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A SYNOPSIS ON

“THE STUDY OF FINANCIAL MANAGEMENT WITH


REFERENCE TO UBER”

Submitted
To
RASHTRASANT TUKADOJI MAHARAJ NAGPUR UNIVERSITY, NAGPUR
Dhanwate National College, Nagpur

By
RAJNIKANT. S. DHOKE

UNDER THE GUIDANCE


OF
PROF. ASMITA THAWKAR

DHANWATE NATIONAL COLLEGE


BACHELOR OF BUISNESS ADMINISTRATION U. G
CONGRESS NAGAR, NAGPUR

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CONTENT

1. Introduction

2. Rational Behind The Study

3. Importance Of Proposed Topic

4. Research Methodology

a. Objective Of Study

b. Research Hypothesis

c. Data Collection & Analysis Tools

d. Limitation

5. Plan Of Work

6. Chapterization Scheme

7. References

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INTRODUCTION

Financial management is a crucial component of any business organization, playing a pivotal role
in its sustainability and growth. In this context, it is imperative to study financial management
within the framework of specific companies to gain practical insights into how financial decisions
are made and how they impact the overall performance of the organization. This study focuses on
Uber, a global technology company that has disrupted the traditional transportation industry.

Uber, founded in 2009, has rapidly grown to become one of the most recognizable names in the
sharing economy. The company's platform connects millions of riders with drivers, making it a
leading player in the ride-hailing industry. Understanding financial management at Uber is
particularly intriguing, given its unique business model, which relies heavily on digital
technology, decentralized operations, and global expansion.

This study will explore various aspects of financial management within Uber, shedding light on its
financial strategies, revenue models, and investment decisions. Uber's journey from a start-up to a
multi-billion-dollar corporation is marked by numerous financial milestones, including initial
funding rounds, strategic acquisitions, and its high-profile IPO (Initial Public Offering) in May
2019. We will delve into how these events shaped the company's financial management practices
and contributed to its overall success.

Finance is the lifeline of any business and like most other resources, finance is always limited. On
the other hand, wants or demands are always unlimited. Therefore, it is important for a business to
manage its finances efficiently. Financial management refers to the strategic planning, organizing,
directing, and controlling of financial undertakings in an organization or an institute to achieve
organizational goals and objectives as we have learned in management by objectives.
It also includes applying management principles to the financial assets of an organization, while
also playing an important part in fiscal management.

Financial management is an ideal practice to control procurement of funds, utilization of funds,


accounting, payments, risk assessment and every other thing related to money.

UBER LOGO

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RATIONAL BEHIND THE STUDY

The study of financial management with reference to Uber is driven by several compelling
rationales, each of which highlights the importance and relevance of such research:

1. Economic Significance of Uber


2. Unique Business Model
3. Impact on Financial Markets
4. Regulatory and Ethical Challenges

The rationale behind the study of financial management with reference to Uber is rooted in the
company's global impact, its unique business model, its influence on financial markets, and its
ability to adapt and respond to challenges. The insights gained from this study have wide-
ranging implications, from academia to industry, and contribute to a better understanding of
the complexities and opportunities within the contemporary financial landscape.

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IMPORTANCE OF PROPOSED TOPIC

"The Study of Financial Management with Reference to Uber," holds significant importance
for a variety of stakeholders, including academics, business professionals, investors, and
policymakers. Here are some key reasons why this topic is important:

1. Insights into a Disruptive Business Model: Uber represents a disruptive business model
that has changed the way traditional industries operate. Understanding the financial
management strategies of Uber provides valuable insights into how companies can
leverage technology and innovation to reshape established markets.

2. Real-World Case Study: Uber's journey, from its inception to becoming a multi-billion-
dollar corporation, serves as a real-world case study for business and finance students. It
offers a contemporary example of the challenges and opportunities in the global business
landscape.

3. Lessons for Start-ups and Entrepreneurs: Start-ups and entrepreneurs can learn from Uber's
financial management practices, including its approaches to fundraising, managing growth,
and adapting to changing market conditions. The company's experiences offer valuable
lessons for those looking to launch and scale their own ventures.

4. Investor Decision-Making: Investors, whether individual or institutional, often make


investment decisions based on financial analysis. A study of Uber's financial management
can assist investors in understanding the factors that influence the valuation and
performance of tech-based companies, contributing to more informed investment choices.

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REASEARCH METHODOLOGY

Objective Of Research

1. The research on financial management with reference to Uber has several key objectives,
each aimed at gaining a deeper understanding of the financial strategies and practices
employed by Uber. These objectives include:

2. To Analyze Uber's Financial Performance: Assess Uber's financial performance by


analyzing its financial statements, key financial ratios, and trends over time. This includes
examining metrics such as revenue, profitability, liquidity, and solvency.

3. To Understand Uber's Revenue Models: Investigate and elucidate the various revenue
models employed by Uber, including ride-sharing, food delivery, and other business
segments. Explore how these models contribute to the company's overall financial health.

4. To Examine Financial Decision-Making: Investigate Uber's financial decision-making


processes, including capital allocation, investment strategies, and financial risk
management. Understand how the company makes strategic financial decisions to support
its growth and profitability.

5. To Explore Funding and Capital Structure: Analyze Uber's funding history, including its
initial fundraising rounds, private equity investments, and its high-profile Initial Public
Offering (IPO) in 2019. Examine how these events have influenced Uber's capital structure
and financial stability.

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RESEARCH HYPOTHESIS

 (H1): Umber’s revenue diversification, including its expansion into food delivery and
other segments, has a positive impact on the company's overall financial performance
and stability.

 (H2): Uber's approach to international expansion, including its management of


regulatory challenges and currency risk, significantly affects its financial success in
global markets.

DATA COLLECTION & ANALYSIS TOOL

PRIMARY DATA:
Primary data is the data that is collected for the first time through personal experiences or
evidence, particularly for research. It is also described as raw data or first-hand information. The
mode of assembling the information is costly, as the analysis is done by an agency or an external
organization, and needs human resources and investment. The investigator supervises and controls
the data collection process directly.

SECONDARY DATA:

Secondary data is a second-hand data that is already collected and recorded by some researchers
for their purpose, and not for the current research problem. It is accessible in the form of data
collected from different sources such as government publications, censuses, internal records of the
organization, books, journal articles, websites and reports, etc.
This study is purely based on secondary data which was already available.

Limitations of the Study

1. Every research study has limitations, and it's important to acknowledge these limitations to
provide transparency and context for the findings. In the case of the study on financial
management with reference to Uber, some potential limitations might include:

2. Data Availability: Financial data for a publicly traded company like Uber is typically
available, but there may be limitations in terms of the specificity and granularity of data
accessible to researchers. Certain financial details may not be disclosed due to privacy or
competitive concerns.

3. Data Reliability: The accuracy and reliability of financial data can be a concern. Data
reported by companies may be subject to accounting treatments, adjustments, or
estimations, which could affect the precision of the analysis.

4. Limited Access to Key Stakeholders: Gaining access to key Uber executives, including
those responsible for financial decision-making, may be challenging. Limited access can
restrict the depth of insights that can be obtained through interviews or surveys.
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PLAN OF WORK

Plan of work is a discipline for stating how to complete a report within a certain time
frame. It includes the following information.

Sr. NO Particular Tentative Duration

1. Literature Review Week- 1

2. Data Collection Week- 2,3,4,5

3. Analysis & Study Week- 6

4. Compilation Of Data & Week-7

Statistical Analysis

5. Writing, Printing & Binding Week- 8

Total 8 –Weeks

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CHAPTERISATION SCHEME

1. Introduction

2. About The Industry/Company

3. Literature Review

4. Research Methodology

a. Objectives Of Research

b. Research Hypothesis

c. Research Design

d. Sampling Plan

e. Tools For Data Collection

f. Limitations Of Study

5. Data Collection & Analysis Of Data

6. Finding Of Study

7. Conclusion Of Research

8 Suggestions

9. References

10. Annexure

11. Questionnaire

12. Bibliography

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REFERENCES

WEBSITE

 https://m.uber.com/

 https://www.uber.com/in/en/

BOOK

 Research methodology, by C. R. Kothari

Prof. Asmita Thawkar Rajnikant Sanjay Dhoke


Guide Name and Signature Students Name and Signature

Dr. Arvind Khadse


HoD

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