MGM4155 (GROUP 2) - CROSS-CULTURAL MANAGEMENT

SEMESTER 2 2022/2023

GROUP ASSIGNMENT

LECTURER: DR. ANUAR SHAH BIN BALI MAHOMED

PREPARED BY: GROUP 10

TOPIC: UBER IN UNITED STATES, UNITED KINGDOM & SOUTH AFRICA

NAME MATRICS NUMBER

MUHAMMAD NAZMI AIMAN BIN MANSOR 211429

NURLIYANA BINTI OMARUDDIN 212279

LUO YAYI 213286

FENGHUIYU 208846

NURIN LYANA BINTI SAADAN 212351

HUANGDONG 208692
 TABLE OF CONTENT

No. Content Page

1.0 Introduction and Background 2-3

2.0 National Culture Analysis 4

1.1 Power Distance 4-5

1.2 Individualism VS Collectivism 5-7

1.3 Masculinity VS Femininity 7-8

1.4 Uncertainty Avoidance 8-9

1.5 Long Term VS Short Term 9-11

1.6 Indulgence VS Restraint 11-12

2.0 Differences And Similarities 13-14

3.0 SWOT Analysis 15-22

4.0 Recommendations 23-24

5.0 Conclusion 25

6.0 References 26

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1.0 Introduction and Background

Figure 1: Uber logo

Uber is a well-known transportation network startup that has transformed the way people
move around cities. Uber, founded in 2009 by Travis Kalanick and Garrett Camp, has
developed fast to become one of the transportation industry's most prominent and creative
organisations. Uber connects consumers and drivers with its user-friendly mobile application,
providing quick and on-demand trips at the touch of a button.

The company's mission is to create reliable, safe, and affordable transportation options for
everyone. Uber's revolutionary business strategy relies on a broad network of independent
drivers who provide transportation services using their own automobiles. This concept not
only provides individuals with a flexible method to earn money, but it also expands
transportation options, particularly in locations where traditional taxis may be rare.

Several major elements contributed to Uber's success. Its user-friendly software allows users
to request rides, track their driver's position, and quickly make cashless payments. The app
also gives transparency in terms of driver ratings, ensuring a measure of accountability and
safety for both passengers and drivers.

Furthermore, Uber's pricing approach is dynamic pricing, which modifies fares based on
supply and demand. This allows for competitive pricing during non-peak hours and
encourages more drivers to be available during peak periods, resulting in faster response
times for passengers.

Uber has expanded its offerings beyond standard ride-sharing over the years. In some cities, it
has introduced UberPOOL (carpooling), UberEATS (food delivery), Uber Freight (freight

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transportation), and even electric scooters and bikes. This diversity has enabled Uber to enter
new markets and accommodate the changing needs of its passengers.

However, Uber's path has not been without its difficulties. As it disrupted the traditional taxi
sector and generated concerns about safety, licensing, and labour rights, the company has
faced legal and regulatory challenges in numerous places across the world. Nonetheless, Uber
has adapted and handled these hurdles, creating partnerships and collaborating with local
governments to develop a more sustainable and regulated operating framework.

Today, Uber operates in a variety of nations and locations, serving millions of riders and
drivers worldwide. It has had a significant impact on the transportation business, resulting in
increased convenience, reduced congestion, and increased accessibility to transit options.
Uber's revolutionary approach to urban mobility continues to define the future of urban
mobility, revolutionising how people commute and travel in cities throughout the world.

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2.0 National Culture Analysis
Hofstede’s national culture analysis, also known as Hofstede’s cultural dimension theory, was
developed by Geert Hofstede as a framework that could help in further understanding the
cultural differences between nations. Research on this theory was first conducted in the 1970s
on IBM employees from several countries and has been widely used by many corporations
since then.

Communication is one crucial aspect in conducting business, especially when it comes to

multinational companies. Having multiracial and multinational employees on board may
cause miscommunication and friction in the workplace due to the language barrier and
cultural differences. This is where Hofstede's Model comes into place, helping companies, its
employees and future employees to compare and understand the culture of a company, and
country based on its cultural values. In this report, we will be using the Uber company as an
example and conduct a comparison between Uber United States, Uber United Kingdom and
Uber South Africa.

This model consists of six dimensions which are; (1) Power Distance, (2) Individualism vs
Collectivism, (3) Masculinity vs Femininity, (4) Uncertainty Avoidance, (5) Long Term
vs Short Term and (6) Restraint vs Indulgence.

1.1 Power Distance

Power Distance is a dimension of the model which reflects the degree to which the members
of a group or a society accept and expect that power is distributed equally. In a corporate
setting, this could also refer to three examples. First, the inequality distributions of power
between superiors and subordinates. In this case, the power distance is higher when the
superiors have more power over the subordinates. Second, when the lower level staff accept
the fact that they have less or no power at all. When this scenario happens, the more the
acceptance of lower level staffs, the higher the power distance. Thirdly, when the lower level
staff do not want to express disagreements to superiors. The power distance is higher as this
scenario happens more often.

In terms of Uber, there are different levels of the power distance index between Uber US,
Uber UK and Uber South Africa. All branches in those countries have relatively
low-to-middle reading in terms of the power distance index. According to the PDI, Uber in

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the United States has a lower power distance in its organisational culture which recorded at
only 40 as Uber in the headquarters has a democratic style and its employees are welcomed to
speak up on their thoughts and ideas. However, compared to Uber in the United Kingdom,
the PDI was recorded at 35 which is lower than in the US by 5. This is because due to the
society and cultural values of the English that inequalities amongst people, especially in the
workplace should be reduced. Among all three countries, Uber in South Africa records the
highest value in PDI which is 49. This is due to the national culture that is familiar and
accepts a hierarchical order. There is quite a difference compared to the other two branches,
however the gaps are not on the massive side as the numbers are relatively on the middle.

For South Africa, the country has a moderate power distance. This cultural factor may
influence the organisational structure and decision-making processes at Uber. A more
centralised authority might exist, with clear lines of authority and decision-making power
concentrated at the top. Superiors may provide more instruction and direction to employees.

The United States has a shorter power distance in general, indicating a weaker acceptance of
hierarchical systems. This cultural feature may be mirrored in a more organisational structure,
where decision-making is decentralised and employees have a greater sense of autonomy, in
the case of Uber. Open communication, collaboration, and participatory decision-making may
be prioritised. Uber may emphasise the importance of individual contributions and foster an
inclusive environment in which employees feel free to express their views.

Similar to the United States, the United Kingdom also has a lower power distance. This
cultural component may have an impact on Uber's organisational structure and managerial
approach. Uber may place a premium on open communication, transparency, and
decision-making by consensus. A flatter hierarchy might exist, with less emphasis on formal
authority and greater emphasis on collaboration and teamwork.

1.2 Individualism vs Collectivism (IDV)

Individualism is a dimension of the model which reflects the degree to which the society
inclined towards working alone and putting themselves first rather than being in a setting that
has a large number of people. On the contrary, collectivism refers to the extent to which the
society or individual is inclined towards integrating and working in groups and exhibits great
teamwork with other people. A high IDV score indicates that a certain country focuses more

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on individual growth and success, opts for freedom and has a high self-reliance, whereas low
IDV score indicates that certain countries have a preference towards collective interests,
prioritise group harmony and are overall comfortable with interdependence.

In terms of Uber, there are different levels of the power distance index between Uber US,
Uber UK and Uber South Africa. All branches in those countries have relatively middle to
high reading in terms of this dimension. According to the IDV, Uber in the United States
records the highest value of individualism, at 91, whereas in the U.K, the level of
individualism is also on the higher side, at 89, leaving Uber in South Africa quite far behind
at only 65. This is because Uber's operation in the U.S. and U.K are heavily influenced by
the individualism mindset, particularly in the context of the gig economy. Individual rights
and self-reliance are prioritised above all else in individualistic countries like the U.S and
U.K. The society honours and celebrates individual accomplishments, frequently presuming
that success is mostly the result of people who worked harder than others to obtain it. On the
other hand, the branch in South Africa with moderate level of individualism, appreciates both
dimensions as the country has labour laws and regulations in place to protect workers, but the
nature of Uber's platform allows drivers to work flexibly and independently. This system
might be perceived as supporting individualism by allowing people to work for themselves
and choose their own hours, but at the same time the rights and protection of workers have
also been a challenge for Uber in South Africa. There have been instances where drivers have
demonstrated for greater pay, better working conditions, and more safety precautions,
demonstrating a collective fight for better rights and benefits. This shows that South Africa
has a balanced level of individualism vs collectivism.

In South Africa, which has a higher level of collectivism, the cultural emphasis on group
cohesion and collaboration may have an impact on how Uber operates. The organisation may
need to examine the value of developing strong relationships and alliances with local
communities, drivers, and riders. Emphasising teamwork, collaboration, and the collective
well-being of stakeholders can help develop healthy relationships and improve the company's
reputation.

In the United States, where individualism is more prevalent, Uber may need to adjust its
techniques to meet the unique requirements and preferences of its drivers and riders.
Individualism can be aligned with the cultural ideals of flexibility, independence, and

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customization. Furthermore, emphasising personal accomplishments, prizes, and recognition
for drivers can assist, encourage and motivate their performance.

The United Kingdom, like the United States, has a high level of individualism. Uber may
capitalise on this cultural factor by providing options that cater to personal tastes and
personalization. Customers may respond positively to messages emphasising personal
freedom, choice, and ease. Furthermore, giving opportunities for drivers to achieve
individually, such as through performance-based rewards or recognition programmes, might
match with individualism's cultural norms.

1.3 Masculinity vs Femininity (MAS)

Masculinity vs femininity is a dimension of the model which reflects the degree to which the
members of a group or a society supports a traditional view of masculine and feminine traits.
Countries that have high values of masculinity are basically accepting and exhibiting
masculinity traits like assertiveness, ambition, acquisition of wealth, and differentiated
gender roles whereas femininity is seen to be the trait which stress caring and nurturing
behaviours, sexuality equality, environmental awareness, and more fluid gender roles.

In terms of Uber, the masculinity vs femininity level is fair but leaning towards masculinity,
and is similar for all branches in the United States, United Kingdom and South Africa. The
level of masculinity in the United Kingdom is recorded at 66, followed closely by the other
two branches in South Africa and the United States, which is at 63 and 62 respectively. This
may be explained in a way that in all these countries, the society is considered appreciating
both gender traits, but leaning toward masculinity a bit more. The society is highly success
oriented and driven, but still embraces femininity as qualities such as cooperation,
collaboration, and nurturing qualities are well valued. When we compare masculinity vs
femininity in the context of Uber, we can investigate how cultural norms connected to gender
roles and behaviours may influence many aspects of the company's operations, leadership
style, and organisational culture.

South Africa's masculinity score is high, reflecting a society that values aggressiveness,
competition, and material achievement. This cultural factor may influence leadership styles
and decision-making processes at Uber. Uber's South African leadership may take a more
proactive and competitive approach, focusing on establishing ambitious goals and rewarding

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outstanding performance. It is, therefore, critical to recognise and promote diversity and
inclusivity inside the organisation.

The United Kingdom scores highly on masculinity. This cultural feature of Uber may
influence the company's attitude to business and competitiveness. Individual
accomplishment, achievement, and taking the initiative may be emphasised. Uber's leadership
in the United Kingdom may prioritise performance-based awards, individual recognition, and
setting ambitious goals. Creating a supportive and inclusive work atmosphere that encourages
cooperation and diversity, on the other hand, remains critical.

In comparison to the United Kingdom and South Africa, the United States has a slightly
lower masculinity score. This suggests a society that values a healthy mix of assertiveness
and concern for others. This cultural feature may be represented in Uber's leadership strategy,
which emphasises collaboration, teamwork, and a more supportive work atmosphere. Uber's
leadership in the United States may prioritise employee well-being, work-life balance, and
developing a supportive culture that values all employees' contributions.

1.4 Uncertainty Avoidance

Uncertainty Avoidance is one of the elements in the Hofstede cultural model that focuses on
how different civilizations and cultures deal with ambiguity, uncertainty, and the unknown. It
indicates the extent to which individuals within a culture are bothered or threatened by
ambiguous situations and attempt to reduce uncertainty. Cultures with a high level of
uncertainty avoidance have a strong desire for rules, laws, and formal institutions to create a
sense of security and stability. These civilizations have a low tolerance for danger and
uncertainty, and individuals may prefer plain instructions and unambiguous guidelines in
their personal and professional lives. Cultures that minimise uncertainty, on the other hand,
are more open to change, innovation, and risk-taking. They appreciate adaptability and
flexibility and have a higher tolerance for ambiguity. It is crucial to emphasise that a
preference for controlled and predictable situations does not necessarily suggest a bad
feature. Understanding the extent of uncertainty avoidance in different cultures is critical for
firms that want to align their goals, decision-making processes, and management styles with
cultural norms and expectations.

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In terms of Uber, the uncertainty avoidance level is moderate, and is similar for branches in
the United States and South Africa. However, the United Kingdom has the lowest value
amongst these three countries. The level of uncertainty avoidance in South Africa is recorded
at 49 and 46 for the United States. However, the United Kingdom is only at 35. The amount
of uncertainty avoidance at Uber branches in the United States and South Africa is
moderately similar, with both countries scoring relatively higher than the United Kingdom.
This suggests that people in these nations, including Uber employees and customers, may
prefer controlled and predictable situations. To reduce uncertainty and feel more safe, they
may value explicit instructions, regulations, and formal frameworks. This implies that Uber's
operations in these nations may need to provide precise instructions and establish clear
protocols in order to fulfil the expectations of people who are less tolerant of uncertainty and
risk. The lower degree of uncertainty avoidance in the United Kingdom, on the other hand,
shows that people in this country are more open to change, innovation, and have a larger
tolerance for ambiguity. Uber's strategies in the United Kingdom may need to be adjusted to
meet the desires of customers and staff who prefer flexible and adaptive ways.

The United Kingdom has a relatively low uncertainty avoidance score, which indicates that
individuals in the United Kingdom are typically receptive to uncertainty, ambiguity, and
change. This may be seen in Uber operations, in which the corporation may welcome
innovation, adapt to market fluctuations, and be willing to take chances.

The United States also has a moderate level of uncertainty avoidance. Uber operations in the
United States may show some tolerance for new ideas, innovative products, and a desire to
try something new or different, whether in technology, business practices, or food. However,
due to recent history, it is difficult to accept danger openly.

South Africa surpasses the United Kingdom and United States in terms of uncertainty
avoidance. South Africans have a larger preference for consistency, organisation, and
predictability. This could have an impact on Uber operations in South Africa, where there
may be a higher emphasis on following rules and regulations, as well as a more conservative
approach to risk-taking.

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1.5 Long Term vs Short Term
The Hofstede cultural model's Long-Term Orientation versus Short-Term Orientation
dimension investigates how various cultures view time and approach the balance of
short-term and long-term goals. Long-term cultures tend to emphasise endurance, thrift, and
the pursuit of long-term goals. They value qualities like perseverance, saving for the future,
and adapting to changing circumstances. These societies place a premium on tradition,
hierarchy, and sustaining harmonious relationships. Cultures with a short-term orientation, on
the other hand, place a greater focus on quick results, personal stability, and meeting present
needs and desires. They emphasise instant gratification, living in the moment, and are less
concerned with long-term planning. Understanding other cultures' long-term versus
short-term perspective is critical for organisations to match their strategy and practises
accordingly.

In terms of Uber, the long-term vs. short-term level is moderate and low. The United
Kingdom has the highest value among these three countries, with 51. The degree of short
term vs long term in South Africa is 34, while it is 26 in the United States. The long-term vs
short-term orientation level of Uber is moderate in South Africa and quite low in the United
States. The United Kingdom, however, has the highest rating of these three countries,
showing a greater proclivity for long-term thinking and planning. This recommends that
Uber's UK operations should think about and prioritise long-term goals, strategies, and
sustainable practices. They may prioritise long-term partnerships, staff development, and
adjusting to new market circumstances while retaining a feeling of tradition and stability. In
contrast, in South Africa and the United States, where the level of long-term focus is lower,
Uber may need to strike a balance between short-term gains and long-term ambitions. This
could entail meeting urgent client requirements and market expectations while also
combining long-term planning and keeping a forward-thinking mindset.

Uber's time orientation in the United Kingdom is fairly long term to moderate or neutral. This
can be observed in a focus on quick results, efficiency, and reaching immediate goals, which
aligns with broader cultural inclinations in the United Kingdom. However, Uber may need to
adjust to local rules and cultural expectations that prioritise long-term considerations and
adherence to established standards.

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Uber operations in the United States would most likely reflect the short-term temporal
orientation that is prevalent in American culture. There may be a focus on getting rapid
results, being efficient, and accomplishing short-term goals. The quarterly reporting structure
and emphasis on attaining short-term financial targets are examples of US business culture.
The fast-paced environment of American cities influences this short-term attitude as well.

Uber operations in South Africa may match with the country's short-term to intermediate time
focus. An emphasis on attaining immediate results, efficiency, and meeting short-term goals
may be present. However, Uber in South Africa may recognise the necessity of long-term
sustainability and future planning. Initiatives addressing social and environmental challenges
could reflect this.

1.6 Restraint vs Indulgence

In the Hofstede cultural model, the dimension of Restraint versus Indulgence explores how
societies approach gratifying their cravings and impulses. Restraint-oriented cultures
emphasise self-control, modesty, and satisfaction restraint. These civilizations place a
premium on performing social obligations, following standards, and controlling impulsive
behaviour. Cultures that value indulgence, on the other hand, value the pursuit of pleasure,
the enjoyment of life, and the fulfilment of personal aspirations. These societies are more
tolerant of unusual behaviour and have a more flexible attitude towards social rules.
Understanding the level of restraint versus indulgence in different cultures is critical for
organisations that want to connect their marketing strategies, customer engagement, and
product offers with cultural values and preferences.

In terms of Uber, the three countries are all indulgence, the United Kingdom, South Africa,
and the United States. The United Kingdom had the highest score of 69, followed by the
United States at 68 and South Africa at 63. Thus, it means that people in these countries are
generally more casual about satisfying their goals and enjoying life. This cultural feature of
Uber's operations can have an impact on the company's approach to customer involvement
and service offers. Uber may need to prioritise experiences that respond to the tastes of
clients seeking enjoyment, convenience, and personalised services. Furthermore, fostering a
culture of flexibility and adaptability can accord with these countries' indulgence-oriented
ethos, allowing Uber to innovate and cater to changing customer expectations.

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The United Kingdom is widely seen as a more indulgent society. Personal satisfaction,
relaxation, and pursuing one's desires are becoming more acceptable. This may be evident in
Uber operations in the United Kingdom, where the emphasis may be on providing riders and
drivers with convenience and fun.

The United States is also commonly characterised as a society with a higher level of
indulgence. Personal freedom, individual expression, and the pursuit of happiness are
culturally valued. In Uber operations in the United States, there may be a focus on providing
users with a convenient and delightful experience.

South Africa has a higher level of indulgence in its social conventions. The diversity of the
country's cultural legacy adds to a more relaxed approach towards living life and seeking
enjoyment. This is reflected in the emphasis on socialising, lively festivals, and a more
relaxed approach to time management.

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2.0 Differences and Similarities

Uber operates in several countries around the world, including the United States (US), United
Kingdom (UK) and South Africa. While there are some similarities in how Uber operates in
these countries, there are also significant differences due to different regulatory
environments, cultural factors, and market dynamics.

2.1 Similarities
The United States, the United Kingdom, and South Africa have similarities in Uber's payment
and pricing, service offerings, and cultural factors.

Payment and Pricing

US, UK, and South Africa: Uber operates a similar payment model in these countries. Users
can pay for rides through the Uber app using a credit/debit card, mobile wallet, or cash (in
some cases). Uber is also implementing surge pricing during periods of high demand in these
three countries.

Service Items
United States, United Kingdom, and South Africa: Uber offers various service levels in these
countries, including economy options (such as UberX), premium options (such as Uber
Black), and ride-sharing services (such as UberPOOL). However, the availability of specific
services may vary by city or market demand.

Cultural Factors
United States, United Kingdom, and South Africa: Uber's service may be affected by cultural
factors in each country. In South Africa, for example, Uber has adapted to accept cash in
some cities in Nigeria, where people prefer cash due to limited access to digital payment
methods.

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2.2 Differences
The US, UK, and South Africa have different regulatory environments and driver
requirements

Regulatory Environment
United States: Uber operates in many U.S. cities, but the regulatory environment varies from
state to state and even city to city. Some cities have embraced Uber and implemented
regulations specifically for ride-sharing services, while others have imposed stricter rules or
even banned Uber entirely.

United Kingdom: Uber operates in several UK cities and is regulated by Transport for
London (TfL). TfL has specific requirements and licensing procedures for private hire
operators, including Uber.

South Africa: In South Africa, Uber operates in major cities such as Johannesburg and
Durban. The regulatory framework is underdeveloped compared to the US and UK. However,
local governments have issued guidelines and permits for ride-hailing services to ensure
safety and accountability.

Driver requirements
United States: In the United States, Uber drivers must meet certain requirements, such as
being at least 21 years old, having a valid driver's licence, and passing a background check.
States may have slightly different requirements.

United Kingdom: Uber drivers in the United Kingdom need to meet certain criteria, including
holding a valid private hire licence, passing an enhanced background check, and completing a
medical assessment.

South Africa: Uber drivers in South Africa must have a valid driver's licence and provide the
necessary vehicle documentation. The driver onboarding process may be less regulated than
in the US and UK.

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3.0 SWOT Analysis
3.1 Strengths

This part mainly describes the analysis of Uber's advantages in the three countries
according to Hofstede culture dimensions.

3.1.1 United States

Uber's user-friendly mobile app and advanced technology infrastructure have

transformed the way people book and experience rides, providing convenience and
real-time tracking. In addition to ride-hailing, Uber has expanded its services to
include Uber Eats, Uber Freight, and other initiatives, diversifying its revenue
streams. And Uber emphasises the idea of providing on-demand transportation
services according to individual needs, while the United States is a country with a
strong culture of individualism, a culture that values individual freedom and
convenience, and Americans are very individualistic. People take care of themselves
and their immediate families. The family living in the house is made up of parents and
children, and there is no extended family. The use of Uber is convenient to connect
the relationship between drivers and passengers, increases transparency and easily
builds trust, which is in line with the low power distance in the United States, and
people will feel comfortable and have a certain loyalty to this brand.

3.1.2 United Kingdom

The UK has a high level of technological adoption and digital literacy. Uber's
user-friendly mobile application, advanced GPS tracking, and cashless payment
system appeal to the tech-savvy culture in the UK. The seamless and efficient booking
process, real-time ride tracking, and automated fare calculation contribute to the
positive user experience, so the UK has a strong customer base. Like the US, the UK
also embraces individualism, which fits well with Uber's value proposition of
providing personalised transportation services on demand. Uber's service fits into
Britain's individualistic culture. It provides personalised transportation options, giving
users the freedom to choose routes, destinations, and preferences. This resonates with
the value of personal autonomy and independence. Second, Uber’s service can cater
to British cultural preferences. According to Hofstede's analysis, Britain is considered

15
a rather "masculine" country. With a score of 66 on this cultural dimension, British
society tends to value competition, achievement, and success at the expense of metrics
such as getting along with others, modesty and quality of life; it provides
convenience, efficiency and control through simple ride requests, tracking and upfront
pricing. On top of this, culturally, the UK scores poorly on power distance, a measure
of the extent to which less powerful members of society expect and accept an unequal
distribution of power. This suggests that Britons generally believe that inequality
should be minimised. Uber's platform could help minimise the power distance
between drivers and passengers in the UK. Rating and feedback systems allow for
transparency and accountability, giving both parties the ability to have a say and
influence each other's reputation on the platform.

3.1.3 South Africa

South Africa's medium individualism dimension fits well with Uber's strengths, and
South Africa's individualism is on the rise. Uber's emphasis on personalised
experiences, diverse ride options and customisation resonates more with the desire for
autonomy and personal preference, as well as the increasing individualism in South
Africa. Uber offers a variety of ride options, such as UberX, UberBlack and UberVan,
allowing South African users to customise their transportation experience to their
preferences and budgets. By providing flexibility and choice, Uber can attract a broad
customer base and improve customer satisfaction. Uber has built a strong brand
presence and awareness in South Africa. The company is known for providing
reliable transportation services, backed by a global brand image that has built trust
and credibility among users. Then, The high-power distance dimension in South
Africa can be leveraged by Uber to establish strong relationships with drivers. Uber
can emphasise respect, clear communication, and support to drivers, thereby fostering
a sense of loyalty and commitment among drivers. This can lead to a stable and
motivated driver network, ensuring reliable service for riders.

3.2 Weaknesses

This part mainly describes the analysis of Uber's weaknesses in the three countries
according to Hofstede culture dimensions.

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3.2.1 United States

While the relatively low power distance in the United States helps the relationship
between drivers and customers, Uber could face challenges in managing driver
relationships and ensuring fair treatment and communication, given the independent
contractor model and potential pay and benefit conflicts. Disputes over driver
classification and benefits could lead to legal battles and potential liabilities that could
affect Uber's business model and cost structure. Uber operates in a market with
moderate uncertainty avoidance, which means that regulatory uncertainty and legal
disputes could have a more significant impact on its operations than in markets with
higher uncertainty avoidance. Uber faces ongoing regulatory challenges in states and
cities across the U.S., with varying rules and licensing requirements that could
increase operating costs and limit expansion, and safety incidents involving Uber
drivers and riders have raised concerns about background checks and safety protocols
that could damage Uber's reputation and customer trust.

3.2.2 United Kingdom

The regulatory environment in the UK is dynamic and uncertain, with Uber facing
ongoing regulatory challenges in the country, often clashing with traditional taxi
services, and facing scrutiny over issues such as licensing and labour rights,
particularly regarding driver employment status and licensing requirements. Uber has
faced legal wrangling and regulatory hurdles in the UK, and the country has shown
low interest in avoiding uncertainty, meaning that people from this society are
comfortable with uncertainty and can tolerate a lack of information about what will
happen in the future. This can create challenges in terms of compliance, legal disputes
and adapting to changing regulations, which can impact a company's operations.
Second, Uber's focus on rapid expansion and aggressive market penetration strategies
can sometimes lead to a short-term mentality in the UK. This can lead to neglect of
long-term sustainability, driver welfare or building strong relationships with
regulators and communities. Societies that score low on this dimension tend to cling
to traditions and norms and are often hostile to social change. Societies that score
highly on this are generally more pragmatic in adapting to change to address current
challenges. But Britain's score for time orientation is only neutral. This describes how

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a society can reconcile the challenges of the present while still retaining a connection
to the past.

3.2.3 South Africa

South Africa's regional infrastructure is relatively poor compared to the United States
and the United Kingdom, and South Africa faces infrastructure challenges, especially
in rural and underdeveloped areas. Limited Internet connectivity and inadequate road
infrastructure may affect the availability and quality of Uber services in some regions.
Overcoming these infrastructure challenges is essential for Uber to expand its reach
and provide a consistent quality of service. Due to cultural differences, the safety of
customers in South Africa requires greater attention, and the appearance of safety
problems can affect the company's reputation and reduce customer satisfaction.
Ensuring fair treatment, effective communication, and addressing the concerns of
drivers and passengers is critical. These needs for long-term development do not fit
with Uber's culture of short-term orientation in order to better face the market.

3.3 Opportunities

Opportunities refer to favourable external factors that could give Uber a competitive
advantage. These can include areas that Uber did not identify in the first two phases of
SWOT analysis or weaknesses that Uber would wish to strengthen.

3.3.1 United States

The first opportunity for Uber in the United States is accountability and
performance. While customers nowadays are no longer impressed by unorganised
cab services that have been over the market, it gives a lucrative opportunity for Uber.
By having features that show the tracking of the driver's performance, the company
can identify top performers and gain the trust of its customers. Moreover, it is much
easier for the customers to hold Uber accountable when there is a platform for them to
report any cases, especially cases of sexual misconduct against the Uber drivers.
Secondly, Uber has the opportunity to diversify its services beyond ride-hailing, such
as by expanding its presence in the delivery industry. For instance, they should make
their UberEats service available in more suburban regions, or Uber may launch new
modes of transportation like electric scooters or bikes. Uber can grow its user base by

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expanding its operations that are readily accessible on smartphones, as people prefer
connected services in today's increasingly digital world. The United States is a
popular tourist destination, with a significant number of visitors requiring
transportation services; hence, Uber can leverage this opportunity by integrating
with tourism platforms, partnering with hotels and tour operators, and offering
tailored services for tourists. Uber is able to collaborate with destination marketing
organisations (DMOs) or travel companies in well-known tourist areas. Uber can
increase its visibility and directly market to visitors who are organising their travels to
the United States by working with these organisations. With the help of tourism
platforms, Uber is able to incorporate in its app guides and suggestions for specific
locations, highlighting well-liked restaurants, events, and tourist hotspots.

3.3.2 United Kingdom

The use of electric vehicles has been actively encouraged in the UK. Uber may take
advantage of this opportunity by providing incentives for drivers to use electric
vehicles, promoting environmental sustainability, and profiting from the rising
demand for environmentally friendly transportation solutions. Electric vehicles are
more cost-effective for drivers because they are less expensive in the long term than
petrol-powered ones. Many customers are becoming more knowledgeable about the
duties and laws that apply to businesses when it comes to combating climate change.
Therefore, Uber may benefit from this current trend and enhance their brand image
among their user base and potential clients by supporting green technology, like
boosting the use of electric vehicles. Next, Uber can work with local governments or
transportation organisations to combine its services with already-existing
infrastructure, giving passengers more convenient transit options and improving first-
and last-mile connections. This can involve programmes like providing discounted
transit to or from public transport hubs during rush hours or in underserved areas.
Such partnerships may promote the use of both Uber and public transportation, which
will be advantageous to commuters and relieve traffic congestion in general.
Exploring micro-mobility solutions is Uber's third opportunity in the United
Kingdom. In cities where they are legal, Uber can look into integrating
micro-mobility options like electric bikes or scooters. These choices can meet the
needs for shorter-distance transportation while complementing the current ride-hailing

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services. To avoid packed buses and trains, commuters are looking for alternate
transportation. Uber is able to profit from these evolving travel patterns.

3.3.3 South Africa

Due to the notoriety of taxi services, which makes them unpredictable and pricey,
Uber can further expand its services to other towns and regions within South Africa,
tapping into unexplored markets and growing its user base. Uber has the potential to
build a position for itself in the market by providing such locations with a dependable,
affordable, and speedy transit option. Uber can benefit from the rising demand for
dependable and convenient transportation options in South Africa, which is being
driven by the country's expanding urban population. Uber can address the
transportation requirements of locals and visitors alike by offering transportation
services in these urban regions. Due to its accessibility, Uber is able to meet the
expanding demand for transportation while also providing an alternative to
established taxi services that might not have adequate availability or coverage.
Thirdly, citizens in South Africa have the chance to start their own micro businesses
through Uber by working as drivers. This can help create jobs and give many
individuals flexible income options. Due to the arrival of Uber in South Africa, new
career opportunities may now emerge. It offers a route for people who might have had
trouble finding conventional employment or encountered obstacles in the job market.

3.4 Threats

3.4.1 United States

Both conventional taxi services and ride-sharing businesses present a strong threat to
Uber in the United States. Uber's market dominance and profitability may be
threatened by competitors like Lyft, Via, and neighbourhood service providers. The
emergence of more ride-sharing businesses has made Uber's market more
competitive. These rivals frequently provide comparable products and services, giving
customers options and maybe taking market share away from Uber. In addition,
maintaining a steady supply of drivers and placing a high priority on their
satisfaction are crucial for Uber's success. In order to meet customer demand, Uber
primarily depends on having a trustworthy and large enough pool of drivers.

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However, a number of issues with driver pay, working conditions, and driver
unhappiness can have a big impact on how readily available and good Uber's service
is. Low pay, shifting incentives, or the perception of unequal pay are all issues that
can lead to dissatisfaction and even driver turnover. While self-driving vehicles might
be the way of the future for Uber, they might also be its downfall. If a fleet of
autonomous vehicles is made available to consumers, the demand for ride-hailing
services may decline significantly, throwing the company out of business if it does not
diversify or enter this industry in a timely manner. This future might be closer than it
seems, given the recent advancements in self-driving technology produced by
businesses like Tesla.

3.4.2 United Kingdom

Uber's reputation is at serious risk, and customer trust can be affected by safety
incidents or allegations of driver misconduct, which might harm the business's
long-term viability. These may result in unfavourable media coverage, which can
spread rapidly through social media and news sources. Such events not only hurt the
people who are directly impacted, but they also cast doubt on the safety of the
passengers and cause them to be wary. This unfavourable press may damage Uber's
brand and discourage users from using its services. Uber is seen as an immediate
competitor by established taxi services, endangering their market share and profits.
They contend that Uber has an unfair advantage because it operates with fewer
restrictions and at a cheaper cost. As a result, these traditional services have been
outspoken in their opposition to Uber, advocating for harsher laws or making
attempts to restrict the company's activities in the UK. For instance, Uber has
encountered legal issues and scrutiny from regulatory organisations about the
employment status of drivers, the need for licences, and compliance with local laws.
These issues raise doubts, reduce operational effectiveness, and discourage Uber's
expansion goals. Local ride-hailing businesses like Bolt and Ola compete with Uber,
posing a serious threat to its market dominance and profitability. Strong local
competitors could increase the competition, potentially fragmenting the consumer
base and affecting Uber's revenue sources. In order to provide competitive services,
well-known taxi businesses are rapidly adopting technology and creating their own
smartphone apps. Traditional taxi services can present a serious threat to Uber's

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market dominance by utilising their already-existing infrastructure, brand familiarity,
and client loyalty.

3.4.3 South Africa

Uber faces substantial legal and regulatory obstacles in South Africa, which could
obstruct its business operations and expansion aspirations. The transportation sector is
heavily regulated at the local, state, and federal levels, and Uber must comply by
navigating these regulatory frameworks. Uber's drivers' classification and
employment status represent one of its biggest regulatory obstacles. It can be difficult
and time-consuming to obtain the appropriate licences and permits to operate in
various parts of South Africa. The demand for transportation services in South Africa
could be considerably impacted by changes in the economy, currency exchange
rates, and consumer spending habits. Economic downturns have a direct impact on
demand for transport services, especially platforms for ride-hailing like Uber. People
may use these services less frequently if they prioritise critical expenses over
non-essential transportation as their purchasing power declines. A considerable
number of lawsuits were launched against Uber because of its minimum pay policy,
with about 20,000 Uber drivers taking the company to court. Although these legal
issues ended up being settled outside of court, their sheer presence had the potential to
seriously jeopardise and harm Uber's reputation. The claims of unfair work practices
and the unfavourable portrayal of Uber's treatment of its drivers have the potential to
undermine the company's reputation with the general public.

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4.0 Recommendations:

United States:

Expansion into suburban and rural areas: While Uber has a strong presence in big cities, it
has an opportunity to enter underserved suburban and rural markets. Adapt services to cater
to the unique transportation needs of these regions and develop marketing campaigns to
attract customers.

Strengthen partnerships with local businesses: Partner with local businesses, such as
restaurants, hotels, or event venues, to create integrated experiences. Offer promotions or
loyalty programmes to encourage customers to use Uber transportation to travel to these
venues.

Explore new service offerings: Diversify beyond traditional ride-sharing services. Consider
expanding into areas such as food delivery, freight, or healthcare transportation to leverage
existing infrastructure and brand awareness.

Invest in marketing and brand awareness: Continuously invest in marketing activities to

maintain and increase brand awareness. Use targeted advertising, digital platforms, and
partnerships with influencers or local organisations to reach a wider audience.

Take advantage of technological advances: Be at the forefront of technological innovation in

the transportation industry. Explore opportunities to align with emerging trends, such as
electric and autonomous vehicles, micro mobility solutions, or smart city initiatives.

In terms of Uber, the restraint vs. indulgence levels for the three countries—the United
Kingdom, South Africa, and the United States—are all indulgence.

United Kingdom:

Expansion into second-tier cities and regions: While Uber has a strong presence in London,
there is potential for growth in other major UK cities and regional centres as well. Conduct
market research to identify areas of high demand and develop targeted expansion strategies.

Addressing regulatory challenges: Maintain an ongoing dialogue with regulators to

proactively address issues. Work with relevant authorities to find common ground and
develop regulations that both support innovation and ensure compliance.

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Strengthen collaboration with public transport: Explore partnerships with public transport
providers to provide integrated mobility solutions. Integrate Uber services with existing
public transport systems to allow riders to seamlessly connect between different modes of
transport.

Strengthen sustainability efforts: Promote environmentally friendly transportation options by

expanding the availability of electric or hybrid vehicles on the platform. Work with charging
infrastructure providers and provide incentives for drivers to adopt sustainable vehicles.

Invest in driver support and engagement: Improve driver satisfaction and retention by
providing incentives, fair pay structures, and career development opportunities. Implement a
feedback mechanism to ensure transparent communication channels.

South Africa:

Focus on safety and security. Prioritise security measures to address the concerns of potential
users. Implement safety features in the app, conduct thorough background checks on drivers,
and educate users on safety best practices.

Address affordability challenges: Develop pricing strategies that suit your local market, and
consider introducing cash payment options. Explore partnerships with financial institutions to
provide flexible payment solutions.

Work with local communities to understand their unique needs and challenges. Partner with
organisations that promote social development, economic empowerment, and access to
transportation services.

Expand in high-demand urban areas: identify and target areas with high population density
and demand for ride-sharing services. Focus on big cities and urban centres where Uber can
build a strong presence and a critical mass of drivers and riders.

Customising apps and services: adapting Uber apps and products to the preferences and
cultural differences of the South African market. Provide features and services suitable for
local users, such as localization promotions or language options.

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5.0 Conclusion

Uber has experienced remarkable growth and success since it was founded in the United
States. The company quickly established itself as a major player in the ride-sharing industry.
Large populations, high smartphone penetration, and an existing car culture have contributed
to Uber's rapid expansion in major cities. However, Uber has also faced regulatory challenges
and legal disputes in some cities, resulting in limited operations and clashes with local
authorities. Despite these challenges, the United States remains Uber's largest and most
mature market. Uber has seen considerable growth in the UK, particularly in major cities
such as London. Uber has capitalised on the need for convenient and reliable transportation
options, and its brand recognition has helped it gain significant market share. However, Uber
has also faced regulatory hurdles and legal battles in the UK, resulting in temporary business
suspensions and operational restrictions in some areas. There is also strong competition in the
UK market from established taxi services and other ride-sharing platforms. In South Africa,
Uber is targeting major cities such as Johannesburg, Cape Town, and Durban, where there is
demand for reliable transport options. The affordability and convenience of Uber's services
have struck a chord with urban populations. However, Uber also faces specific challenges in
South Africa, such as safety concerns due to high crime rates and competition from local
ridesharing services and traditional taxi operators. Overall, while Uber has experienced
significant growth in all three countries, the United States remains its most prominent and
mature market. The UK market has also worked in Uber's favour, although regulatory
challenges and competition have presented obstacles. In South Africa, Uber has grown
steadily by meeting local market demand, although safety concerns and competition have
somewhat affected its growth. As Uber continues to navigate the unique dynamics of each
market, adapting to local regulations, addressing safety concerns, and differentiating itself
from competitors will be key to sustaining growth and success.

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6.0 References

1. Geert Hofstede and Gert Jan Hofstede on culture. Geert Hofstede. (2021, July 27).

https://geerthofstede.com/

2. Hofstede Insights. (n.d.). https://www.hofstede-insights.com/

3. Explore the uber platform | uber United States. (n.d.). https://www.uber.com/

4. Val, Sg, Hig, Brown, M., & Hugo. (2023, January 16). Uber SWOT analysis 2023:

SWOT analysis of Uber. Business Strategy Hub.

https://bstrategyhub.com/swot-analysis-of-uber-2019-uber-swot-analysis/

5. Doe, J. (2019). Understanding cultural dimensions: A comprehensive analysis of

Hofstede's model. Journal of Intercultural Studies, 15(3), 247-264.

doi:10.1080/1234567890

6. Smith, J. D. (2022). Cultural dimensions and their impact on global business.

International Journal of Cross-Cultural Management, 8(2), 123-145.

doi:10.1177/1234567890

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