Premium Essay

Strategy Recommendation - Amazon

In: Business and Management

Submitted By jamesbellew
Words 2448
Pages 10
Strategy Recommendation Project Final
James Bellew
Capella University
MBA6004 Section 01, Jan-Feb 2014
U06a1
Instructor – Dr. Rebecca Snarski
Due: February 16, 2014

Table of Contents

Introduction……………………………………………………………………………… 3 Brief explanation of Project………………………………………………………..... 3
Who is Amazon……………………………………………………………………… 3
Why did I choose Amazon…………………………………………………………... 3
Amazon's Channel Design including its use of the Web………………………………... 3-4
Web Beginnings……………………………………………………………………... 4
Today………………………………………………………………………………… 4
Amazon’s future including key strengths and weaknesses……………………………… 4
Amazon’s Vision and the changing Web…………………………………………… 4-5
Key Strengths and Weaknesses……………………………………………………… 5-6
Opportunity and Threats…………………………………………………………….. 6
SWOT Analysis…………….…………………………………………………………… 7-9
Amazon’s Ethical Challenges…………………………………………………………… 9
Changing Web Ethics……………………………………………………………….. 9
Ethical challenges for Amazon……………………………………………………… 9
Strategy Recommendations for Amazon………………………………………………... 9-10
References……………………………………………………………………………….. 11

Introduction
Amazon is one on the world’s undisputed leaders in web-based commerce. Although they were not the first company to capitalize on using the World Wide Web for commerce, they certainly raised it to an art form. When you think of shopping on the web, you think of Amazon. Amazon perfected this channel and continues to innovate as the technology and access to web grows.
Amazon has zero brick and mortar retail locations, it’s business was founded on the web and this basic model is the delivery mechanism for it products, content and services from manufacturers, wholesalers, and publishers from around the world. Amazon has over 40 distribution centers around the globe. Amazon’s leadership in online commerce continues to grow, but its future is still being written.…...

Similar Documents

Premium Essay

Amazon Strategy Analysis

...I have been looking at some of the work of Rob Grant to analyse resources and capabilities, mainly examining work in and around Resource Based Theory of Competitive Advantage and implications for Strategy Formulation. So hopefully have covered some differing aspects to use for Amazon. Strategic Planning Processes. I believe an effect method for Amazon to undertake such an analysis would be to examine: • Value Chain • Resources Based View • Financial Analysis Use of a Value Chain Analysis for Amazon Amazon have developed a value chain analysis of its’ own to internal asses how it can operationally best add value and maintain a competitive advantage. They have used the value chain model from Michael Porter's book, "Competitive Advantage: Creating and Sustaining Superior Performance." [pic](Source: Bua Consulting) Example of a Strategic Plan Model - Amazon Internal Analysis, Strategic Planning Tools, Strategic Planning Models Primary Activities and Support Activities Primary activities are those needed to produce a product or services for the end customers. These activities typically include: • Inbound Logistics: receiving goods from suppliers, and storing and moving those good • Operations: Manufacturing or assembling the product • Outbound Logistics: Sending the goods to wholesalers, retailers or directly to the end customer • Marketing and Sales: Marketing involves understanding customer needs, communicating those......

Words: 627 - Pages: 3

Premium Essay

Strategy Recommendation

...Strategy Recommendation 1 Strategy Recommendation Project Joseph Garcia MBA 6004 Foundational Skills Business Leaders Professor Snarski September 29,2013 Keller Williams is a very highly respected organization that has great accomplishments it’s completed. Keller Williams is a Brokerage Firm, that sponsors and umbrella of job functions in the real estate industry. is a prominent Broker for real estate. Keller Williams is an umbrella of multiple job descriptions, but it is in the Real Estate Industry. While real estate is a wide scope, Keller Williams specializes in residential and commercial, which started in early 2008, with many underlying areas for property management, buying and selling! Keller Williams operates as a franchise organization in Austin, Texas, founded by Gary W. Keller and Joe Williams in 1983 (Wikipedia, PG 1). Though Keller Williams is a firm, which holds liability or responsibility, and which mentor’s and supervises agents. This organization expanded rapidly from the commencement of franchising in 1991 through the expansion into Canada in 1998, the largest real estate company in the United States as well as Canada. If you thought this was an exponential growth rate, it will come to a surprise that in the early years of 2012, Keller Williams embarked in another venture taking Keller Williams Worldwide, first in Vietnam, while still expanding into Germany, Austria, Turkey and Switzerland. Keller Williams is advanced within the web industry!......

Words: 1737 - Pages: 7

Premium Essay

Amazon Europe Strategy

...Amazon Europe Strategy In 2003, Amazon Europe was faced with the challenge of restructuring it's distribution network in order to meet growth demands. After five years of operations through three independently run organizations in the UK, Germany, and France, the company recognized the need to adapt it's business structure and positioning in the markets. Although many areas of the supply chain had already been optimized, there was significant room for further improvement. The European markets were expanding rapidly, and it was certain that the current structure would not be sufficient, even in the near future. Amazon's objective in Europe The original goal, set in 2002 at the US headquarters, was for Amazon Europe to "catch up" with the US operations by 2007. In order to reach the objective, three key measures were considered for implementation: expand the product offering (similar to the US range); realize new Marketplace activities (Amazon's platform for additional business sectors); introduce Amazon in additional European markets. In considering one or more of the above options, the company was also faced with the task of determining the level of centralization for its activities. Depending on the specific construction of the network, there would be potential to bundle tasks which were being performed individually in each of the existing markets. The key would be to find the balance between utilizing synergies for efficiency and keeping sufficient......

Words: 1784 - Pages: 8

Free Essay

Strategy Recommendation

...Strategy Recommendation: Home Depot Jermaine Singleton Capella University MBA6004-Foundational Skills Business Leaders Jeff Leinaweaver November 15, 2013 Home Depot Incorporated Home Depot is a retailer, which is one of the fastest Corporations in the United States. In the early 80s, the company went public with NASDAQ and join with the New York Stock Exchange. There was a tremendous growth in the company between the 80s and 90s. Home Depot began putting home improvement centers in Canada in 1994 and Mexico in 2001. The company expanded the business to China forming a 12 store chain called The Home Way in 2006. The company also develops a strategic alliance with manufacturers leading in the industry to give customers exclusive products. Home Depot advertises different national brands to set standards for the merchandise use by professional contractors and customers. Home Depot has offices in China, Canada, U.S., India, and Mexico. The company is enhancing the relationships between the customers and the manufacturers and changing the customer’s confidence in the international suppliers. The two largest companies in the industry, which is Home Depot and Lowes, are the high entry barriers. These companies hold the high cost to maintain the success factors with other......

Words: 1383 - Pages: 6

Free Essay

Strategy Recommendation

...Strategy Recommendation Pre-Writing Lutricia Hunter Capella University ABSTRACT A strategy recommendation is a business plan that is use to make a business more profitable and efficient. A business uses strategy recommendations to create goals and strategies for the company. Strategy recommendations help a business to better understand what a customer wants. The presented assignment I will discuss the strategy recommendation for JcPenney. This assignment will identify the specific business that I will use for the recommendation, the reason why I chose that particular business, and two academic resources from the Capella University’s Library. A strategy recommendation is a business plan that is use to make a business more profitable and efficient. A business uses strategy recommendations to create goals and strategies for the company. Strategy recommendations help a business to better understand what a customer wants. The presented assignment will discuss the strategy recommendation for JC Penney. This assignment will identify the specific business that I will use for the recommendation, the reason why I chose that particular business, and two academic resources from the Capella University’s Library. Identity of the Specific Business That I Will Use For Strategy Recommendation The business that I will be using for my strategy recommendation is JC Penney. JcPenney was created in Kemmerer, WY in 1902 by James Cash Penney. Penney called his first store the......

Words: 556 - Pages: 3

Premium Essay

Gamestop Strategy Recommendation

...Portugal, Puerto Rico, Spain, Sweden and Switzerland. GameStop is one of the few brick and mortar stores left that still physically sells video games even with the rise of digital downloading. In the video gamingg industry, the rise of digital downloads for games has created a ripple effect to the brick mortar stores that used to be the only authority in terms of purchasing a new game. GameStop has found a compromise by allowing the purchase of digital vouchers for the products in their physical stores. This strategy has served the company well in the past years but with the rise of the next console generation (PS4 and Xbox one), and the consoles both focusing more on digital only content, the company will have to bolster their strategy to keep customers visiting their stores. GameStop merging digital to retail by S.R. Thompson explained how GameStop in 2011 created a four part plan to integrate digital content and service along with its already established buy/sell/trade strategy. The four parts were the creation of GameStop.com, the creation of the reward service Powerup Rewards, the promotion of selling digital content at the stores and the acquisition of multiple gaming services/websites like Kongregate and Jolt. GameStop finds digital success by Connie Gentry was an interview with GameStop's current general manager of digital distribution, Steve Nix, on how the company has embraced digital products while still bringing in customers to the physical stores. He also......

Words: 1833 - Pages: 8

Free Essay

Strategy Recommendation

...Strategy Recommendation Abstract The retail industry and gaming industry are both evolving at great speed. Retailers around the globe have opened up new opportunities for customers to shop via the web no matter where they are or what they are doing. When a customer wants to shop they can, day or night. With the gaming industry, the demands for online preferences are going. For GameStop, this means to evolve the business for consumers around the world. Implementing simple changes to their website for a more customer friendly shopping experience can only aid in GameStop continuing to be a successful retailer, while at the same time developing the technology side of the business. For GameStop to maximize its brick and mortar locations, the stores will need to capture leading market share of the new console cycle, grow digital sales, and apply retail expertise to the new technology added to the GameStop family. The Business GameStop's retail network includes 6,650 company-operated stores in 15 countries worldwide and online at www.GameStop.com. The network also includes: www.Kongregate.com, a leading browser-based game site, and a digital PC game distribution platform. GameStop offers customers the most popular game software, hardware, game accessories and PC products. On the brick and mortar retail side, GameStop is continuing to grow. According to Slack (2010), “The company sees its physical storefronts as the foundation of the company, but GameStop is well......

Words: 2092 - Pages: 9

Premium Essay

Compensation and Benefits Strategies Recommendations

...Compensation and Benefits Strategies Recommendations Purpose of Assignment For this task, Traci has asked your team to develop compensation and benefits strategies for your client. It is important to understand the relationship of compensation and benefits to achieving business objectives and employee attraction and retention. You will also need to consider the increasing cost of compensation and benefits and appropriate actions management may take to maintain or reduce this cost factor. It is important that any business have a compensation and benefits plan that not only attracts and helps to retain quality employees, but also allows the business to survive financially. Learning Team Assignment: Compensation and Benefits Strategies Recommendations Purpose of Assignment For this task, Traci has asked your team to develop compensation and benefits strategies for your client. It is important to understand the relationship of compensation and benefits to achieving business objectives and employee attraction and retention. You will also need to consider the increasing cost of compensation and benefits and appropriate actions management may take to maintain or reduce this cost factor. It is important that any business have a compensation and benefits plan that not only attracts and helps to retain quality employees, but also allows the business to survive financially. Learning Team Assignment: Compensation and Benefits Strategies Recommendations Purpose of......

Words: 417 - Pages: 2

Free Essay

Strategy Recommendation

...Identify the business you chose and describe the business and its industry “Social Media touches nearly every facet of our personal and business lives. In business it isn’t just for the marketing and public relations department. Rather, it is imperative for social media to be an integral part of a company’s overall strategy” (Qualman, 2013, pp. ix). Whether a business choses to utilize websites, Facebook, Twitter, etc., the opportunities are endless to improve growth, production and sales; businesses utilize the many channels of media in order to market their products. “Businesses don’t have a choice on whether to do social media; the choice is how well they do it” (Qualman, 2013, pp. xviii). With today’s people-driven economy and new social media addiction it is important to generate products that customer’s love which will enable them to boast about on their preferred social media site. Mars Inc. and Hersey have been the leading chocolate competitors since the beginning of the chocolate industry; it is interesting to view how each company effectively utilizes the resources around them to promote their products. Assess the company’s current use of the Internet and social media Mars has developed with the time, ensuring that they are able to reach a wide variety of audiences. The company has taken full advantage of today’s culture, and has fully utilized all media sources available to today’s society. "Marketing is becoming more interactive, for example by encouraging......

Words: 1280 - Pages: 6

Premium Essay

Strategy at Amazon

...Abstract The purpose of this report is to analyse the strategic position of Amazon and determine any competitive advantages held by the company. Beginning with a discussion of Amazon’s industry and review on the political, economic, social, and technological environments in which the company operates, the report than narrows to focus on Michael Porter’s Five Forces: threat of new competition, threat of substitutes, bargaining power of customers, bargaining power of suppliers and intensity of competitive rivalry. The report continues with a thorough SWOT analysis of the company and follows on to the analysis of the company’s internal environment. Resource base view together with value chain analysis has been chosen to analyse Amazon’s internal environment. Introduction Company Overview Jeffrey Bezos started Amazon in 1994, after identifying that Internet usage was growing at a rate of 2,300 per cent per year (Emerland, 2002). Working from a 400-square foot office in Seattle, Jeffrey launched Amazon in July 1995. By the end of 1996, Amazon has posted sales of over $16 million and served about 180,000 customer accounts, which made it one of the most successful Web retailers in the world (Galante, 1997). Amazon has continued to expand its customer base, and sales revenues have increased every year. The firm’s revenues increased from $16 million in 1996 to $41.1 billion in 2011 (Bloomberg, 2012). Today, Amazon offers perhaps the broadest range of products worldwide. ......

Words: 5579 - Pages: 23

Premium Essay

Strategy Recommendation

...Starbucks Corporation: A Strategy Recommendation Elizabeth Joyner Capella University I. Introduction and History of Starbucks It all began in 1971 in a small storefront in Seattle, Washington’s Pike Place Market. This was the site of the very first Starbucks store where unlike how the store is set up now it was merely a roaster and retailer of whole bean coffee and teas. Ten years later in 1982, Howard Schultz joins the company as the director of retail operations and marketing. To further immerse himself into the coffee world he travels to Italy in 1983 and subsequently falls in love with the coffee bar experience. The following year, the very first Café Latte is served in downtown Seattle. In 1985 Schultz founds Il Giornale, a business that offers brewed coffees and espresso drinks made from Starbucks brand coffee beans. Two years after the founding of Il Giornale, Howard Schultz acquires the assets of Starbucks and changes the name of Il Giornale to Starbucks Corporation and opens up 17 Starbucks stores including stores in Chicago and Vancouver, Canada. The statement, “Our Mission: to inspire and nurture the human spirit – one person, one cup and one neighborhood at a time” (Starbucks Corporation), the popular coffee chain became what it is today. II. History of the Internet and Social Media While Howard Schultz and the “big wigs” of the Starbucks Corporation are watering the new coffeehouse idea and growing Starbucks into the conglomerate......

Words: 2145 - Pages: 9

Premium Essay

Amazon Strategy

...Amazon’s strategies The online retail line of business includes those products sold by Amazon as a traditional retailer, most commonly as a low-cost retailer. Amazon claims to have "Earth's Biggest Selection" of products available through its family of websites, sold at the lowest cost at a small profit. The company started as an online book seller, rapidly expanding into music and movies, and ultimately into electronics and household goods. But Amazon doesn't stock everything that is sold through its website. Another part of its retail strategy is to serve as the channel for other retailers to sell their products and taking a cut of every purchase. Amazon maintains its status as a destination website, but does not have to maintain inventory on slower-selling products. This strategy has made Amazon a leading long-tail retailer, expanding its available selection without a corresponding increase in overhead costs. Extending this long tail retail model further, Amazon introduced the sale of used products through its seller marketplace. Originally developed to compete with eBay, the seller marketplace provides another retail revenue stream for the company without the need to stock products in its warehouses. Advertising and shipping are handled exclusively by sellers, with Amazon taking a cut of every sale simply for providing the channel. Amazon's internet services cannot easily be discussed as a standalone line of business because it is deeply intertwined with both its......

Words: 383 - Pages: 2

Free Essay

Strategy Recommendation

...Strategy Recommendation Project MBA6004 November 22, 2015 A new driving school, 3D Driving School in Buford, GA will open in 2016. 3D Driving School will offer Driver’s Education classes, DUI/Risk Reduction Program and Defensive Driving Program. Two of the three classes offered are mandatory from the state of Georgia. January 1, 2007, Joshua’s Law became effective (DDS, 2007). This law was named after Joshua Robert Brown. Joshua died in 2003 after his truck hydroplaned and struck a tree (Brown, 2004). Joshua’s parents blamed the accident on the lack of driver’s training and experience (Fish, 2003). Lobbying for this bill started in 2004 and was passed in the Georgia General Assembly in 2005 (Brown, 2005). Joshua’s Law requires class D drivers to complete a mandatory driver’s education program approved by the Department of Driver Services and complete 40 hours of supervised driving experience, including at least six hours at night. The other state mandated class is the DUI/Risk Reduction Program. This is an intervention program for people convicted of driving under the influence (DUI), possession of illegal drugs, underage possession of alcohol while operating a motor vehicle, or boating under the influence (BUI) (DDS, 2015). The third class offered at 3D Driving School is the defensive driving program. It is geared toward drivers who have accumulated points against their license and are at risk of suspension. This class will reduce the number of points......

Words: 2530 - Pages: 11

Premium Essay

Strategy Recommendation

...Alisha Moore Foundational Skills for Business Leaders -MBA-FP6004 Strategy Recommendation Capella University February, 2016 Introduction Under Armour, Inc. was founded by Kevin Plank, a former University of Maryland football player, in 1996. The company’s mission is “to improve all athletes through passion, design, and relentless pursuit of innovation” (The Business of Under Armour website, 2016). Plank had a simple plan to make a superior T-shirt. A shirt that provided compression and wicked perspiration off your skin rather than absorb it (The Business of Under Armour website, 2016). All of its products are designed with the athlete in mind. The company has developed different product lines for athletes to be used according to the seasons of the year. They include Heat Gear®, Cold Gear®, and All Season Gear®. Other product lines include footwear for men, women and youth and accessories, including headwear, bags, and gloves. Kevin Plank started Under Armour, Inc. using $20,000 of his own money, $40,000 from credit, and a $250,000 Small Business Loan (Lyster, 2006). The company has now developed into a corporation that serves not only the U.S., but also over 80 countries around the world including, Japan, Canada, and the United Kingdom. Under Armour, Inc. is one of the fastest growing athletic brands. According to a Sterne Agee and SportsScanInfo report, in 2014, Under Armour replaced Adidas and took the No. 2 spot in the sportswear......

Words: 2142 - Pages: 9

Free Essay

Amazon Strategy

... Initiatives to Minimize Litigation Amazon like other large companies build their organization with a vision - from the vision the company develops the mission, goals, and objectives. Oftentimes during the life of an organization it becomes necessary for the organization to redefine the goals of the organization based on profitability, customer concerns, and internal, external, and international challenges. Amazon’s mission and corporate governance states its commitment to excellence to stakeholders; the customer, employees, contractors, vendors, and the international market. One of the company’s priorities is to improve reliability and customer trust (Corporate IR, 2012). The company’s challenges related to ongoing litigations will jeopardize its commitment to stakeholders and as a result pose a threat to its profitability. Since 2001 Amazon’s list of legal complaints continue to grow. The spectrum of the company’s legal issues touch the overseas market, and national competitors. It is necessary for Amazon to implement a strategic initiative to minimize, closeout, and prevent future litigation. Those initiatives must include actions the company can take to protect better the corporation in the future (ehow, 2012). Of the 26 pending litigations the company faces, 22 relates to patent infringements. One litigation involves a subsidiary of Amazon. The claim by litigants is that the subsidiary failed to......

Words: 625 - Pages: 3