Innovative and resource saving mobility offers are needed in times of urbanization, climate change and an increasing scarcity of resources. Car2Go and BlaBlaCar are some of those companies that disrupted the traditional mobility market over the last years. Another example is the Chinese bike rental company “Mobike”, which provides users with flexible, on-demand and nearby access to mobility through a large fleet of bicycles that are distributed across the largest cities in China. The company’s usage of the newest IoT (Internet of Things) technologies and a large amount of funding have resulted in a massive expansion across China, Singapore and just very recently UK in just 1,5 years. It also resulted in a replacement of traditional transport modes, such as the car, as the primary mode of transportation. Thus, one can say that Mobike and its many competitors help to transform Chinese megacities in a less polluted and more liveable area.
All of those mobility disruptors, named before are based on the principle of “sharing economy”. Its most important characteristics are access over ownership and collaborative consumption. Recent social, demographic and political changes in Germany have made mobility schemes based on the “sharing economy” a potential option to traditional transport modes. As climate change and the resulting need to lower emissions is not only a Chinese issue but a global one, it is only fair to ask whether the business model of Mobike can be applied in the German market. Hence, this paper aims to answer the following question: Is the business model of Mobike applicable in the German market?
Table of Contents
1. Introduction
2. Literature review & Methodology
2.1. Methodology
3. What is Mobike?
4. Strategic analysis of Mobike in China
4.1. Chinese environment analysis
4.1.1. Political factor
4.1.2. Economic factor
4.1.3. Social factor
4.1.4. Technological factor
4.1.5. Environmental factor
4.1.6. Legal Factor
4.2. Mobike’s Business Model
4.2.1. Block 1,2: Customer Segments, Value propositions
4.2.2. Block 3: Channels
4.2.3. Block 4: Customer Relationships
4.2.4. Block 5: Revenue Streams
4.2.5. Block 6: Key Resources
4.2.6. Block 7: Key Activities
4.2.7. Block 8: Key Partnerships
4.2.8. Block 9: Cost Structure
4.3. SWOT analysis Mobike
4.3.1. Strengths
4.3.2. Weaknesses
4.3.3. Opportunities
4.3.4. Threats
4. Analysis of applicability of Mobike’s business model in Germany
4.1. Competition analysis of German bike-sharing companies
4.1.1. Industry Rivalry between established competitors
4.1.2. Competition from substitutes
4.1.3. Threat of Entry
4.1.4. Bargaining power of Buyers
4.1.5. Supplier Power
4.2. Macro analysis in Germany
4.2.1. Political
4.2.2. Economic
4.2.3. Social and Demographic
4.2.4. Technological
4.2.5. Environment
4.2.6. Legal Factor
5. Results & implications
5.1. Key comparison characteristics and implications
5.2. Recommendations
6. Conclusion
Research Objectives and Topics
This business project aims to determine whether the successful business model of the Chinese bike-sharing company "Mobike" can be effectively applied within the German market by analyzing macro-environmental factors and industry competition.
- Strategic analysis of Mobike’s business model using the Business Model Canvas.
- Macro-environmental PESTEL analysis of China and Germany.
- Competitive analysis of the German bike-sharing industry using Porter’s Five Forces.
- Evaluation of cultural, technological, and legal differences between the two markets.
- Strategic recommendations for adapting the Mobike model to German market conditions.
Excerpt from the Book
1. Introduction
Innovative and resource saving mobility offers are needed in times of urbanization, climate change and an increasing scarcity of resources. Car2Go and BlaBlaCar are some of those companies that disrupted the traditional mobility market over the last years. Another example is the Chinese bike rental company “Mobike”, which provides users with flexible, on-demand and nearby access to mobility through a large fleet of bicycles that are distributed across the largest cities in China. The company’s usage of the newest IoT (Internet of Things) technologies and a large amount of funding have resulted in a massive expansion across China, Singapore and just very recently UK in just 1,5 years. It also resulted in a replacement of traditional transport modes, such as the car, as the primary mode of transportation. Thus, one can say that Mobike and its many competitors help to transform Chinese megacities in a less polluted and more liveable area.
All of those mobility disruptors, named before are based on the principle of “sharing economy”. Its most important characteristics are access over ownership and collaborative consumption. Recent social, demographic and political changes in Germany have made mobility schemes based on the “sharing economy” a potential option to traditional transport modes. As climate change and the resulting need to lower emissions is not only a Chinese issue but a global one, it is only fair to ask whether the business model of Mobike can be applied in the German market. Hence, this paper aims to answer the following question:
Is the business model of Mobike applicable in the German market?
Summary of Chapters
1. Introduction: Outlines the rise of the sharing economy in the mobility sector and states the central research question regarding the applicability of Mobike's model in Germany.
2. Literature review & Methodology: Reviews academic definitions of business models and introduces the Business Model Canvas and PESTEL frameworks used for the analysis.
3. What is Mobike?: Provides a company overview, describing its history, funding, and the core operation of its station-less, IoT-based bike-sharing system.
4. Strategic analysis of Mobike in China: Conducts a detailed PESTEL analysis of the Chinese market and evaluates Mobike’s business model blocks and SWOT profile.
4. Analysis of applicability of Mobike’s business model in Germany: Analyzes the German competitive landscape and macro-environment to assess market entry potential.
5. Results & implications: Summarizes findings and provides strategic recommendations for adapting the business model for the German market.
6. Conclusion: Synthesizes the analysis, confirming that the Mobike model is generally implementable in Germany with specific localized adjustments.
Keywords
Mobike, bike-sharing, sharing economy, Business Model Canvas, PESTEL, Porter’s Five Forces, Germany, China, market entry, last-mile, urbanization, IoT, sustainability, mobility, strategic analysis.
Frequently Asked Questions
What is the core focus of this research paper?
The paper examines the viability of implementing the business model of the Chinese bike-sharing company Mobike within the German market.
Which frameworks are used to conduct the strategic analysis?
The authors utilize the Business Model Canvas for the internal business model, PESTEL for the macro-environmental assessment, and Porter’s Five Forces for industry competition analysis.
What is the primary research question?
The study seeks to answer whether the business model of Mobike is applicable in the German market.
What are the key findings regarding the German market potential?
The research concludes that the macro-environmental factors in Germany largely favor the business model, provided that specific adjustments are made to payment methods and customer loyalty strategies.
How does the "last mile" problem influence the business model?
The analysis identifies solving the "last mile" transport gap between public transit hubs and final destinations as the key value proposition and driver for Mobike's success.
What role does technology play in Mobike's operation?
Mobike relies on IoT technology, GPS tracking, and big data to manage its fleet, ensure station-less availability, and optimize distribution, which are critical components of its innovation.
Why might the payment method be a hurdle for Mobike in Germany?
Unlike the Chinese market where mobile payments are dominant, German consumers prefer cash, debit, or credit cards, requiring Mobike to integrate local payment preferences.
How does the demographic profile differ between the Chinese and German users?
The study notes that the median age in Germany is higher than in China, which necessitates a strategic adjustment in marketing and customer outreach.
What specific competitive challenge exists in the German market?
The paper points out existing station-based and some station-less solutions like Deutsche Bahn’s "Call-a-Bike" as the primary local competitors that the Mobike model would need to outperform.
- Quote paper
- Marko Francesevic (Author), Marco Schuster (Author), 2017, Strategic analysis of Mobike’s business model in China and its applicability in Germany, Munich, GRIN Verlag, https://www.grin.com/document/463946
