Bad news for technology startups has become an everyday notion. From plunging valuations to drying up of funds and layoffs to complete shutdown of operations, the startup l andscape is slowly but steadily losing its aura. This wasn’t the case in the industrial revolution of the 17th century, for enterprises of those times could beat the odds and sustain their survival, many till this day.
The so-called 4th industrial revolution that we are witnessing today is surely riddled with impediments and every passing day comes as the yet-another shocker for economies around the globe. Uber, one of the most successful ride-hailing startups, has seen a major management upheaval as its co-founder and chief executive, Travis Kalanick, has been forced to step down by the cartel of shareholders.
Is this the beginning of the end? Predictably, the company will lose some valuation, and the near future operations will have a shadow of uncertainty and sudden, even kneejerk changes. The bottom line is that this successful venture cannot be allowed to die a needless demise and here we come with five uncomplicated measures to boost company’s India operations.
- Know the Indian market – India is altogether a different market, financially as well as culturally. While Alibaba could thrive in China, Amazon could hit profits in the US, Indian e-commerce is still in distress, uncertainty. Deciphering the mindset of Indian riders and their cab booking patterns is the crucial first step.
- Take bold decisions – Offering unsustainable discounts isn’t bold. What bold here is reversing the trend of senseless discounts which have rendered the operations unviable. The logic is simple- one who needs a cab would pay additional INR 50, provided that the rider realizes the fulfillment of her/his desire- a simple economic principle.
- Involve drivers in policy making –Nowhere in the world will you find such unity in thoughts and aggression as it is when we talk about unions in India. Remember, your fleets in India are being run by drivers who are used to unprofessionalism, for in India quality matters the least. Drivers are neither prudent in economics nor do they know how corporates run; educating them on policy decisions is the best way to find their crucial support.
- Recognize your utility –Unquestionably, the idea of aggregating cab services is brilliant and viable when it comes to the Indian market. Not everyone owns a car in this country and those who do also avail cab services quite often. The unorganized taxi market until now charged high rates for travels, even when discounts would go, Uber rates will still be on the lower end. Hence there is no argument that suggests that your functioning is highly needed.
- Economies of scale –Tap new markets; the rural India awaits your entry. A good monsoon lifts the sale of smartphones, gold and other luxury items in rural parts, then why won’t people hire cabs to travel? Agreed, this involves an altered approach like rethinking the car models in the fleet and booking via basic phones, but the returns may outweigh all the labor.
Also read: Failures – A Part of Your Entrepreneurial Expedition
