of the trusted and most reliable travelsscopes for the people. The people are also very keen to get access to uber when they are supposed to reach a destination in short time. The visible attribute of the system is increasing at a rapid pace and is becoming one of the most wanted platforms for all in the global sphere.

Reference list

Laurell, C. and Sandström, C., 2016. ANALYSING UBER IN SOCIAL MEDIA—DISRUPTIVE TECHNOLOGY OR INSTITUTIONAL DISRUPTION?. International Journal of Innovation Management, p.113.
Yang, Y., Han, W. and Shaw, M., 2016. A Framework for Disruptive Innovation Diffusion.
Greer, C.R., Lusch, R.F. and Vargo, S.L., 2016. A service perspective. Organizational Dynamics, 1(45), pp.28-38.
Jonas, A., 2016. Share and Share Dislike: The Rise of Uber and AirBNB and How New York City Should Play Nice. Journal of Law and Policy, 24(1), p.6.
Bharwani, S., Bharwani, S., Mathews, D. and Mathews, D., 2016. Customer service innovations in the Indian hospitality industry. Worldwide Hospitality and Travel Tourism Themes, 8(4), pp.416-431.