Applied Corporate Strategy Assessment for Amazon

This report is an Applied Corporate Strategy Assessment for Amazon, covering external analysis, identifying threats and opportunities, and evaluating internal resources. The report includes an overview of Amazon, PESTEL analysis of the external environment, and analysis of social, economic, and political factors affecting the company.

Applied Corporate
Strategy Assessment

Table of Contents
INTRODUCTION ..........................................................................................................................3
MAIN BODY...................................................................................................................................3
Overview of the organisation.................................................................................................3
Evaluation of external analysis ..............................................................................................3
Internal analysis of an industry...............................................................................................6
Define the strategy evaluation .............................................................................................10
CONCLUSION .............................................................................................................................12
REFERENCES..............................................................................................................................13

INTRODUCTION
Every business organisation wants to remain in the competition for long term so they make
strategic analysis according to internal and external environment (Kurpiela and Teuteberg,
2022). Strategic analysis helps the organisation to execute their operation effectively and
effectively that leads to overall growth and success of the organisation. The analysis is done on
the basis of internal and external environment so that helps organisation identify the
opportunities and threats. In this report Amazon is a multinational technology company dealing
in variety of products and services. This report will be based on external analysis, threat and
opportunities, identifying strength and weakness of the resources utilized by organisation and
Porter's value chain.
MAIN BODY
Overview of the organisation
Amazon is a multinational technology company mainly focusing on e-commerce, cloud
computing, digital streaming, and artificial intelligence. It is founded by Jeff Bezos on July
5,1994. The company serves its products and services online to its customers such as Amazon
Fresh, Amazon prime, Kindle etc. The organisation provides its services to the customers
worldwide and deals in fashion industry, footwear, web services which helps generating large
number of employment.
Evaluation of external analysis
PESTEL analysis is the framework that helps every business organisation to make
strategic planning according to macro environment which helps in identifying threats and
opportunities. The analysis is mentioned below:
Political factor: The respective company gets opportunities from political stability as company
operates in UK where the government doesn't change the rules and regulation frequently.
This helps industry expand its operation worldwide such as Australia gave opportunity to e-
commerce to expand its operation (Chen, 2022). Here the company highly rely on the
political stability and e-commerce support by the government. Taxation and tariffs plays a
great role while operating the business as the government of the UK is already established so
it doesn't make frequent changes in these factors. So it helps industry to operate its business
very smoothly. Due to political stability in the country the e-commerce is is have stable

financial position that leads industry to be one of the biggest online retailer. Due to this it
has sustainable environment for many investors to invest in which leads to the growth of the
organisation. Hence, it helps as an opportunity for the company.
Economic Factor: This factor can be an opportunity for the business because the it is online
based business which helps in developing more employment opportunities in the economy.
Due to use of high technology while operating online skilled staff are required so it helps in
reducing unemployment that leads in increase in living standard. As increase in spending
lead to the growth of the business organisation. This will help in making the GDP of the
country stronger and the inflation rate are also kept in balanced. Due to this the industry is
giving more focus on increasing the employment opportunities in the economy which gives
benefit to both the organisation and economy.
Social factors: This factor in the business can be threat as nowadays customers demand and
market preferences are changing frequently. Customer demands very unique and dynamic
products, If the industry fails to provide the products and services according the customers
then it will face losses (Castro and Cobos, 2022).The industry needs to keep its product and
services very unique so that customers retain within the organisation. The company should
make its website user friendly and customer grievances should be solved so that they retain

in the organisation. Customers plays very important role in business growth and success and
if customers fail to meet it affects the company in negative.