Uber Project

In: Business and Management

Submitted By dereksu
Words 1071
Pages 5
To: Dr. Nguyen From: Derek Su Date: November 22, 2015 Subject: Uber Extra Credit Project

What is Uber?

Uber Technologies Inc. is a network orchestrator, connecting passengers with drivers. Uber manages a network of drivers and passengers through a phone app. It also provides options and varieties in the transportation service.

Business Model:

Step 1 (Request a cab): The first step in the business model of Uber is about creating a demand. People have a smartphone app, which lets them request a cab instantly or schedule it for some time later.

Step 2 (Matching): As soon as the request is made, a notification about your details is sent to the nearest driver. Cab driver has the option to accept or reject the ride. In case he rejects, notification is sent to another driver in that area.

Step 3 (Ride): Customer can track the cab when it is arriving and the ETA is also shown to the customer. The meter starts as soon as the customer sits in the cab, which can be tracked through the customer side app as well. Friendly drivers make sure that the ride is comfortable for the passenger.

Step 4 (Payment & Rating): Once the ride is over, customer gets an option to rate the driver. Rating system is an important part of Uber’s business model as it lets a person know about the driver before booking a ride and helps him trust the driver.

Revenue Streams:

* Car rides on per km/mile basis * Surge pricing technology: Whenever the demand increases, per mile prices are automatically increased. The new price depends on the number of available drivers and the number of requests made by people who want to travel. Uber has applied for a price surge technology patent in the US. * Different cab models to cater to everyone like UberX, Uber Taxi, Uber Black, Uber SUV etc. * Uber Cargo, Uber Rideshare etc.

Competitors:

Lyft, Curb,…...

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