Why Uber Has Been Forced to U-Turn
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Your Assignment
First, read/watch the following:
Inside Uber’s Aggressive, Unrestrained Workplace Culture
Why Uber Has Been Forced to U-Turn
Uber: A History of Controversies
Next, based on what you read/watched, answer the following questions:
How would you describe Uber’s culture under Travis Kalanick? Identify two prominent dimensions and explain your answer, providing examples.
Explain the difference between a strong and weak culture.
As we saw with Zappos, a strong culture can be a powerful source of competitive advantage. Strong cultures can increase productivity, quality, morale, innovation, etc. But, other things being equal, does a strong culture always produce the best organizational performance? Explain. Hint: Did Uber (under Kalanick) have a strong culture?
Click on the “Submit Assignment” button to submit your response as a text entry or file upload. While concise answers are encouraged, provide enough of an explanation to demonstrate your mastery of the topic (200–400 words in total should be adequate). Please number your answer to each question.
Answer Preview
Under Travis Kalanick, Uber’s culture could be described as aggressive and unrestrained. One prominent dimension was a focus on rapid growth and expansion, at all costs. This was exemplified by the company’s willingness to enter new markets without proper regulatory approval and the aggressive tactics used to undermine competitors.
Another prominent dimension of the culture was a disregard for ethical considerations and a lack of transparency. This was demonstrated by the company’s use of shady tactics to evade law enforcement and the proliferation of sexual harassment and discrimination claims within the company.
- Explain the difference between a strong and weak culture.
A strong culture is one in which the values, beliefs, and behaviors of an organization are deeply ingrained and widely shared among its members. In such a culture, there is a high level of unity and commitment to the organization’s goals, and employees are motivated to behave in ways that support those goals.
A weak culture, on the other hand, is one in which the values, beliefs, and behaviors of an organization are not well-defined or widely shared. In such a culture, there is a lack of unity and commitment among employees, and their behaviors may be inconsistent or even at odds with the organization’s goals.
- As we saw with Zappos, a strong culture can be a powerful source of competitive advantage. Strong cultures can increase productivity, quality, morale, innovation, etc. But, other things being equal, does a strong culture always produce the best organizational performance? Explain. Hint: Did Uber (under Kalanick) have a strong culture?
While a strong culture can indeed be a source of competitive advantage, it is not always the case that a strong culture leads to the best organizational performance. In the case of Uber under Kalanick, the company’s aggressive and unrestrained culture ultimately proved to be detrimental to its performance, as it led to numerous controversies and legal battles that hurt the company’s reputation and bottom line.
Thus, while a strong culture can be beneficial, it is important to ensure that the values, beliefs, and behaviors of the culture are aligned with the organization’s goals and are consistent with ethical and legal standards.
