The recent commercial motorcycle “okada’’ ban in Lagos state, has seen to have adversely affect the operations of bike hauling companies. Gokada, one of the giant operators in the bike on demand service space, lay-off most of their staff and seek to diversify their business model.
The bike hauling startup recently laid off a significant number of its staff. Gokada Founder/CEO, Fahim Saleh says the laying off of its staff was necessitated by the recent okada ban law, and a need to diversify.
The Gokada CEO added that “We are diversifying to courier delivery service while transport gets figured out,” He also gave a clue that a Gokada boat service that will be launching anytime this month February, 2020.
“The Gokada boat will be a 24-passenger boat, and one of the 24-passenger boats just came in, and others are already at the sea port waiting to be cleared from customs,” Saleh said.
On the staff lay-offs, Saleh said the company is forced by a need to proactively adjust to cope with okada ban circumstances and cut down cost rate as soon as possible to minimize further loss. Saleh also claims not to be sure how many people were directly or indirectly affected by the layoff, but close to 80% of Gokada workers were laid off.
Gokada CEO shows smart business diversification and business pivoting movement. Gokada has ambitious and innovative plans to go about the recent okada ban law. This may also look like a viable business diversity path for other players affected by the recent okada ban law in the mobility sector.
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