Chinese E-hailing Platform Didi Chuxing Set To Cease Operations In South Africa
Chinese E-hailing Platform Didi Chuxing Set To Cease Operations In South Africa. It has been reported that that Chinese e-hailing platform Didi Chuxing is set to cease its operations in South Africa from the 8th of April 2022. The company expanded its services to South Africa about a year ago to compete with Bolt and Uber.
In an email sent to IT Web, the company said that the closure of Didi’s operations is due to the strategy adjustment from its managerial levels. It is also believed that the company was not able to penetrate the market due to the monopoly that Uber and Bolt hold in the e-hailing industry in South Africa. The company was also not able to provide competitive prices to customers and still maintain a good profit intake.
DiDi Global Inc is one of the world’s leading mobility technology platform. It offers a wide range of app-based services across Asia-Pacific, Latin America, Africa and Russia, including ride hailing, taxi hailing, chauffeur, hitch and other forms of shared mobility as well as auto solutions, food delivery, intra-city freight and financial services. DiDi provides car owners, drivers and delivery partners with flexible work and income opportunities.
It is committed to collaborating with policymakers, the taxi industry, the automobile industry and the communities to solve the world’s transportation, environmental and employment challenges through the use of AI technology and localized smart transportation innovations. DiDi strives to create better life experiences and greater social value, by building a safe, inclusive and sustainable transportation and local services ecosystem for cities of the future.
The e-hailing industry is not easy to venture into especially in South Africa where there are companies that already have a hold on the market. This makes it difficult for other companies to come and offer competitive rates that will see them grow. Didi expanded its services to South Africa at the height of the Covid 19 pandemic, which made it even harder for the company to adjust as there were a lot of restrictions that were imposed and the company couldn’t operate at maximum capacity in order to grow.
