The global expansion of UBER in ASIAN markets

This paper contributes to the literature on the internationalization process of new ICT companies, especially the ride-hailing developer firms. It analyzes the global expansion of UBER in the Asian market. UBER did an aggressive expansion using a standard business model in every market that they get into. The strategy was on scale economy rather than localization of services. The case analysis suggests that UBER was unsuccessful in its global expansion due to a number of factors especially t | 569 Int. J Sup. Chain. Mgt Vol. 8 No. 2 April 2019 The Global Expansion of UBER in ASIAN Markets Roderick Bugador Musashino University 3-3-3 Ariake Koto-ku Tokyo 135-8181 Japan Email roderick@ Abstract This paper contributes to the literature on which made innovative offerings to different users. the internationalization process of new ICT Be it in finance shopping education and companies especially the ride-hailing developer firms. transportation to name a few. All of these offerings It analyzes the global expansion of UBER in the Asian have disrupted many industries in favour of a new market. UBER did an aggressive expansion using a flexible and efficient business models 7 . standard business model in every market that they get into. The strategy was on scale economy rather than localization of services. The case analysis suggests that One of these newer ICT business models is the UBER was unsuccessful in its global expansion due to application-based taxi hereafter referred to as app- a number of factors especially the host economy based taxi service. The app-based taxi service is context and local competition. Eventually the defined here as those taxi services that can be company retreated from Asia and refocused its efforts processed through the use of an Internet application in their home market. This research shows that the starting from the registration reservations payment global expansion of ride-hailing firms is not as easy as evaluation and interactions by riders with the born global theory would predict. It demonstrates independent drivers and virtual staff. The app-based that ownership advantages are still relevant as there taxi is part of the overarching concept of sharing are still a lot of frictions in the global market. economy. This is where an idle resource such as an automobile is shared by private owners to other Keywords UBER ride-hailing firms global expansion users through an ICT platform. These sharing ownership advantages

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