· region customer has options and it is easy

Threat Of


The substitutes
for Careem are not only those in that are in direct competition with it
companies which are based on same business model and provide same convince and
price to the customers, but also those companies that are indirect competition with
careem.Every company products have substitutes in the market like Careem
substitutes are rent a car in car and in rickshaw the normal rickshaws on road
but why Careem is best from rent a car and normal rickshaws because of their
quality services and customer care in rent a car no one is responsible of any
loss but in Careem services Careem give guaranty of customer to reach from one
point to another safely. So there are substitutes of Careem but they can’t give
that quality as Careem gives.

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Bargaining Power
Of Customers:


power of customer, matter a lot in the company. But the buyers of Careem are
not that permeant unless they become very loyal with the company services. In
this region customer has options and it is easy to shift from one service to
another. The shifting cost is very low. Moreover the customer are price
sensitive and tries to use the low cost service. So I can conclude that the
buyers in this case has high bargaining power.


Bargaining Power
Of Supplier:


power of supplier has a big game in Careem because Careem don’t own its own car
where it totally depends on the peoples who so ever put his/her on Careem of
give his/her car to Careem for investment purpose. So if people invest in Careem
so its supply will increase otherwise supply will always in shortage, so for
that Careem give different offer like bonuses which attract peoples to put
their car on Careem to earn money sitting at home. Moreover Careem has to take
care of the suppliers that it is subcontracting because if any incident happens,
it directly affects Careem name and brand image.




operates in more than 11 countries where there are a lot of competitors
different in each market There is only main big one competitor of Careem which
is Uber both are always in competitive rivalry in different ways Careem tries
to become best in customer satisfaction where other competitor have more
funding so they use power of money to come on top. Both companies always tries
to provide best customer satisfaction. So if we see Careem is facing high competition
in this industry.


Ansoff Matrix:
























leader are only those who understand that if they want their organization grow
in longer future then they can’t stick with a “business as usual” mindset even
your company is in profit. They need to find new ways to make their company
grow so for this good organization uses Ansoff matrix.

are numerous options available, such as developing new products or opening up
new markets, but how do you know which one will work best for your

is where you can use an approach like the Ansoff Matrix to think about the
potential risks of each option, and to help you devise the most suitable plan
for your situation.







Basically Ansoff Matrix include four strategies
which are given below,

Market Penetration

Market Development

Product and Development


1)     Market Penetration:


penetration basically means selling the same product or services to the
existing customer base. This point is also known as existing provider’s vs
existing users. Through app improvement and price promotions Careem could
easily increase its market dispersion with its same product. Careem always
focuses on selling their same product to the same customer base by different
ways like giving promo codes discount credit rides making customer and captain
friendlier with each other and by providing best quality and satisfaction to the
customer. By developing new market strategies Careem can grow Careem usually
also use Boston matrix for market penetration.


Market Development:


development basically means that how we extend our market where there are a lot
of opportunities for Careem to develop themselves like they can expand in
number of cities where they are not present right now they can give different
facilities like they start Lahore to Islamabad etc. By PEST analysis or
marketing mix company can get a help to grow in a region. By market segregation
Careem can easily achieve its goals.


Product Development:


development means that how a company tries to make a new product or modify the
product which is already present in the market to achieve market growth. Careem
tries to modify their app because their all system is being executed through
application they try to make their tech strong as much as they can providing a
good interface and handhecingh in app can make people divert to forwards using Careem
app. Like an old example which make people install Careem app mostly was a
negative marketing strategy named ” RISTA ANTI” 
but its help a lot in getting growth. Betterment of customer service
make more product developed.




Diversification strategy focuses on reaching new market with new product.
Diversification can be related or unrelated but This Company uses related
diversification they try to hence their app or try to tap every class living in
a region for example launching a cab bike was too different in a region. They
are trying to start in those cities with something new where this concept is
not present before.