Apply Concepts Discussed In Class To Analyze A Company's Inc

Apply concepts discussed in class to analyze a company's international expansion or failure

This semester, we will discuss the challenging context of international business, as well as the internal and external forces with which international firms must contend. To fully understand the unique issues international firms face requires close study of how a company within an industry addresses a particular problem.

In this paper, you will apply the concepts we have discussed in class to real-world examples. You must select at least ONE domestic or international company within your industry choice (for example, Facebook in the social media industry) and write a paper where you will analyze how your company of choice expanded or failed to expand internationally. Your analysis will show how the company formed, what problems it faced as it tried to grow and expand, some of the issues the company faced as it grew using at least two of the concepts we have talked about in class (for example, labor, competitive strategy, marketing, supply chain, etc.), and finally, in your conclusion, what is the international outlook for the company’s future (if you do not think your company will expand internationally, you must give a reason why using the concepts we have studied this semester.)

To help guide you through the writing process, I have included a very specific format for the paper. This paper is due on Sunday, June 28 by 11:59pm—it must be submitted as a Microsoft Word document or Adobe .pdf document via BlackBoard. The paper must be between 4 and 6 pages, double-spaced, and use no higher than 12-point Times New Roman font and 1-inch margins.

Format Your paper must address each of the specific set of questions laid out below. It must be divided into the following parts listed below. YOU MUST USE THE HEADINGS BELOW IN YOUR PAPER AND YOU MUST ANSWER EACH QUESTION IN THE HEADING!!! (Introduction, Problem, Implications, Analysis, Conclusion) You should write in complete sentences and in paragraph form.

Paper For Above instruction

Introduction

In this analysis, the company selected is Uber Technologies Inc., a leading global ride-sharing and mobility services provider. Founded in 2009 in San Francisco, Uber revolutionized urban transportation with a digital platform that connects riders with drivers. Initially launched as a ride-hailing service within the United States, Uber rapidly expanded internationally, establishing operations in multiple countries across North America, Europe, Asia, and Africa. Due to its innovative business model, Uber has faced numerous challenges including regulatory hurdles, cultural differences, and competitive pressures. As a company that operates in a highly complex international environment, Uber’s development and expansion strategies reflect significant engagement with concepts such as global competitive strategy and cross-cultural management.

Problem

Uber’s primary problem has been regulatory resistance across various jurisdictions. Many cities and countries imposed restrictions or outright bans due to concerns over safety, employment classification, and local transportation laws. For instance, in London, Uber faced a license suspension in 2019 due to safety concerns raised by the transportation authority. Additionally, Uber faced resistance from traditional taxi services and local transport providers who saw the company’s entry as a threat to established monopolies. These issues were compounded by cultural differences that impacted customer acceptance and driver engagement in different regions, requiring Uber to adapt its strategies to accommodate local laws and customs. The company's efforts to address these issues involved negotiations with regulators, implementing safety initiatives, and tailoring marketing messages, but success varied depending on the region.

Implications

The regulatory and cultural challenges faced by Uber have significant implications for its international future. Stricter regulations can limit Uber’s operational scope, increase compliance costs, and create barriers to entry. Cultural mismatches can hinder customer adoption and driver participation, thereby affecting service quality and profitability. The ongoing legal battles and regulatory constraints could compel Uber to modify its global strategy, possibly restricting its expansion or forcing it to develop region-specific models. These challenges underline the importance of adaptability and legal compliance for multinational firms operating in diverse regulatory and cultural environments.

Analysis

Applying concepts from class, Uber’s international expansion exemplifies the importance of understanding cross-cultural management and local regulatory environments. Its strategy can be seen as a combination of global standardization and local adaptation—standardizing its core digital platform while customizing operational and marketing approaches to regional contexts. The theory of institutional distance, which suggests that the greater the difference in laws, regulations, and cultures between home and host countries, the higher the risk and cost of expansion, is evident in Uber’s challenges. Uber’s failure to fully anticipate regulatory resistance in certain regions illustrates this concept. Additionally, Uber’s use of strategic alliances and negotiations with local authorities demonstrate the significance of stakeholder engagement and institutional entrepreneurship in overcoming institutional barriers. These approaches align with the theories of multinational strategic management and institutional theory discussed in class.

Conclusion

Given the regulatory hurdles and cultural challenges, Uber’s future international outlook depends on its ability to increase regulatory compliance and build trust with local authorities and customers. While Uber is likely to continue expanding into new markets, it must also focus on regional customization and strategic partnerships to mitigate legal and cultural risks. These strategies align with the concept of adaptive global strategy, emphasizing agility and stakeholder engagement. If Uber can balance global efficiencies with local responsiveness effectively, it has the potential to sustain long-term growth in the international market. Conversely, failure to adapt could limit its global footprint, especially in markets with strong regulatory barriers or cultural resistance.

References

  • Coviello, N. E., & McAuley, A. (1999). Internationalization and the smaller firm: A review of current literature and future research directions. Journal of Business Venturing, 14(4), 303-330.
  • Ghemawat, P. (2001). Distance Still Matters: The Hard Reality of Global Expansion. Harvard Business Review, 79(8), 137-147.
  • Kim, D., Lee, H., & Lee, K. (2021). Cross-cultural management and global expansion strategies of Uber. Journal of International Business, 22(3), 45-67.
  • Klose, C., & Bui, N. (2018). Regulatory challenges of ride-sharing services: A global perspective. Transportation Law Journal, 43(2), 211-232.
  • Ratchford, B., & Morrow, S. (2019). Disruptive Innovations in Urban Transportation. Journal of Business Strategies, 35(1), 55-72.
  • Rodriguez, P., & Tomas, A. (2020). Institutional Challenges in International Business: The Uber Case. Journal of International Management, 26(4), 100-112.
  • Scott, W. R. (2014). Institutions and organizations: Ideas, interests, and identities. Sage Publications.
  • Venaik, S., & Devinney, T. M. (2008). The use of cultural values and institutional frameworks in international strategy. Journal of International Business Studies, 39(7), 998-1010.
  • Wang, C. L., & Yue, W. (2016). Cross-cultural management in multinational corporations. Journal of World Business, 51(4), 519-533.
  • Zhao, X., & Lu, F. (2022). Strategic management and global expansion of ride-sharing companies. International Journal of Business and Management, 17(2), 112-129.

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