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Indian rival slams Uber’s business model

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Uber’s prime rival in India has some unsolicited recommendation for the U.S. startup: Go native.

“They’ve a really cookie-cutter strategy when it comes to what the mannequin is and the way [to] drive feed it into any geography,” Pranay Jivrajka, a prime govt at Ola Cabs, mentioned on the sidelines of CNN’s Asia Enterprise Discussion board in Bangalore.

Jivrajka, who till just lately served as Ola’s COO, mentioned that Uber ought to ditch its one-size-fits-all strategy and as an alternative attempt to perceive “native nuances” that will assist it to establish companies that “customers and drivers truly need.”

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Uber declined to touch upon Jivrajka’s remarks.

Uber and Ola have for years waged a bitter battle for supremacy in India, a market with 1.3 billion potential clients. The nation has taken on elevated significance for Uber after a sequence of latest setbacks elsewhere in Asia.

The San Francisco-based firm suspended its operations in Taiwan final week, six months after it bought its operations in China to native rival Didi Chuxing. Didi, which is taking the combat to Uber in key international markets, is certainly one of Ola’s buyers.

In India, Uber has typically discovered itself enjoying catch-up with its Bangalore-based rival. Its most up-to-date native product providing — permitting Indian customers to e book a automobile for a whole day — is already supplied by Ola in 85 cities.

Ola additionally lets customers e book certainly one of India’s ubiquitous three-wheeled auto rickshaws, a service Uber began however then discontinued in 2015.

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“What has helped us is having an ear to the bottom when it comes to understanding what the customers need,” mentioned Jivrajka.

Associated: Uber’s rivals are teaming up in Asia

Uber CEO Travis Kalanick insists that his firm is just not ready to go away India.

“We’re shedding, however we see a path in direction of profitability,” Kalanick mentioned throughout a December go to to Delhi. “We see ourselves being right here in the long term.”

Associated: Uber suspends its service in Taiwan as fines mount

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India is not at all times a simple marketplace for both firm — tens of 1000’s of drivers representing each Uber and Ola went on strike in Delhi this week, demanding higher pay and advantages. The Delhi authorities has supplied to mediate the dispute.

Jivrajka didn’t touch upon the protests, however mentioned that Ola’s primary focus stays bringing extra drivers onto its platform.

“We want extra drivers as a result of the tempo at which demand is rising is method larger than the best way provide is getting aggregated,” he mentioned.

Associated: Uber CEO drops out of Trump’s enterprise advisory council

Jivrajka additionally had some recommendation for one more Silicon Valley big hoping to enter India: electrical automaker Tesla.

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“There aren’t any guidelines on the Indian roads,” Jivrajka mentioned. “One factor lots of people say is that in case you can drive in India, you may drive wherever.”

— Manveena Suri contributed reporting

CNNMoney (Bangalore, India) First revealed February 13, 2017: 8:48 AM ET

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