
PESTEL is a strategic analytical tool and the acronym stands for political, economic, social, technological, environmental and legal factors. Uber PESTEL analysis refers to the analysis of potential impact of these external factors on the performance of the ride-hailing giant and its long-term growth prospects. Political Factors in Uber PESTEL Analysis Generally, political factors affecting businesses include government stability, bureaucracy, levels of corruption, impacts of home market lobbying groups and others. When Uber started its operations in 2009, there was no other ride-hailing taxi app. Accordingly, legislations related to the regulations of such services did not exist. Global disruption of taxi services: political implications With the advent of Uber, the following and other questions needed to be answered by local governments and authorities: Who is responsible in case of car accident: Uber or the driver? Does it need to be compulsory for Uber drivers to have taxi licences? Can Uber list thousands of its drivers as contractors, but not employees? Does Uber have to comply with minimum wage requirements? Dealing with above and other related questions in different countries and regions have caused charged political debates. Moreover, it can be argued that Uber has caused political debates in the global scale in a way that few companies have done. Different stance by local governments While some local governments have been favourable towards Uber taking into account its modern business model, others demanded strict adherence to the rules and regulations making no difference between Uber and regular taxi companies. As a result, Uber has been banned in a number of countries and such as Bulgaria, Hong Kong and Germany and certain cities such as London and Brno. Lobbying as attempts to affect political factors Uber engages in lobbying activities to try to impact legislations in the US and worldwide to…
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