. Name: Pranta Ray Department of Business Administration Shahjalal University Of Science & Technology
Introduction & background Amazon.com is a prominent Internet-based business. Headquarters locations are in Seattle, Washington. The world's largest online retailer operates there. The massive online retailer Amazon offers a variety of goods, such as novels, music, films, home goods, technology, toys, and a lot more. Their goods are directly delivered to huge numbers of people. Company Name: Amazon Country name: USA
International strategic Business Decision
Amazon’s international strategic business decision Similar customer needs Global customers Transferable marketing : Market drives Cost Drivers Scale economies Country-specific differences Favorable logistics
Amazon’s international strategic business decision Interdependence between countries Competitors’ global strategies Competitive drivers Government drivers Trade policies Technical standards Host government policies
PESTLE Analysis The term "pestle" refers to the intersection of political, socioeconomic, social, intellectual, ecological, and legal factors.
PESTLE Analysis For Amazon Political stability in advanced societies. Political lobbying. Government red tapes. Political Economic Economic growth. Currency exchange rates. Taxation. Employment.
PESTLE Analysis For Amazon Changing purchasing patterns. Changing consumer demographics. Social Technological Customer service. Customer engagement. Cyber security.
PESTLE Analysis For Amazon Ecological management. Sustainable operations . Environmental Legal Laws in different countries. Labor laws .
The evaluation of the attractiveness of the USA as a market using Porter’s Five Forces Competition in the industry (Strong force) Amazon competes in a highly competitive industry, and an examination of Amazon's rivals reveals that the competition in the e-commerce- commerce market is escalating quickly. Alibaba, eBay, Walmart, Flipkart, and others are fierce rivals of Amazon.
The evaluation of the attractiveness of the USA as a market using Porter’s Five Forces The threat of new entrants (weak force) Amazon is a market titan with a great reputation as a brand. Additionally, it benefits from agglomeration economies and extensive distribution and storage facilities. Therefore, it can be difficult for any organization to overcome this brand recognition and establish itself as a market leader. The danger of potential competitors is a low threat for Amazon.
The evaluation of the attractiveness of the USA as a market using Porter’s Five Forces The bargaining power of suppliers(moderate force) The range of goods for Amazon's eCommerce activities is within the regulation of providers. Furthermore, Amazon depends on the hardware and software for information systems in cloud services. The providers' negotiating strength is a moderate component in Amazon's five forces study.
The evaluation of the attractiveness of the USA as a market using Porter’s Five Forces The bargaining power of customers(Strong force) In Porter's Five Forces Model, the negotiating power of customers is moderate to high. The success of Amazon depends on how well its products are received by customers. Although costs of switching are very low, a significant number of replacements have appeared.
The evaluation of the attractiveness of the USA as a market using Porter’s Five Forces The threat of substitute products or services(Weak Force) The threat of replacement commodities and services is one of the factors identified by Amazon Porter's Five Forces Analysis. These forces include a large availability of alternatives, the cheap cost of alternatives, and low switching costs. Customers can simply choose a client without incurring any additional fees thanks to the minimal switching prices.
SWOT Analysis SWOT analysis is properly defined as a:- The methodology for identifying and assessing the main advantages, threats, opportunities, and weaknesses of a firm, a project, a commodity, or perhaps a single.
SWOT Analysis of Amazon Strength Effective leadership is committed to improving the customer experience. Comparative advantage in utilizing scalable and quick-to-ramp-up IT services. Weakness Free shipping might occasionally be risky. Neglecting the competition . Operation in near-zero business margin.
SWOT Analysis of Amazon Opportunities Online payments make it simpler to expand a firm. efficiency using its own brand . The enlargement of the global footprint. Threats Concern over internet buying grows as theft and hacking become more apparent. The risk of an aggressive pricing strategy.
TOWS Analysis of Amazon Forming partnerships with different payment platforms to expand the business. Focus on reaching out to the under-developed country to expand the brand. Strengths/opportunities strategies Weaknesses/opportunities strategies online payment method for the shipment Use the brand efficiency to get ahead of the competition
TOWS Analysis of Amazon Forming partnerships with different payment platforms to expand the business. Focus on reaching out to the under-developed country to expand the brand. Strengths/threats strategies Weaknesses/threats strategies Form a partnership with the local supplier to neutralize the rivals. Use a new advertising method
The evaluation of the suggested recommendations Strengths/opportunities strategies Amazon will be able to lower prices while making a profit by creating relationships with various payment networks like PayPal, Visa, Mastercard, etc. Additionally, this will aid in business growth.
The evaluation of the suggested recommendations Weaknesses/opportunities strategies – Amazon can guarantee safety and avoid wasting crucial business hours by using online transactions for shipping. Amazon is renowned for being a reliable brand.
The evaluation of the suggested recommendations Strengths/threats strategies Amazon will be capable of defeating the hackers and regaining the trust of the customers by employing a cutting-edge safety system. Amazon will be able to reduce shipping costs by employing its transportation network, which is advantageous for its firm.
The evaluation of the suggested recommendations Weaknesses/threats strategies Amazon will be able to reduce production and shipping costs while at the same time neutralizing the client by creating partnerships with local providers.
Reference Fernandes Bento, D., Silva Gomes, E., Martins Guedes, V. and Coelho, E., 2020. SWOT Matrix (Strengths, Weaknesses, Opportunities and Threats) on the Amazon. REVISTA BRASILEIRA DE CIÊNCIAS DA AMAZÔNIA , 9(2), pp.11-18. Journal of Research on the Lepidoptera , 2019. Global Strategic Business Management: Focusing On the Strategic Business Unit of Amazon. Marmol , T., Feys , B. and Probert, C., 2015. PESTLE analysis . London: 50 minutes. Mwololo , H., 2019. Business Model of Amazon . London: The Policy Press, pp.56-58. Schepp , B. and Schepp , D., 2009. Amazon top seller secrets . New York: AMACOM.