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Amazon's Strategic Insights

Amazon uses a customer-centric approach and focuses on customer satisfaction through fast shipping, a wide product selection, and excellent customer service. It diversifies beyond e-commerce into other sectors like cloud computing, streaming, and smart devices. Amazon also heavily invests in innovation to improve operations and the customer experience. Its Prime membership program promotes loyalty through benefits like free shipping and streaming access. Major competitors take omnichannel and international expansion approaches, with Walmart emphasizing both online and offline retail and Alibaba dominating e-commerce in Asia. While not an e-commerce competitor, Google's cloud services rival Amazon Web Services.

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95 views4 pages

Amazon's Strategic Insights

Amazon uses a customer-centric approach and focuses on customer satisfaction through fast shipping, a wide product selection, and excellent customer service. It diversifies beyond e-commerce into other sectors like cloud computing, streaming, and smart devices. Amazon also heavily invests in innovation to improve operations and the customer experience. Its Prime membership program promotes loyalty through benefits like free shipping and streaming access. Major competitors take omnichannel and international expansion approaches, with Walmart emphasizing both online and offline retail and Alibaba dominating e-commerce in Asia. While not an e-commerce competitor, Google's cloud services rival Amazon Web Services.

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kallurisowjanya258
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We take content rights seriously. If you suspect this is your content, claim it here.
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ASSIGNMNET 2

Amazon Case Study

Swetha & Sowjanya


SWOT ANALYSIS
As a worldwide web-based business monster, Amazon’s SWOT analysis uncovers how the
biggest online retailer utilized its upper hands to turn into the prevailing part in the retail
business.
Strengths:
• Amazon obliges countless clients for regular necessities at reasonable costs. This has
made it a client- arranged brand.
• Amazon consistently utilizes some imagination and innovation.
• Amazon doesn’t cause costs in keeping up actual retail location by selling everything
on web.
• Amazon claims broad items blend that pulls in online clients to make their larger part
of buys from it as opposed to other online retailers.
Weakness:
• Amazon has confronted misfortunes. Its free transportation to clients can be one
reason that uncovers the dangers of losing edges in certain business sectors.
• Amazon Possesses exceptionally restricted actual stores. This occasionally obstructs
pulling in clients to purchase things that are not sellable on online store.
• Data privacy, overdependence on wholesalers.
Opportunities:
• Amazon can acquire the chance to enter or grow its activities in creating markets.
• By extending actual stores, amazon can improve intensity against enormous box
retailers and draw in clients with the brand.
• More acquisitions of internet business organizations can expand the organizations
piece of the overall industry and lessen the opposition level.
• Can do in reverse Integration by extending its creation of in-house brands.
Threats:
• Unofficial laws can likewise compromise the business procedures of Amazon in some
basic nations. Amazon doesn’t transport to Cuba, Iran, North Korea etc.
• Expanding Cybercrime can influence the organisations security arrangement of the
organisation.
• Impersonation is straightforward as numerous new participants are coming up in the
market as a rule with a similar plan of action as Amazon.
BUSINESS STRATEGIES THAT ARE BEING USED BY AMAZON AND THE
MAJOR COMPETITORS
Customer-Centric Approach:
Amazon's primary focus is on customer satisfaction. The company is known for its customer-
centric approach, which includes fast shipping, a wide product selection, and excellent
customer service.
Diversification:
Amazon has expanded its business beyond e-commerce into various sectors, including cloud
computing (Amazon Web Services), digital streaming (Amazon Prime Video), smart devices
(Kindle, Echo), and more. This diversification helps mitigate risks and taps into multiple
revenue streams.
Innovation:
Amazon is known for continuous innovation. The company invests heavily in technology,
artificial intelligence, and machine learning to improve its operations, enhance the customer
experience, and stay ahead of the competition.
Prime Membership Program:
Amazon Prime offers subscribers benefits such as free and fast shipping, access to streaming
services, and exclusive deals. This membership program promotes customer loyalty and
retention.
Major Competitors:
Brick-and-Mortar Presence:
Competitors like Walmart have a strong brick-and-mortar presence in addition to their online
operations. This omnichannel strategy allows them to reach a broader customer base and
offer services like in-store pickups and returns.
Omnichannel Retailing (Walmart):
Walmart, one of Amazon's primary competitors, emphasizes an omnichannel strategy,
integrating online and offline retail. Walmart has invested in e-commerce and offers services
like grocery pickup and delivery.
International Expansion (Alibaba):
Alibaba, based in China, has expanded globally and dominates the e-commerce market in
Asia. Its strategy includes providing a platform for both B2B and B2C transactions, and it has
ventured into cloud computing and digital entertainment.
Cloud Computing (Google):
While not a direct competitor in e-commerce, Google (through Google Cloud) competes with
Amazon Web Services (AWS) in the cloud computing market. Google leverages its strengths
in data analytics and AI to attract businesses to its cloud services.

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