PESTLE Analysis of Uber | Uber PESTLE Analysis

by Shamsul
Uber PESTLE Analysis
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PESTLE Analysis of Uber | Uber PESTLE Analysis


Uber is one of the fastest increasing app taxi-sharing companies in the world. They have been in the limelight or news due to some specific reasons. The main popularity of this company is its different controversies such as banning, minimum wage problems, and other related issues. Despite all the controversies, the company is still growing in terms of profitability and popularity. In this PESTLE analysis of Uber, we will talk about political, economic, social, technological, legal, and environmental factors that can affect the company. Let’s begin:

PESTLE Analysis of Uber | Uber PESTLE Analysis

Political Factors (Unlimited Controversies):

Uber has faced a lot of controversies on different issues. At the start, they did not have obvious regulations. They didn’t have a clear insurance policy. So, it is really difficult to determine the faulty whether it is the driver of the company in case of an accident. They faced different problems in different countries. In France, they faced penalties due to ineffective advertising. In Netherland, they faced a ruling against drivers for not having Taxi licenses. Moreover, they also faced banning in several Asian countries. The minimum wage problem is another controversy that tarnished the brand’s image globally. They are also struggling with commercial licensing in various countries.

PESTLE Analysis of Uber | Uber PESTLE Analysis

Economic Factors:

Uber works in the sharing economy which is a different type of industry. It means they have to share resources in order to earn a profit. They hire drivers that drive the customers to their desired location. The main attraction of Uber is its easy booking process and it is also cost-effective as compared to taxis. Since its launch, Uber has grown insanely. But, due to its inequitable antagonism against taxis, many countries banned Uber. There are some other countries that are also planning to ban the services of Uber but they can’t ignore the fast development and growth of Uber.

According to many people, it creates job opportunities for jobless people. As compared to regular taxis, Uber’s service is really easy and comfortable, too. You can’t ignore the immense growth of Uber, which shows the economic potential of this taxi-sharing company. Now, this market is really saturated due to new players like Lyft.

PESTLE Analysis of Uber | Uber PESTLE Analysis

Social Factors (Easy Availability):

Most of the users love its easy accessibility and comfortable ride. You can book your ride with the help of the Uber mobile app anywhere and anytime. It needs only a few taps to book your ride. It is really fascinating for tech-savvy people. Moreover, its effective pricing is enough to entice customers. Now, Uber is working with full potential in North America and other regions of the world. You can enjoy rides at any time with just a few clicks and share your experience on social sites.

This kind of marketing helps to attract new users. Due to immense popularity, the prices of Uber rides rose in some cities which is really appreciating for the company but not for users. The main attraction of Uber is its easy accessibility and due to this reason, people love to use Uber occasionally. It is a big opportunity for Uber to introduce accessibility in their system in order to increase their profitability and popularity.

PESTLE Analysis of Uber | Uber PESTLE Analysis

Technological Factors:

The rapid growth of Uber is due to its marketing on social media. Customers share their experience on social media through posts and stories which results in the immense popularity of the company. It is an effective tool to grab the attention of new users. Uber fulfills the needs of customers by offering cheaper rides. Users can make appointments with the assistance of the Uber app. Moreover, you can also see the estimated ride charges on this app which depends on several factors like weather, traffic, and drop-off location. Users can pay the charges directly through the app which provides ease to customers.

You can easily get a ride because there are several Uber drivers that are always ready to drive the customers to their desired destination. In short, we can say that Uber’s main work is dependent on the mobile app. In case of any nuisance such as break down of app or functioning problems can cause bad consequences on Uber. It is really imperative for Uber to make sure that its app works properly in every situation. Internet problem is a universal issue that causes trouble sometimes for Uber drivers and consumers too.

PESTLE Analysis of Uber | Uber PESTLE Analysis

Legal Factors (Banning):

Legal factors are directly related to political factors in this case. Recently, Uber faces huge backlash, attempted bans, and bans in different locations of the world. It is necessary for the company to pursue technical usage laws, labor laws, employee safety laws, and copyright laws.

PESTLE Analysis of Uber | Uber PESTLE Analysis

Environmental Factors (Dubious Responses):

According to experts, Uber has a big impact on the environment. Most people think that it increases fuel consumption and traffic congestion. According to reports, Uber has not augmented congestion. Many people prefer to use Uber rides instead of public transportation. Many experts compare the fuel consumption of Uber with public transportation and the results are not so much surprising. So, we can say that Uber is doing really well in the environmental sector and not damaging the environment, and not causing traffic congestion.


There is no doubt that Uber is a top player in the taxi-sharing company. The company is best known for its easy accessibility, cheapness, and hullabaloos. There are some countries that are discussing this company due to its large size and job opportunities. Some countries are supporting Uber but some countries have completely banned Uber. That’s why it is facing banning and restriction problems in various countries.

On the other hand, Uber is continuously growing in terms of popularity and market share. It has a great competitive over regular taxis and public transport. Users can book Uber rides with their mobile app with just a few taps. This thing provides easiness to users and Uber drivers can pick you from your desired location and drive you to your desired destination at economical rates. It is really important for Uber to address its controversies and negative impact in order to win the trust of users.


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