UBER - SWOT analysis
1 THE LIST OF FEATURES
1.1 STRENGTHS
Scalable solution, high potential for international operation – 30 points
market for taxi services exists everywhere.
Cash-less payments; ability to track and choose highly rated 25 points
drivers; getting a car with a single tap; clear pricing - ability to
check how much money you will pay up front and what the
price includes.
High valuation of Uber, large amounts of money from investors 20 points
are available for expansion of the company.
Low operational costs. The service is based on customer-to- 15 points
driver interaction through the application; no need for a
dispatcher or similar services.
Low prices compared to traditional taxi operators (uberPOP - in
Poland prices are 10-20% lower than a regular taxi).
10 points
No full-time drivers. Uber does not hire drivers, hence they do UNSELECTED
not have traditional responsibilities as a company toward
employees.
Still relatively small amount of competition from similar types of UNSELECTED
services.
Created at: www.cayenneapps.com 1 of 25
Trust and safety: accountability of drivers and clients (dual UNSELECTED
rating system).
Convenient for the drivers: flexible hours, ability to serve Uber UNSELECTED
as a part-time employee. Ability to reject unwanted clients.
Well recognizable brand UNSELECTED
Potentially an unlimited fleet of vehicles. Traditional Taxi service UNSELECTED
limits/regulations do not apply to Uber.
High standard of service (or very high: mostly with Uber Black), UNSELECTED
verified drivers and cars.
Created at: www.cayenneapps.com 2 of 25
1.2 WEAKNESSES
Ethically questionable relationships between Uber and its 40 points
drivers. Lack of real connection/loyalty between Uber and its
drivers.
Unpredictable business model. Uber is operating in highly 30 points
regulated market, constrained legislation and regulations.
Lack of bond between the company and its customers. For a 20 points
large number of clients the incentive to stay with Uber is low.
Low driver earnings in comparison to the high costs of operating
10 points
vehicle.
Privacy issues. Uber records where client gets the cab and UNSELECTED
where he goes with it.
The idea is easily copied; there is nothing which prevents UNSELECTED
competition from building the same product with, e.g., lower
prices.
Arrogance on the part of the executives, which can lead to UNSELECTED
unjustifiable business decisions, which can then lead to losses.
Weak knowledge of local markets around the world (such as in UNSELECTED
Poland).
Created at: www.cayenneapps.com 3 of 25
1.3 OPPORTUNITIES
Dissatisfaction with cab companies due to high prices or long 35 points
waiting time (especially in the U.S.).
Growing number of Uber's drivers will lower the ETA (Estimated
Time of Arrival) and make Uber service more popular and more
25 points
profitable for drivers (shorter time when the taxi is vacant).
New, big, exploitable markets in countries where taxi services
are expensive or inconvenient (e.g. India).
20 points
Increasing valuation, which can attract more investors and
provide Uber with more money to operate.
10 points
Additional services: transporting children to school, transporting 10 points
older patients to hospital, transporting pets to the vet.
Growing markets in small towns or in suburban areas where UNSELECTED
there are no taxi services available.
Cheaper electric cars, which will reduce the cost of working as a UNSELECTED
driver and increase the driver’s profit margin.
Created at: www.cayenneapps.com 4 of 25
1.4 THREATS
Drivers unhappy with lower profit margins will cause bad 45 points
publicity and discourage new drivers from joining Uber.
New legal regulations which will ban Uber from operating in
certain countries (Germany).
40 points
Conflicts with local authorities, which can lead to a number of
fines imposed on the company (as in Germany) and potentially
10 points
bad PR.
Growing competition will cause a decrease in prices, which may
discourage drivers from joining Uber in new markets and will
5 points
cause loss of some customers and eventually dilute the
company's revenues.
Because of growing number of markets and drivers, scandals UNSELECTED
and fraud harmful to the brand are much more probable (rape
case in India).
Potential overvaluation can lead to over-investment in countries UNSELECTED
where there is no room for more businesses of a similar types
(see: case of eBay which opened its office in Poland).
In the distant future: self-driving cars (e.g. Google Cars) will UNSELECTED
completely eliminate the need of having Uber or a taxi.
Created at: www.cayenneapps.com 5 of 25
2 THE CONNECTIONS
2.1 STRENGTHS AND OPPORTUNITIES
WHETHER STRENGTH:
Scalable solution, high potential for international operation – market for taxi services exists
everywhere.
ALLOWS FOR THE USE OF OPPORTUNITY:
Dissatisfaction with cab companies due to high prices or
long waiting time (especially in the U.S.). Yes No
New, big, exploitable markets in countries where taxi
services are expensive or inconvenient (e.g. India). Yes No
Growing number of Uber's drivers will lower the ETA
(Estimated Time of Arrival) and make Uber service more Yes No
popular and more profitable for drivers (shorter time
when the taxi is vacant).
Increasing valuation, which can attract more investors and
provide Uber with more money to operate. Yes No
Additional services: transporting children to school,
transporting older patients to hospital, transporting pets to Yes No
the vet.
Created at: www.cayenneapps.com 6 of 25
WHETHER STRENGTH:
Cash-less payments; ability to track and choose highly rated drivers; getting a car with a single tap;
clear pricing - ability to check how much money you will pay up front and what the price includes.
ALLOWS FOR THE USE OF OPPORTUNITY:
Dissatisfaction with cab companies due to high prices or
long waiting time (especially in the U.S.). Yes No
New, big, exploitable markets in countries where taxi
services are expensive or inconvenient (e.g. India). Yes No
Growing number of Uber's drivers will lower the ETA
(Estimated Time of Arrival) and make Uber service more Yes No
popular and more profitable for drivers (shorter time
when the taxi is vacant).
Increasing valuation, which can attract more investors and
provide Uber with more money to operate. Yes No
Additional services: transporting children to school,
transporting older patients to hospital, transporting pets to Yes No
the vet.
Created at: www.cayenneapps.com 7 of 25
WHETHER STRENGTH:
High valuation of Uber, large amounts of money from investors are available for expansion of the
company.
ALLOWS FOR THE USE OF OPPORTUNITY:
Dissatisfaction with cab companies due to high prices or
long waiting time (especially in the U.S.). Yes No
New, big, exploitable markets in countries where taxi
services are expensive or inconvenient (e.g. India). Yes No
Growing number of Uber's drivers will lower the ETA
(Estimated Time of Arrival) and make Uber service more Yes No
popular and more profitable for drivers (shorter time
when the taxi is vacant).
Increasing valuation, which can attract more investors and
provide Uber with more money to operate. Yes No
Additional services: transporting children to school,
transporting older patients to hospital, transporting pets to Yes No
the vet.
Created at: www.cayenneapps.com 8 of 25
WHETHER STRENGTH:
Low operational costs. The service is based on customer-to-driver interaction through the
application; no need for a dispatcher or similar services.
ALLOWS FOR THE USE OF OPPORTUNITY:
Dissatisfaction with cab companies due to high prices or
long waiting time (especially in the U.S.). Yes No
New, big, exploitable markets in countries where taxi
services are expensive or inconvenient (e.g. India). Yes No
Growing number of Uber's drivers will lower the ETA
(Estimated Time of Arrival) and make Uber service more Yes No
popular and more profitable for drivers (shorter time
when the taxi is vacant).
Increasing valuation, which can attract more investors and
provide Uber with more money to operate. Yes No
Additional services: transporting children to school,
transporting older patients to hospital, transporting pets to Yes No
the vet.
Created at: www.cayenneapps.com 9 of 25
WHETHER STRENGTH:
Low prices compared to traditional taxi operators (uberPOP - in Poland prices are 10-20% lower
than a regular taxi).
ALLOWS FOR THE USE OF OPPORTUNITY:
Dissatisfaction with cab companies due to high prices or
long waiting time (especially in the U.S.). Yes No
New, big, exploitable markets in countries where taxi
services are expensive or inconvenient (e.g. India). Yes No
Growing number of Uber's drivers will lower the ETA
(Estimated Time of Arrival) and make Uber service more Yes No
popular and more profitable for drivers (shorter time
when the taxi is vacant).
Increasing valuation, which can attract more investors and
provide Uber with more money to operate. Yes No
Additional services: transporting children to school,
transporting older patients to hospital, transporting pets to Yes No
the vet.
Created at: www.cayenneapps.com 10 of 25
2.2 STRENGTHS AND THREATS
WHETHER STRENGTH:
Scalable solution, high potential for international operation – market for taxi services exists
everywhere.
LIMITS THE IMPACT OF THREAT:
Dissatisfaction with cab companies due to high prices or
long waiting time (especially in the U.S.). Yes No
New, big, exploitable markets in countries where taxi
services are expensive or inconvenient (e.g. India). Yes No
Growing number of Uber's drivers will lower the ETA
(Estimated Time of Arrival) and make Uber service more Yes No
popular and more profitable for drivers (shorter time
when the taxi is vacant).
Increasing valuation, which can attract more investors and
provide Uber with more money to operate. Yes No
Additional services: transporting children to school,
transporting older patients to hospital, transporting pets to Yes No
the vet.
Created at: www.cayenneapps.com 11 of 25
WHETHER STRENGTH:
Cash-less payments; ability to track and choose highly rated drivers; getting a car with a single tap;
clear pricing - ability to check how much money you will pay up front and what the price includes.
LIMITS THE IMPACT OF THREAT:
Dissatisfaction with cab companies due to high prices or
long waiting time (especially in the U.S.). Yes No
New, big, exploitable markets in countries where taxi
services are expensive or inconvenient (e.g. India). Yes No
Growing number of Uber's drivers will lower the ETA
(Estimated Time of Arrival) and make Uber service more Yes No
popular and more profitable for drivers (shorter time
when the taxi is vacant).
Increasing valuation, which can attract more investors and
provide Uber with more money to operate. Yes No
Additional services: transporting children to school,
transporting older patients to hospital, transporting pets to Yes No
the vet.
Created at: www.cayenneapps.com 12 of 25
WHETHER STRENGTH:
High valuation of Uber, large amounts of money from investors are available for expansion of the
company.
LIMITS THE IMPACT OF THREAT:
Dissatisfaction with cab companies due to high prices or
long waiting time (especially in the U.S.). Yes No
New, big, exploitable markets in countries where taxi
services are expensive or inconvenient (e.g. India). Yes No
Growing number of Uber's drivers will lower the ETA
(Estimated Time of Arrival) and make Uber service more Yes No
popular and more profitable for drivers (shorter time
when the taxi is vacant).
Increasing valuation, which can attract more investors and
provide Uber with more money to operate. Yes No
Additional services: transporting children to school,
transporting older patients to hospital, transporting pets to Yes No
the vet.
Created at: www.cayenneapps.com 13 of 25
WHETHER STRENGTH:
Low operational costs. The service is based on customer-to-driver interaction through the
application; no need for a dispatcher or similar services.
LIMITS THE IMPACT OF THREAT:
Dissatisfaction with cab companies due to high prices or
long waiting time (especially in the U.S.). Yes No
New, big, exploitable markets in countries where taxi
services are expensive or inconvenient (e.g. India). Yes No
Growing number of Uber's drivers will lower the ETA
(Estimated Time of Arrival) and make Uber service more Yes No
popular and more profitable for drivers (shorter time
when the taxi is vacant).
Increasing valuation, which can attract more investors and
provide Uber with more money to operate. Yes No
Additional services: transporting children to school,
transporting older patients to hospital, transporting pets to Yes No
the vet.
Created at: www.cayenneapps.com 14 of 25
WHETHER STRENGTH:
Low prices compared to traditional taxi operators (uberPOP - in Poland prices are 10-20% lower
than a regular taxi).
LIMITS THE IMPACT OF THREAT:
Dissatisfaction with cab companies due to high prices or
long waiting time (especially in the U.S.). Yes No
New, big, exploitable markets in countries where taxi
services are expensive or inconvenient (e.g. India). Yes No
Growing number of Uber's drivers will lower the ETA
(Estimated Time of Arrival) and make Uber service more Yes No
popular and more profitable for drivers (shorter time
when the taxi is vacant).
Increasing valuation, which can attract more investors and
provide Uber with more money to operate. Yes No
Additional services: transporting children to school,
transporting older patients to hospital, transporting pets to Yes No
the vet.
Created at: www.cayenneapps.com 15 of 25
2.3 WEAKNESSES AND OPPORTUNITY
WHETHER WEAKNESS:
Ethically questionable relationships between Uber and its drivers. Lack of real connection/loyalty
between Uber and its drivers.
LIMITS THE USE OF OPPORTUNITY:
Dissatisfaction with cab companies due to high prices or
long waiting time (especially in the U.S.). Yes No
New, big, exploitable markets in countries where taxi
services are expensive or inconvenient (e.g. India). Yes No
Growing number of Uber's drivers will lower the ETA
(Estimated Time of Arrival) and make Uber service more Yes No
popular and more profitable for drivers (shorter time
when the taxi is vacant).
Increasing valuation, which can attract more investors and
provide Uber with more money to operate. Yes No
Additional services: transporting children to school,
transporting older patients to hospital, transporting pets to Yes No
the vet.
Created at: www.cayenneapps.com 16 of 25
WHETHER WEAKNESS:
Unpredictable business model. Uber is operating in highly regulated market, constrained
legislation and regulations.
LIMITS THE USE OF OPPORTUNITY:
Dissatisfaction with cab companies due to high prices or
long waiting time (especially in the U.S.). Yes No
New, big, exploitable markets in countries where taxi
services are expensive or inconvenient (e.g. India). Yes No
Growing number of Uber's drivers will lower the ETA
(Estimated Time of Arrival) and make Uber service more Yes No
popular and more profitable for drivers (shorter time
when the taxi is vacant).
Increasing valuation, which can attract more investors and
provide Uber with more money to operate. Yes No
Additional services: transporting children to school,
transporting older patients to hospital, transporting pets to Yes No
the vet.
Created at: www.cayenneapps.com 17 of 25
WHETHER WEAKNESS:
Lack of bond between the company and its customers. For a large number of clients the incentive
to stay with Uber is low.
LIMITS THE USE OF OPPORTUNITY:
Dissatisfaction with cab companies due to high prices or
long waiting time (especially in the U.S.). Yes No
New, big, exploitable markets in countries where taxi
services are expensive or inconvenient (e.g. India). Yes No
Growing number of Uber's drivers will lower the ETA
(Estimated Time of Arrival) and make Uber service more Yes No
popular and more profitable for drivers (shorter time
when the taxi is vacant).
Increasing valuation, which can attract more investors and
provide Uber with more money to operate. Yes No
Additional services: transporting children to school,
transporting older patients to hospital, transporting pets to Yes No
the vet.
Created at: www.cayenneapps.com 18 of 25
WHETHER WEAKNESS:
Low driver earnings in comparison to the high costs of operating vehicle.
LIMITS THE USE OF OPPORTUNITY:
Dissatisfaction with cab companies due to high prices or
long waiting time (especially in the U.S.). Yes No
New, big, exploitable markets in countries where taxi
services are expensive or inconvenient (e.g. India). Yes No
Growing number of Uber's drivers will lower the ETA
(Estimated Time of Arrival) and make Uber service more Yes No
popular and more profitable for drivers (shorter time
when the taxi is vacant).
Increasing valuation, which can attract more investors and
provide Uber with more money to operate. Yes No
Additional services: transporting children to school,
transporting older patients to hospital, transporting pets to Yes No
the vet.
Created at: www.cayenneapps.com 19 of 25
2.4 WEAKNESSES AND THREATS
WHETHER WEAKNESS:
Ethically questionable relationships between Uber and its drivers. Lack of real connection/loyalty
between Uber and its drivers.
INTENSIFIES THE IMPACT OF THREAT:
Dissatisfaction with cab companies due to high prices or
long waiting time (especially in the U.S.). Yes No
New, big, exploitable markets in countries where taxi
services are expensive or inconvenient (e.g. India). Yes No
Growing number of Uber's drivers will lower the ETA
(Estimated Time of Arrival) and make Uber service more Yes No
popular and more profitable for drivers (shorter time
when the taxi is vacant).
Increasing valuation, which can attract more investors and
provide Uber with more money to operate. Yes No
Additional services: transporting children to school,
transporting older patients to hospital, transporting pets to Yes No
the vet.
Created at: www.cayenneapps.com 20 of 25
WHETHER WEAKNESS:
Unpredictable business model. Uber is operating in highly regulated market, constrained
legislation and regulations.
INTENSIFIES THE IMPACT OF THREAT:
Dissatisfaction with cab companies due to high prices or
long waiting time (especially in the U.S.). Yes No
New, big, exploitable markets in countries where taxi
services are expensive or inconvenient (e.g. India). Yes No
Growing number of Uber's drivers will lower the ETA
(Estimated Time of Arrival) and make Uber service more Yes No
popular and more profitable for drivers (shorter time
when the taxi is vacant).
Increasing valuation, which can attract more investors and
provide Uber with more money to operate. Yes No
Additional services: transporting children to school,
transporting older patients to hospital, transporting pets to Yes No
the vet.
Created at: www.cayenneapps.com 21 of 25
WHETHER WEAKNESS:
Lack of bond between the company and its customers. For a large number of clients the incentive
to stay with Uber is low.
INTENSIFIES THE IMPACT OF THREAT:
Dissatisfaction with cab companies due to high prices or
long waiting time (especially in the U.S.). Yes No
New, big, exploitable markets in countries where taxi
services are expensive or inconvenient (e.g. India). Yes No
Growing number of Uber's drivers will lower the ETA
(Estimated Time of Arrival) and make Uber service more Yes No
popular and more profitable for drivers (shorter time
when the taxi is vacant).
Increasing valuation, which can attract more investors and
provide Uber with more money to operate. Yes No
Additional services: transporting children to school,
transporting older patients to hospital, transporting pets to Yes No
the vet.
Created at: www.cayenneapps.com 22 of 25
WHETHER WEAKNESS:
Low driver earnings in comparison to the high costs of operating vehicle.
INTENSIFIES THE IMPACT OF THREAT:
Dissatisfaction with cab companies due to high prices or
long waiting time (especially in the U.S.). Yes No
New, big, exploitable markets in countries where taxi
services are expensive or inconvenient (e.g. India). Yes No
Growing number of Uber's drivers will lower the ETA
(Estimated Time of Arrival) and make Uber service more Yes No
popular and more profitable for drivers (shorter time
when the taxi is vacant).
Increasing valuation, which can attract more investors and
provide Uber with more money to operate. Yes No
Additional services: transporting children to school,
transporting older patients to hospital, transporting pets to Yes No
the vet.
Created at: www.cayenneapps.com 23 of 25
3 SUMMARY
Below you can find the report based on the provided data.
3.1 OVERALL IMPACT OF STRENGTHS AND WEAKNESSES
The graphs below present the summarized impacts of strengths and
weaknesses on both your opportunities and threats.
vs
STRENGTHS IMPACT WEAKNESSES IMPACT
51.8 % 71.5 %
3.2 DETAILED IMPACT OF STRENGTHS AND WEAKNESSES
The charts below show what the impact is of strengths and weaknesses
separately on opportunities and threats.
74.0% 27.2%
Strengths allow for the use of Opportunities Strengths allow you to overcome Threats
62.8% 81.3%
Weaknesses limit the use of Opportunities Weaknesses intensify the impact of Threats
Created at: www.cayenneapps.com 24 of 25
3.3 IMPACT OF SPECIFIC FEATURES
The table below presents strengths with the biggest positive and weaknesses
with the biggest negative impact on opportunities and threats.
STRENGTHS IMPACT WEAKNESSES IMPACT
High valuation of Uber, large amounts of Ethically questionable relationships between
33.0% 42.0%
money from investors are available for Uber and its drivers. Lack of real
expansion of the company. connection/loyalty between Uber and its
drivers.
Cash-less payments; ability to track and
22.3%
choose highly rated drivers; getting a car with Unpredictable business model. Uber is
38.7%
a single tap; clear pricing - ability to check operating in highly regulated market,
how much money you will pay up front and constrained legislation and regulations.
what the price includes.
Low driver earnings in comparison to the
16.9%
Low operational costs. The service is based high costs of operating vehicle.
17.3%
on customer-to-driver interaction through
the application; no need for a dispatcher or Lack of bond between the company and its
similar services.
2.5%
customers. For a large number of clients the
incentive to stay with Uber is low.
Scalable solution, high potential for
14.7%
international operation – market for taxi
services exists everywhere.
Low prices compared to traditional taxi
12.7%
operators (uberPOP - in Poland prices are 10-
20% lower than a regular taxi).
Created at: www.cayenneapps.com 25 of 25