Innovation and Disruption at Amazon: A Review of Enabling Factors and Stakeholders

RUNNING Head: Management 0
MANAGEMENT

Management 1
Contents
Introduction.................................................................................................................................................2
Level of disruption......................................................................................................................................2
Affected footholds...................................................................................................................................2
Affected stakeholders..............................................................................................................................3
Review of the enabling factors....................................................................................................................4
Pestle analysis..........................................................................................................................................4
Five forces...............................................................................................................................................5
Entrepreneurial ecosystem.......................................................................................................................5
Conclusion...................................................................................................................................................6
References...................................................................................................................................................8

Management 2
Introduction
The innovation is the process of translating an idea into goods or services so that value can be
created and the customers will be ready to pay for such innovations. Amazon believes in making
smart, fast decisions, stay dexterous, innovate, invent and focus on delighting customers.
Amazon is the world’s leading online retailer and conspicuous provider of the cloud services.
Amazon was primarily a bookseller but it later it extended functions and started to sell consumer
goods and digital media. The company kept on making innovations time by time. Some great
innovations of the Amazon are Prime, Prime now, Prime air, one-click purchases, a dash button,
Alexa, kindle, Amazon go, Amazon wardrobe and cloud computing.
Amazon prime is one of the greatest innovations of the company. Amazon prime provides fast
and free shipping on thousand items to the members. The company also offers fast and free
shipping than other companies. When a person buys something online from Amazon then the
delivery is expected in the two working days (Akcigit and Kerr, 2018). The same day delivery is
also available in the eligible zip codes. It is not only good business but good marketing. It is also
the smart action taken by the company to link streaming video service with the Prime. It offers
added value for the customers along with the incentive of adopting Amazon streaming service.
The streaming videos make available original content which helps in setting the stage for the
future growth of the organization. Amazon prime also includes benefits like free shipping and
prime day discounts and some other precise services. The prime pantry and prime now are also
some of the benefits (Arnett, Goldfinch and Chinta, 2018). The prime pantry offers accessibility
to the low-priced groceries along with the household and pet care items. Such service comprises
unlimited free shipping on pantry orders of $40 and more. In the specific cities, the company
offers one hour delivery on the thousand products from the local stores. Such benefit is provided
through the Prime now.
Level of disruption
Affected footholds
At the low end, the prices have a role in influencing a buyer. The low prices are focused in the
case of Amazon. The company charges low to medium prices. The higher prices are charged
exceptionally for the premium products only. The customers also like to buy the products of