Digital Technology and Business Models: An Analysis of Amazon

This report analyzes the key trends and advantages of digital technology and implications for managing virtual business, new and emerging digital business models, and the impact of crypto currency such as Bitcoin on businesses, with a focus on Amazon. It also discusses the concept of El Salvador’s legal tender of adoption ₿ in early September 2021.

INDIVIDUAL REPORT

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY..................................................................................................................................3
Key trends and advantages of digital technology and implications for managing virtual
business........................................................................................................................................3
New and Emerging Digital Business Models..............................................................................5
Impact of crypto currency such as Bitcoin (₿) and others on businesses and understanding
concept of El Salvador’s legal tender of adoption ₿ in early September 2021...........................8
CONCLUSION................................................................................................................................9
REFERENCES................................................................................................................................1

INTRODUCTION
Digital is refers to the business that apply digital technology in order to reinventing
business model and also it can transform the company product and customer experiences. Also,
the innovating products are helps for creating the new value of product and services in order to
connecting people with insight and experiences (CHANDRASEKAR, 2020). The present report
is based on Amazon that is American multinational technology which is focus on digital
streaming, cloud computing, artificial intelligence. Further, it is popularly known for largest e-
commerce platform of the world that offers wide range of product and services. The study will
analyse the key trend and advantages of digitals technology. Then critically evaluating new ands
emerging digital business model such as cyber security and ethics and evaluate the impact of
new collaborative relationship and strategic alliance through digital technology for Amazon.
Lastly, discuss the impacts of crypto currency and Bitcoin that can be use in business by
understanding the El Salvador’s legal tender of adoption in early September 2021.
MAIN BODY
Key trends and advantages of digital technology and implications for managing virtual business
Digital technology is one of the most trending business nowadays because it is enabled
the immense amount of knowledge and information that are need to be compressed by small
devices which can be easy to preserved and transported. Digital technology helps to give the way
of how people can communicate with each other or with organization. There are different types
of digital technology used such as big data, mobile, internet, artificial intelligence etc. Digital
technology is modified nearly each and every aspect of life such as work, travel, entertainment,
shopping, communications etc. all these areas are very trending (Nouhra, 2018). Digital
technology's help to enable immense amount of information which are need to be compressed in
small storage device that can be easily preserved and transported. It has the ability of versatility
in order to expand the information in such manner audio, video, photos, etc. There are many
advantages of digital technologies such ass it helps to build social connectivity there are large
number of people live in the world so that it is not possible to sends all the information by one by
one . In order working on the platform digital technology helps to build the social connectivity
with family, friends, remotely, work in any part of the world. It is related to software, websites
application that is designed for makings people socialize (Ramadan, F Farah and El Essrawi,
2021). Social media, texting, laptop, mobile phones are need to be felt isolated.

Digital technology also helps to improve the communication speed in regards to transfer
large amount data by access virtually in the world in the traditional media. It increases the
connectivity by versatile working from work from home that become very common for recent
decades. Also, it gives the learning opportunity by providing large content at web and people can
easily get offer of making part of foreign event that help to build flexible working practices. It
also provides the massive amount of space that help to store all the data related to customer’s
base, videos, audio, online content etc. There are some implications that are managed by
amazon in order managing virtual business (Weill and Woerner, 2018). Internet is one of
important part for the Amazons because it helps to provide unconditional supports regarding
growths of the business also the technologies innovations is mainly depend on the internet. There
are some implications that are managed by Amazon in order managing virtual business. Internet
is one of important part for the Amazons because it helps to provide unconditional supports
regarding growths of the business also the technology innovations is mainly depended on the
internet. Communication is one of the major parts of the business because it helps to work in
smooth direction.
The flow of accurate information is depended on the better communication processes by
using right tool, the tool is to hire right candidate by identifying all the skills related to e-
commerce or digital marketing. Also, it is necessary to develops the relationship for managing
such as stay connected is helpful for cultivating robust working relationship in order to ensure
about success. To building trust is important part of maintaining good relation also it helps to
connect by daily mails, phone calls etc (Tou, Watanabe and Neittaanmäki, 2019). To keep them
in loop is necessary to update boos for all the responsible work such as deadline of project,
building good connectivity by helps them by informing about news trend and engage employee’s
with the global business. To be transparent is necessary for the virtual business because it will
help to share all the related information in order scheduling something better. Due to lock-down
the sale was increasing for grocery product at that time people are supposed to have delivery of
good at home. At the same time the support given by team is outstanding because everyone was
working in the loop which helps to improve the productivity. The tools used by the company are
very important because it helps to have in loop by regular monitoring the employees then the
assess the location of the employees in order to identify their working pattern (Langley, van
Doorn and Boonstra, 2021).

To schedule regular meeting with the help of teams and Google meet are helps to connect
more people on easy basis. Also, its helps to provide regular training to employees and keep
them updated. This artificial intelligence is helps to enhance the knowledge and it will helps to
connect with other services such as Amazon pay, policy, Rekoginition machines learning etc.
The AI Suits are helping to changes the voice conversation with end user using conversationalist,
ChatOps interface. Amazon has using artificial intelligence in order to give subscription all over
the e-commerce, warehousing, etc. Chosen company also provide personalised product
recommendation which is very helpful in order to using science behind product recommendation
algorithm and it is integrating in order to change the purchasing process of the consumer
(Centobelli, Cerchione and Urbinati, 2020).
New and Emerging Digital Business Models
The business models help to creating value of benefit for their customers in order tos
understand the application which is relates to advanced technologies in their operations. It has
been analysed that there are different types of changes are already seen that is considered as
technology factors and preferences of customer also it is important for company to mould itself
according to demand of market and for Amazon there are large number of customer who are
supposed to take advantages for sustaining in market. It is the digital platforms but it is necessary
to builds the requirement of that are need to apply in management system for producing effective
output as per the demand of customer.
Various kinds of digital business models are: Free model, Fermium model, On- demand
model, E-commerce model, Marketplace model, Ecosystem model etc.
Fermium model- On the basis of this digital business model it has been analysed that
there are customers are expecting different types of digital services that are related to good
network, server and easy to use application in order to manage the boarding service easily by
putting little support (Di Vaio, Landriani and Palladino, 2020). Amazon has focused on its digital
marketing services which is necessary for the company to provide the best service in order to
manage the customer demand and perform accordingly. Also, according to this model it is
related to principle of competence standardization that depend on personnel intensive activities
by operating all the platform such as Amazon prime, amazon.com, Amazon web etc. all the
platforms are providing better services in efficient manner so that its help the company to
successfully manage and upgrade the Fermium version by investing more in that.

Marketplace model- This platform is working well for the Amazon in orders performing
digital platform functions as the intermediary marketplace for different services and product.
Also, the supply and demands managed by company together so that it helps to manage flow of
work. All the digital business model are helps to follow the model driver which are help to add
the value in fact it is large number of independent players that are need to active at marketplace
on regular transaction which take-place (Akter, McCarthy and Rahman, 2020). It helps to
provide different extensions of work and it also allows external services providers which are help
for integrated with other app at marketplace.
Using instead of buying- This business model is enable for using asset such as auto
mobile, software and machines, its is not related to the longer possession buts it can be related to
consumption or suing the asset monitored. All the digital technologies are help to become part of
measuring the consumption. Such Amazon is totally depending on suing software and
automobile in such manner. Software’s are related to develop new technologies on the other
hand automobile are helps to deliver the goods and services on time. The software are using by
online platform are related to collaborations with payment method, Linux is system also AWS is
related to developer tools which is built with AWS also its helps to make easy team in order to
get set an be productive.
There are different types of business issue face by Amazon related to cyber security and
ethics such as Amazon is an arch tax avoider that is globally boycott call by Ethical consumer.
Also, it is known for biggest online retail store in order to generating huge amount of revenues in
UK by paying little corporation tax. This is does funnelling money on the basis of holding the
company in the notorious tax haven of Luxembourg. Ethical issue related to cyber security are
harm to privacy in regards to conceptualised as the negative consequences of privacy violation
(Brown, Hall and Davis, 2019). Also, it can be related to cyber security resource allocation also
it can be disclose the transparency regarding company policy so that competitor can not affect
the security otherwise it can be affected negatively.
Evaluate the impact of new collaborative relationships and strategic alliances through digital
technology for your chosen business.
New and emerging collaborative relationship and strategic alliance through digital
technology for Amazon are as three competitor operation driver business model. Amazon
marketplace Amazon service and Amazon Web service and Amazon Kindle, that are already

belongs to companies on market such as well when Amazon offer some product same product
will be offer by competitors on website. Customer are shift to competitors in order to take cheap
product with low quality that is why amazon.com and Amazon website are keeping sale
proceed. Amazon service and Amazon Web service are different on online shopping platform
and server to their competitors for example amazon.com offer Netflix which is distributed films
and TV series on the internet on the other hand amazon.com infrastructure operate website base
d to obtain revenue from operating the service from its advancement of competitors.
World most customer centric business- On the basis of research Amazon.com doing the
business on the basis of computer scale the company strategy to become customer centre
business enterprise in order to using different type of business model that enable business
action. There are white range of product offer by Amazon which attract customer on discount or
festive season (Frølund, Murray and Riedel, 2018).
Strategic alliance of Amazon
Data and connectivity are opening new venture for innovation in the automatic industry
also blackberry and AWS share common reason in order to give better inside to customer and
deliver new services. Amazon has done joint venture with BlackBerry in order to improve
capability inside agility and speed that are need to connect the world easily also it helps to give
better race in digital transformation with blackberry ivy and power and help to build brand and
setting the standard for more connected vehicle.
Telephonic expanded its strategy collaboration with Amazon cloud development and
digital home. Companies seal new global agreement in order to telephone teaches will become
AWS primary consulting partner with its managing service and migration acceleration. Also it
rains more than 1000 of professional in order to providing AWS services to support business
customer and join market activities by supporting customer using cloud service which are
related to 5G or more. Nowadays telephonic also launching TV commerce app with movie Star
Plus more than 20000 home product on the basis of white selection product available at
amazon.es it is related to living at this launch will be innovative commerce experience available
at spend it is also known as digital home proposal for both the companies (O'Dwyer and
Gilmore, 2018).
Today Amazon has strategic alliance with different platforms such as Amazon Web
service, amazon.com company with BlackBerry nix in order to become leader of intelligent

security software and services also that developed intelligent vehicle data platform that is
known as blackberry ivy. Strategy is related to joint venture of Amazon with cloud tail that is
Narayan Murthy this is online marketplace of India that control by Amazon also it is known as
largest and longest serving seller on its platform. Amazon has been under spotlight from various
government bodies and other retailer’s bodies that climbs FDI rules such as indirect tax seller
entities. Cloudtail head excellent presence with Amazon India market place with multiple
categories such as electronic Smartphone fashion (Cui, Yang and Vertinsky, 2018). However
after sometime it reduces the focus on fast selling category such as Smartphone instead of focus
on daily necessity and electronics. That is why the revenue generated by company is affected
and this strategic alliance may get disturbed in order to introduce new business but still Amazon
has wide variety of choice to make collaboration and partnership with other brands.
Impact of crypto currency such as Bitcoin (₿) and others on businesses and understanding
concept of El Salvador’s legal tender of adoption ₿ in early September 2021
Currency refers to encrypted data that is a string or denotes a unit of currency. It can be
monitored or organized by a peer -to -peer network that is also known as blockchain which can
serve as a secure ledger of transactions that can be considered a selling, transferring and buying.
Crypto currencies work in order to distribute ledger or Rico transactions by updating currency
holders. It has been analyzed that there are positive or negative both the impact of crypto
currency on business such as interest in crypto acid can be risky but all also potential or
profitable sometimes (Martínez-Costa, Jiménez-Jiménez and Dine Rabeh, 2019). On the other
hand it has been identified that it takes time to understand crypto currency and can be a volatile
investment. Telescope investment is high as compared to other stock and scalability issues.
There are different type of crypto currencies that are available in the market such as Bitcoin,
ethereum, Litecoin,cardano, Bitcoin etc.
Bitcoin( BCH)
It is known as digital or virtual currency and can we say that the online version of cash is also
used for buying products and services. It can be possible that all the shops are not accepting
Bitcoin and sum of the countries are banned altogether. To use Bitcoin technology is pretty safe
but some of them are considered a risk to make investment because the price of Bitcoin or crypto
currency is extremely volatile (Amsyar, Khan and Maulana, 2020). This currency enables
businesses to use algorithms which also allow financial transactions that can be a real force

sometimes. It can become a barrier break through with Bitcoin that also allows businesses to
avoid dealing with complexity or traditional financial transactions with the help of the internet or
global Axis of cash exchange (Delgado-Segura and Borrell, 2018). For example Amazon is
using Bitcoin in order to allow the highest level of transparency by providing information to
verify balances and transactions on the basis of blockchain. However some of the issues are
faced by organizations because crypto currency like Bitcoin can be changed significantly so it
can be unsafe for some time.
Amazon has introduced a unique digital currency that is known as Amazon coins. Collected
through tokens on the basis of Amazon hosted gaming and apps.
Ether (ETH)-
Ethereum refers to a platform that is powered by blockchain technology which is also known
as native crypto currency that is called ether. Descriptive currency is used for paying transaction
fees and computational services and other users can use it as hold or sand ether to develop
contacts (Kyriazis, Papadamou and Corbet, 2020). There is some of the use ether in order to
allow Allen business network in order to develop mechanisms which can punish nefarious
activity and create rewards for other activities such as availability and verification. Organization
refers to talk about any asset on ethereum that has been registered in digital format.
E l Salvador became one of the first countries that introduced Bitcoin as legal tender after
shifting approval of the law only three months prior. The reason for adopting Bitcoin as legal
tender is related to reducing the cost of transfer and reducing the strong Reliance on the US
dollar in the economy. Moreover it also helps to attract foreign investment in order to boost
domestic consumption.
CONCLUSION
It has been concluded that digital technology played an important role for our business in
order to reinvent the business model and improve the customer experience. Present report was
based on Amazon that is popularly known for its E-Commerce platform. The report also studied
key trends and advantages of digital technology for chosen company in order to critically
evaluate the impact of new collaborative relationships and strategic alliances. Lastly discussed
the impact of crypto currency and Bitcoin that can be used in business also explained El
Salvador legal tender of adoption in early September of 2021.

REFERENCES
Books and journals
CHANDRASEKAR, S.,2020 A STUDY ON DIGITAL MARKETING-A CASE STUDY WITH
SPECIAL REFERENCE TO AMAZON. COM Dr. S. CHANDRASEKAR.
Nouhra, V., 2018. Conducting a forensic investigation of Amazon Drive on Android
devices (Doctoral dissertation, Notre Dame University-Louaize).
Ramadan, Z., F Farah, M. and El Essrawi, L., 2021. From Amazon. com to Amazon. love: How
Alexa is redefining companionship and interdependence for people with special
needs. Psychology & Marketing. 38(4). pp.596-609.
Weill, P. and Woerner, S., 2018. Surviving in an increasingly digital ecosystem. MIT Sloan
Management Review. 59(2). pp.26-28A.
Tou, Y., Watanabe, C. and Neittaanmäki, P., 2019. A new concept of R&D in neo open
innovation: transformation of R&D triggered by Amazon. International Journal of
Managing Information Technology, 11(1).
Langley, D.J., van Doorn, J. and Boonstra, A., 2021. The Internet of Everything: Smart things
and their impact on business models. Journal of Business Research, 122, pp.853-863.
Centobelli, P., Cerchione, R. and Urbinati, A., 2020. Designing business models in circular
economy: A systematic literature review and research agenda. Business Strategy and the
Environment, 29(4), pp.1734-1749.
Di Vaio, A., Landriani, L. and Palladino, R., 2020. Artificial intelligence in the agri-food system:
Rethinking sustainable business models in the COVID-19 scenario. Sustainability, 12(12),
p.4851.
Akter, S., Michael, K., McCarthy, G. and Rahman, M., 2020. Transforming business using
digital innovations: The application of AI, blockchain, cloud and data analytics. Annals of
Operations Research, pp.1-33.
Brown, D., Hall, S. and Davis, M.E., 2019. Prosumers in the post subsidy era: an exploration of
new prosumer business models in the UK. Energy Policy, 135, p.110984.
Frølund, L., Murray, F. and Riedel, M., 2018. Developing successful strategic partnerships with
universities. MIT Sloan management review, 59(2), pp.71-79.
O'Dwyer, M. and Gilmore, A., 2018. Value and alliance capability and the formation of strategic
alliances in SMEs: The impact of customer orientation and resource optimisation. Journal
of Business Research, 87, pp.58-68.
Cui, V., Yang, H. and Vertinsky, I., 2018. Attacking your partners: Strategic alliances and
competition between partners in product markets. Strategic Management Journal, 39(12),
pp.3116-3139.
Martínez-Costa, M., Jiménez-Jiménez, D. and Dine Rabeh, H.A., 2019. The effect of
organisational learning on interorganisational collaborations in innovation: an empirical
study in SMEs. Knowledge Management Research & Practice, 17(2), pp.137-150.
1

Amsyar, I., Khan, A.N. and Maulana, S., 2020. The Challenge of Cryptocurrency in the Era of
the Digital Revolution: A Review of Systematic Literature. Aptisi Transactions on
Technopreneurship (ATT), 2(2), pp.153-159.
Kyriazis, N., Papadamou, S. and Corbet, S., 2020. A systematic review of the bubble dynamics
of cryptocurrency prices. Research in International Business and Finance, 54, p.101254.
Delgado-Segura, S. and Borrell, J., 2018. Cryptocurrency networks: A new P2P
paradigm. Mobile Information Systems, 2018.
2