What Made Ola Enter The Ever Competitive Online Food Delivery Industry?
On 19th December 2017 a news story popped out, Ola acquired Foodpanda – India Division for a stock deal and was going to invest $200 Million into that business. Most of the people didn’t understand that move and why Ola would want to enter a completely different business from what they have been successful in i.e Cabs and Transport. Ola bought TaxiForSure for $200 million a year back but that made sense as it would come under the market expansion as per the Ansoff matrix and reduce one of its competitors and increase its fleet of vehicles but what are they looking for in food delivery industry which comes under diversification (new market and product). This is a little risky move. People can understand this move if they are closely following the moves and strategies of Ola. Now let’s analyze in detail why Ola made this move. Let’s start with analysis and growth of the 2 companies, Ola and Foodpanda in India.







