Uber China’s exit from the market has lessons for Tesla and Silicon Valley.
The company failed to overcome Didi Chuxing’s first-mover advantage, adapt to China’s mobile ecosystem, and navigate government regulation.
Learn from Uber China’s mistakes and avoid making the same ones in your own business.
Didi and Uber are two of the largest ride-hailing platforms in the world. However, they are facing increasing competition from other companies. In order to maintain their market share, these companies need to make it difficult for drivers to switch to other platforms. One way to do this is to create high driver switching costs.