Introduction
While reviewing the market scenario it can be easily considered that globalization came up with a lot many advancements. In addition to that globalization also affected the mindset of the people and brings about the expansion of many industries. This eventually resulted in economic gains along with political cooperation which enhanced industrialization (Coker, 2014).
Thus this report is produced to provide a clear understanding of the opening up of the global economy in the context of organizations like Uber. In that context, there will be a description of the various significances of globalization along with its impact on Uber in an integrated and seamless manner. In other words, globalization is seemed to provide a win-win situation for the global economy which will get clearer from this report. Therefore the report will reflect the business expansion along with the economic growth and enhanced means of communication which eventually influences human life.
Company Background
The report has selected the context of globalization concerning the company like Uber. The company is well known as a transportation network company that has been headquartered in San Fransisco. In that manner, the company is seen to be operating in 570 cities worldwide. Afterward, the company provides the development of the markets with the rise of globalization and provides various operational activities through transportation, and food delivery mobile apps.
In that context, Uber is the company that has been one of the pioneers that have been sharing the economy which eventually changes the industrial scenario through the effect of globalization. Uber has been founded in 2009 and eventually, the company made the realization that makes the share the cost with people. This makes the process affordable to the people and Uber implemented this idea within it to make the customer base stronger. In later condition.
Significance of Globalisation
Globalization led to the emergence of the integration process of the world, societies as well as economies by bringing the shrinkage within the distances and enhancing the better way of communication. Thus the contextual factor that has been selected in this report engross the movement of people, goods, capital, information as well as knowledge irrespective of various geographical boundaries (Doling & Ford, 2017).
Moreover, globalization provides such a scenario in which there has been within to influence others and in that manner, it encompasses almost all aspects of human life that eventually influences human life quite effectively. Thus the significance that will result in successful industrial advancements is the creation of employment, proper usage of resources, and enhancement of multiple choices along with the foreign exchanges. In addition, there will be an advancement in technological innovations by providing the benefit to the customers. The most important part that globalization encompasses within it is the spreading of the risk associated with business loss (Jones, 2013).
In that manner, globalization is the contextual factor that can enhance various opportunities for the business industries with the expansion of their operations. In that condition government also makes the promotion of the building up of the infrastructure that influences the domestic employment levels. The effective business expansion enables the improvisation of communication that can have positive results over the increase in economic conditions (Mowforth & Munt, 2015).
This will help the domestic organization to grow internationally by sharing positive economic results. Thus the contextual factor that has been chosen for this report can be considered as the socio-political process that has been driven by two major factors namely, public policy and technology. Both factors act internationally and domestically which crosses economic borders across the world. In later conditions, the evolution of the economic systems stimulated the domestic production potential which specifically increases the financial opportunities abroad. In that context, the government also actively promotes international commerce through the effect of globalization (Mackinlay, 2013).
Impact of Globalisation on Uber
The evidence shows the result that Uber has been founded in the year 2009 and is named at that time UberCab. His founder is Garrett Camp along with cofounders Stumple Upon and Travis Kalanick. The company initially hired private drivers to start the service. In that phase, he shared the cost with people and made it affordable to the people. After that, the company launched various other Uber services along with the mobile app which is a major reflection of the advancements in technology along with the faster means of communication which further helps bring variations in the taxis of Uber (Potrafke, 2015).
After the launch of the mobile app in the year 2011 users are only allowed to hail black luxury cars which have a price 1.5 times more than that of a taxi. In that context, it is noticed that globalization has led to the emergence of Uber variations which can be named Uber TAXI, uberX, UberBLACK, UberSUV, and UberLUX. The services that Uber provides to the customers in the mobile app are one-tap rides, reliable pickups, clear pricing, being cashless and convenient, a feedback process, and an option for splitting the fare (Rupert & Smith, 2016). Thus globalization made Uber expand its market on an international basis along with expanding the matter of its technological advancements and managing its market trends as per the requirements of the market.
For that reason, the CEO of the company started his work with an obsession with reaching efficiency. The innovation implemented within it is to put more amounts of people in fewer cars. Moreover, the company provided the implementation of new services which will MapReduce the costs of the rides along with the emissions from the car. This is specifically for being environment-friendly (Robertson et al., 2014). This model is quite well known as the uberPOOL. It is the car that will match and fulfill the customer demand and eventually makes up for 20% of rides globally.
In addition to that it further carries out the specification to lower the price and make it cost-effective for the customers. This model is the uberX which makes the ride quite sustainable. Thus the specification of Uber is it is very easily available locally and tries to cover the foreign market for expansion. But opposite that Uber in some places face many legal issues and protest from the existing local taxi drivers. The most specification of Uber that has been the result of globalization is the company is the platform that has been considered software-driven. The applications and operations of Uber have been successfully driven by the installed software that guides the path of the processes. In that manner, the company majorly helps in saving many amounts of carbon dioxide for the environment (Tomaney, 2016).
Thus globalization specifically brings innovation within Uber making it sustainable as per the environment which can provide significant impacts which help Uber in expanding itself from infrastructure to environment to health. In other words, globalization is a contextual factor that successfully provides the gathering of actionable data, monitor system performance, and will improvise the customer experience which becomes the basic factor for the success of the company (Wright, 2016).
Critical reflection
The specification that has been discussed now in this report provides the fact that globalization encompasses many major factors within it. The social, economic, and political factors are very closely associated with globalization. In that case, it is evident that globalization is the process that sweeps the regulation and in that process, it destabilizes local as well as national politics.
In Aboutat, the national process works in a collaborative process that swipes away the local economies, cultures, polpoliticsd select forms (Van Hoa & Harvie, 2016). Thus it can be said the implementation of globalization helps in presenting the creation of new markets and wealth. In A manner, there haven thence whitehats who that globalization is the catalyst for movements that can become fruitful bringing social justice along with emancipation to thematization like Uber.
In this case, the report brings the fact that specifies the easy transfer of money, technology, and raw materials. Thus the report will focus on the description of a few theories which will help gain a competitive advantage in the foreign market. In that case, the competitive advantage can be gained by the proper analysis provided by the pestle analysis and there are five forces. Both these parameters will provide the proper reviews regarding the macro-environment (Wright, 2016).
Pestle Analysis: It is one of the major tools which will help in the categorization between strategic and competitive analysis. It will help Uber in having market expansion by providing their idea towofe political, economical, social, technological,d environmental facts. These will collaboratively help in designing the services through strategic effects which will be beneficial to the company (Potrafke, 2015).
The political factor will help provide information regarding the political climate within the nation. Thus it will collect the strength of the globalized business world. Next, to that the,e economic factor fixes the scenario of the economic landscape in front of the business world during business expansion. In A manner, the social aspect will provide the details of the social aspects which will directly influence the business environment and also help in the formulation of the strategy. Similarly, the technological factor will help in reflecting the idea regarding the technologies of the foreign country and how it will provide an impact on the organization as well as the market (Mowforth & Munt, 2015).
Along with that, the environmental factor is the factor that specifically mixes up the details that come under the biological and physical environments. Finally, the legal factors will help in providing their idea about the tax policies and enforcement tariffs on certain products. Thus the use of pestle analysis will help Uber in making proper business planning during expansion along with the marketing planning, product development,d structuring of the organization at a simple and low cost. Moreover, it encourages establishing strategic thinking and forming clear objectives.
Porter’s Five Forces: It is another that can be able to provide information with more detailed analysis and will guide in forming the strategic framework. It encompasses the details which describe the supplier power, barriers to entry, the threat of substitutes, degree of rivalry,d buyer power (Jones, 2013). The collective analysis of these discrete processes there will be a detailed analysis of the competitive environment which Uber will face in its foreign expansion. Thus it will provide the details that whether the expansion will have the potential to be profitable within the market (Rupert & Smith, 2016).
Specifically Uber gets to know reg balance of power in ween the industry players in de detailing the expansion. Thus the company will be able to make thearategic and competitive analyses during expansion into any new market. This eventually will help build a long-term business strategy along with the sustainable competitive advantages (Mowforth & Munt, 2015).
Recommendation & Conclusion
The report has illustrated the details of the required aspect by considering Uber as the organization which has felt the impact of globalization during its entire journey. In Aboutat before describing the impacts as well as influences of globalization on the company, the report contains the ascription of its sigsignificancehus it can be said that along with the pestle analysis and there are five forces Uber can also use the measure swot analysis by which the business quality can be more improvised along with the assumption of effective business outcomes as per the globalization wit concerning the operation and business of Uber in the competitive environment.
In addition to that, it is also recommended that the organization should work by implementing all other internal analyses the pestle can sometimes provide comprehensive information as there are regular changes with anticipating developments. In that context, there will be insufficient knowledge regarding the competitors. The market condition is always changing at a rapid pace so the nature of the power among industry players will not be sufficient for providing any strengths and directions for the description of the competitive forces.
References
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Doling, J. and Ford, J., 2017. Globalization and home ownership: Experiences in eight member states of the European Union. Housing and Urban Policy Studies 21.
Jones, R.B., 2013. Globalization and interdependence in the international political economy: rhetoric and reality. Bloomsbury Publishing.
Mowforth, M. and Munt, I., 2015. Tourism and sustainability: Development, gloglobalizationd new tourism in the third world. Routledge.
Mackinlay, J., 2013. Globalization and insurgency (No. 352). Routledge.
Potrafke, N., 2015. The evidence on globalization. The World Economy, 38(3), pp.509-552.
Rupert, M. and Smith, H. eds., 2016. Historical Materialism and Globalisation: Essays on Continuity and Change. Routledge.
Robertson, L.J., Sprong, H., Ortega, Y.R., van der Giessen, J.W. and Fayer, R., 2014. Impacts of globalization on foodborne parasites. Trends in parasitology, 30(1), pp.37-52.
Tomaney, J., 2016. The UK regional–national economic problem. Geography, globalization, and governance.
Wright, S., 2016. Language policy and language planning: From nationalism to globalization. Springer.
Van Hoa, T. and Harvie, C. eds., 2016. New Asian regionalism: responses to globalisation and crises. Springer.
