Marketing strategy is essential to the success of a firm since it enables it to sell its products to the market. It is essential to undertake market research to determine the appropriate marketing strategy for the firm. The following paper analyzes an article on Uber drivers to determine the issues addressed by the article.
Question 1: A brief description of the main ideas covered by the article
The article addresses the technological advances made by Uber to ensure that it has increased its market share. For instance, Uber has ensured quick access to its services through a phone App that enables the user of the App to determine if he or she is drunk beyond the set legal limits. If the user is drunk, the App will advise the user to contact an Uber Taxi. The new strategy will ensure that there are minimal crashes due to drunk driving while promoting the company market share (Ellen 6). The article also addresses the dangers of the new intelligent software development, which poses a threat to humanity. Everyday new technology is developed, which has better intelligence. This may be a threat since it would be difficult to control such intelligence in the future.
The article also addresses the economic importance of technology development since it will lead to an increase in market share. The firm uses its technology to reach to potential consumers in the market by establishing the needs and developing measures to achieve their needs. The use breathometer to guide an individual if to call a taxi is essential since it attract a new class of employees in the market (Ellen 5).
Question 2: Points of agreement/disagreement with the article- a critique
It is evident that most companies are using technology to gain a competitive advantage in the market. The new technology allows consumers to access information about products and the location to get the products. It is true that most companies have developed Apps to ensure that the consumers get the information required (Smith 213). This has reduced the advertising cost of companies since they do not have to pay to ensure that the information reaches the market. The article view on the need for following ethical standards is accurate. The market is shifting to ethical consumerism since most consumers make a purchasing decision based on the company ability to follow ethical guidelines (West & Essam 291). In some cases, consumers have boycotted some products in the market since the company does not follow the ethical requirements.
Technological development has ensured that organizations undertake their functions in a convenient manner. In addition, it has improved business process, hence most companies have invested in technology. However, studies indicate that technology improvement has led to massive unemployment especially for casual employees. Most of the activities carried out by employees can be done by the new technology (Smith 152). This is a threat to the economy since it will lead to massive loss of jobs in the society hence lose of income. Income among the issues that determine consumer purchasing behavior, hence lose of jobs will reduce the purchasing power of the consumers. Business products will lose their market share since the consumers do not have the power to purchase.
Uber Taxi Company will benefit from the technology improvement since it will gain a competitive advantage over other firms offering the same services. The Taxi business is a competitive industry since each company seeks to increase its market share. However, the new technology used by Uber will ensure that the drunk drivers locate a nearby Uber taxi based on their breathometer reading (Ellen 5). Drunk driving is against the law, hence many drivers have to take a cab after drinking. However, it is difficult to determine if one has taken alcohol beyond the legal limit. The breathometer will assist the driver to determine if he or she cannot drive due to the legal restrictions. Most people in the society are using smartphones, hence the partnership will ensure the growth of the firm. Determining the most used technology in the market is essential for companies since it guides them on the technology to use (Schlee 213). The article fails to address the issue of the drivers without smartphones since they cannot access the App.
Question 3: Key learning/take-outs from the reading
There are key take-outs that can be derived from the reading. The first is that technology has changed the marketing perspective for many companies. Firms have to invest in technology to market their products and to ensure that their products and services are near consumer reach. In addition, a company must ensure that it informs the consumers on its product features through technology (Smith 312). Most consumers are using the internet to access companies’ information to determine the best quality in the market.
The second take-out is the need for ensuring ethical business process. The article addresses key issues that relate to ethical guidelines in technology and the need for setting ethical goals for companies. Ethical standards are essential since they influence consumer behavior in the market. Every firm must ensure that its values relate to quality and the need for customer satisfaction. The use of technology should follow the ethical guideline set by law. For instance, the company should not use personal information corrected by the App to in other factions other than for advertising purposes (Schlee 76). Technology allows a company to reach to a certain target market in an industry. For instance, Uber breathometer enables the company to reach to the drunk drivers.
Question 4: Implications for marketing strategy and the achievement of competitive advantage
Marketing strategy ensures that a firm reaches its potential consumers to influence their purchasing behavior. Uber Company controls taxi much of the market share worldwide due to their marketing strategy. The firm provides taxi services at a competitive price compared to its competitor. In addition, the firm App enables the customers to determine if there is a Uber Taxi driver near him or her. The App also provides detailed information about the company and the services it provide. This encourages the customers to use their services since they have information about the company. Uber Company ought to adopt a marketing strategy that will enable them to gain a competitive advantage (Smith 147). For instance, Uber can invest in differentiation strategy or price leadership strategy to increase its market share.
Differentiation strategy will enable Uber to differentiate its services from other similar taxi services in the market through advertising or additional of unique features. Uber has already differentiated itself since it has embraced technology as a key marketing strategy. The app enables the firm to reach to more customers in the market, hence enhancing it performance in the market. Price leadership entails reduction of cost of service provision for Uber Company, this will ensure that the firm provides its services at lower cost. This will enable the company to offer its services at a competitive price since the cost of service provision is low (West & Essam 107). In addition, Uber ought to utilize marketing mix to ensure high revenue from its services in the market. For instance, the company can invest in quality of services provided to increase customer loyalty and ensure positive brand name. Marketing mix entails the provision of quality services that will create utility and satisfy the consumers’ needs (Schlee 84).
Works Cited
Ellen, Huet. Forbes - Uber Partners With Breathometer To Suggest Drunken-Driving Alternatives. Forbes, 2015. Print.
Schlee, Christian. Targeted Advertising Technologies in the Ict Space: A Use Case Driven Analysis. Wiesbaden: Springer Vieweg, 2013. Internet resource.
Smith, Mike. Targeted: How Technology Is Revolutionizing Advertising and the Way Companies Reach Consumers. New York: AMACOM/American Management Association, 2015. Print.
West, Douglas, and Essam Ibrahim. Strategic Marketing: Creating Competitive Advantage. Oxford: Oxford University Press, 2015. Print.
