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Abstract

This essay presents my analysis of Didi Chuxing’s ride-hailing business in the Chinese market considering economic concepts and tools such as market structure, economies of scale and price anchoring to understand aspects of Didi Chuxing such as its cost structure, pricing strategies and marketing methods. As the largest ride-hailing platform in China, the success of Didi Chuxing can offer important guidelines for the healthy development and expansion of this industry to other countries.

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