Why The Pandemic Was the Best Thing to Ever Happen to Uber
Sometimes, when a business experiences a big mistake or highly adverse conditions, that difficult period may be the greatest gift for long-term investors -- providing the business survives. For instance, while many tech companies didn't survive the dot-com bust, those that did, such as Amazon and Booking Holdings -- formerly known as Priceline -- came out much stronger and went onto thrive over the long-term.
Uber (NYSE: UBER) went through such a trial during the COVID-19 downturn of 2020. While the company was able to survive thanks to its Uber Eats food delivery and small Uber Freight segments, the company's main mobility segment experienced a big downturn.
The pandemic forced Uber, under new CEO Dara Khosrowshahi, to cut costs and focus on efficiency. With the company continuing to keep that ethos in mind, Uber's recent results showed the benefits of making it through that period -- and it's a lesson other tech companies could stand to learn in today's tougher economy.
Source Fool.com
