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Week 15 and 16 final project

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Running Head: Final Project
Case: Uber and Stakeholder: Managing a New Way of Riding
Project HR & Stakeholder Management (BADM 628 M40)
University of the Cumberlands
Assess Uber's position in mid-2015. What challenges does it face? Would it have been able to
achieve its staggering success without raising such controversy?

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Final Project
Although Uber was growing rapidly in 2015 as a private ride sharing company, there were
questions raised regarding the company tactics and stakeholder’s management in a rapidly
changing environment. Uber stakeholders were not aligned with the company’s vision along with
the regulatory and legal issues it faced around taxis and limousines. Additionally, different state
and local agencies raised questions around classifying Uber since it owned the data but not the
cars. Uber also stated that it was merely a data-based marketplace that connected riders to drivers
which increased the tension between Uber and the regulatory agencies. Uber also ignored the
cease-and-desist orders and continued to operate based on the stakeholder’s decisions. There were
several other issues around Uber’s use of GPS for its app, lax licensing requirements for drivers
and violence of insurance policies. There were several security concerns around Uber’s ability to
pick up and drop passengers at airport, unlimited customer data access, issues with surge pricing
and violating of several laws in and outside of the US. Uber drivers also protested and raised
lawsuits for taking a higher percentage of unexpected cut from some of the drivers. Uber drivers
were also responsible for their car’s maintenance, insurance, and taxes since they were independent
contractors not employees. Uber ratings were controversial as lower ratings led to Uber drivers
getting customer service experience, expecting them to be at the mercy of solely customers. In
some countries uber drivers were not even registered and therefore were charged with illegal taxi
service.
Although Uber’s lobbying tactics slowly started establishing a legal framework, it had a
significant history of clashing with its stakeholders such as the regulators. Due these clashes, the
regulatory agencies started recognizing Ubers behavior as childish and unprofessional. There are
several ways Uber could have achieved its success without raising controversy. As a starting point
it could have established clear and consistent rules for driver’s insurance, background checks,

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1 Running Head: Final Project Case: Uber and Stakeholder: Managing a New Way of Riding Project HR & Stakeholder Management (BADM – 628 – M40) University of the Cumberlands Assess Uber's position in mid-2015. What challenges does it face? Would it have been able to achieve its staggering success without raising such controversy? 2 Final Project Although Uber was growing rapidly in 2015 as a private ride sharing company, there were questions raised regarding the company tactics and stakeholder’s management in a rapidly changing environment. Uber stakeholders were not aligned with the company’s vision along with the regulatory and legal issues it faced around taxis and limousines. Additionally, different state and local agencies raised questions around classifying Uber since it owned the data but not the cars. Uber also stated that it was merely a data-based marketplace that connected riders to drivers which increased the tension between Uber and the regulatory agencies. Uber also ignored the cease-and-desist orders and continued to operate based on the stakeholder’s decisions. There were several other issues around Uber’s use of GPS for its app, lax licensing requirements for drivers and violence of insurance policies. There were several security concerns around Uber’s ability to pick up and drop passengers at airport, unlimited customer data access, issues with surge pricing and violating of several laws in and outside of the US. Uber drivers also protested ...
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