Uber is a name which has gone unchallenged in most countries. The company is largely successful because of the lack of competitors. However, this formula does not apply to all the countries. In India, Uber faces a tough competition from Ola Cabs. The company has more presence in the Indian markets than Uber, and is indeed a major player. A while ago, Ola had acquired their competitors, Taxi For Sure. A few days ago, the news broke, that the company had decided to end the Taxi For Sure service.
After their acquisition, Ola Cabs had merged Taxi For Sure into their app, but they finally decided to pull the plug off it. This led to the firing of nearly 700 employees of theirs, who were driving the Taxi For Sure cabs. However, Ola has now announced another major job-cut, as the company has let off 250 more drivers on the account of ‘non-performance’.
In an official statement from the company, an Ola Cabs spokesperson commented saying - “An annual attrition of 3-4 percent is a natural churn that is witnessed in the current industry scenario. This includes performance driven exits, contract roles as well as a few surfacing from constant business realignment.”
The startup games in India have been getting tougher than ever before. However, one must not consider this to be a drastic step from Ola, as this is their regular schedule, and is something that happens periodically. The company, which operates in over a hundred Indian cities, said that they do have plans to hire more drivers from across the nation.
Ola Cabs had acquired Taxi For Sure eighteen months ago, for a sum of $200 Million. The move to shut down Taxi For Sure came as the company wanted to work with a greater zeal towards their own product, and on working on strategies which would help them grow in an intensely competitive market such as India.