Global Business Strategy: Amazon's Response to Socio-Economic and Political Landscape, Globalization, and Internationalization Challenges

This essay discusses Amazon's response to socio-economic and political landscape changes, positive and negative effects of Amazon on economic development, global strategies for long-term success, global value chain analysis, and Amazon's business strategy response to internationalization challenges. It also covers the role of international organizations in ensuring smooth international trade amidst the pandemic. The essay includes subject matter on global business strategy and is relevant for students studying business courses in colleges and universities.

Essay

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................4
company respond to the changes in socio-economic and political landscape.............................4
positive and negative effects of Amazon on economic development..........................................4
Global strategies adapt to extend long term success ...................................................................5
Global value chain analysis ........................................................................................................6
Amazon’s business strategy response to the challenges of internationalization..........................8
The role of international organizations in ensuring smooth international trade amidst the
devastation of covid 19 ...............................................................................................................9
Recommendation ......................................................................................................................10
Conclusion.....................................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
The global business strategy is referred the strategy which use by the company to expand
and develop into the global competitive environment. The aim of the company to develop the
global business strategy to enhance the sales across the globe. The global strategy terms are
including the multinational, international and standardization strategies in the business. The
business manager decides to run the global business strategy in the company. There four basic
dimensions of the business strategies that include the transnational strategy, standardization
strategy, export strategy and multi-domestic strategy in the aspects of two dimensions such as
local responsiveness and global integration. The company global business strategies must
balance the global integration and local responsiveness of the company. In the context of export
strategy, it is used when the company focused on the domestic operations. The company design
an export strategy when they make two choices along the dimension’s global integration and
local responsiveness. In the context of standardization strategy is referred to when business is
treat the whole world as one as well as assume that a product of the company can meet the
expectations and needs of the customers. The business to business company use the strategy. The
multi-domestic strategy is also referred as the customizes process and products to the particular
situation in every country (Aćimović and Mijušković, 2020). In the context of transnational
strategy, it helps in combine a multi-domestic and standardization strategy. This strategy is used
when a business faces the cost pressure from the competitors and also offer the products which
helps in meet the needs of the customer.
This strategy is difficult to manage because the business needs to achieve the goals of the
organization. This report will also elaborate the company amazon which is a multinational
technology company and the firm focus on the digital streaming, e-commerce, cloud computing
and artificial intelligence. With the help of refer the videos, this wants to elaborate the Amazon
summary report and think on the competition as well as thinks about the pre-reviewed and
reviewed sources. This report will discuss that how company respond to the changes in the
political and socio- economic landscapes as well as positive and negative effects of amazon on
the development of economic. The company adopt the global strategies to extend the long term
success of the business. The global value chain of the company is also strengthened the
competitive advantages of company. This report will also elaborate that how the company
formulate the strategies of the business in the response to the challenges of the global as well as

role of the international organization for ensuring the smooth trade during the pandemic
condition.
MAIN BODY
company respond to the changes in socio-economic and political landscape
Amazon company is the largest online retailer company. The changes in the political
landscape the company focus on the governmental activities which effects on the macro
environments of business. The amazon company get the benefits from the political stability
because it helps in expand the brick and mortar operations in the e-commerce business. The
governments support is the great opportunities for the company to expand their business in the
competitive market place. The socio-economic changes the company response that they are
performing well with the trends and changes in the socio-economic and leading online retailer
with the best technology of good and services. The changes in the socio-economic is helps in the
company able to increase the online buying habits but the changes in the socio-economic.
Changes in the economic landscape. The people of the amazon are suffered which are impacted
on the processes, and they are faces challenges in adopting the changes in the form of amazon
development and conservation. The current changes in the accelerated the international and
globalization, rising inequality, expanding the environmental concerns and commodity demands
which affects the amazon company. The changes in the socio-economic and political are affects
the structure of the business as well as its current development. Example: the changes in the
socio-economic due to the pandemic are affect the amazon company which are helps in generate
the profitability and performance of the business.
positive and negative effects of Amazon on economic development
The positive effects of Amazon on the economic development in development of the
economics of country. The economic development is good because the wages are pay by the
company to employees and it helps in generate the economy of the country (Fuchs and
Dannenberg, 2022). The amazon industry is leading the benefits in the aspects of profits and
revenues, because the rate of sales of Amazon are good as compare to another companies and
competitor’s companies.

Negative effects of Amazon on the economic development is not good for economic
because the company overheads the costs lower than the other companies, so it affects the
economic development of the country. The company consider a low cost as well as they are not
paying the living wages to the workers. The company also not pay high tax rates so; it is the
negative effects of the economic developments. The company are investments is good but its
returns are not excellence for the future. The cost of the company which are overheads by them
are lower than the other retailers so, Amazon effects the economic development.
Global strategies adapt to extend long term success
Amazon adopts the various strategies to become the success in the future and extend the
long term business success.
 The company adopt the positioning strategy to build a brand strategy in the competitive
market or with the competitive brands because of the customer's satisfaction as well as
make the customers friendly environments and provide the best customers services to
achieve the goals of the company (Pananond and Gereffi, 2020). The positioning strategy
helps the company to build the brand image in the competitive market place and make
position in the competitive market.
 The company also adopt the repricing strategies to achieve the goals of the company with
including the pricing rules and evaluate the strategy. The repricing strategy of company is
set minimum prices and deliver changes to meet the competition. Repricing strategy
helps in attract the more customers and generate the sales of the business in the
competitive market.
 The company also adopt the sales strategies for generate the sales and revenues and meet
the competitive advantages (Wu, 2018). The sales strategies are adopted for attract the
more customers and generate the range of the sales strategies in the competitive market.
 The company also adopt the markup strategy that determine the online products with the
high margin products helps in increase the marketing spends and selection the more time
to the product. The markup cost strategies is that how much cos are added to the initial
cost to come at the selling price.

Global value chain analysis
The value chain analysis of the company is helps in assists in distinguishing the business
organization activities that helps in create the competitive advantages in the business as well as
create the values of the business. There are various global value chains of the amazon company
such as inbound logistics, outbound logistics, marketing and sales, services and operations.
 Amazon inbound logistics: It is the primary activity of the Amazon and it involves the
storing and receiving the raw materials to produce and manufacturing the goods and
services of the organization. Due to the global complex in the market so, the operations
of the e-commerce are also getting the complex for the company. The company amazon
is assuming that they are fully responsible for the customer’s services, logistics and
products return.
 Operations: The operation of the amazon are also the primary activities of the company
and it involves the transformation of the raw materials into the goods for the process of
proving and offering the better services to the customers and sold to the customers. The
company amazon is organized the various segments such as international, North America
and amazon web services. The AWS segments of the company offers the computer
sources, networking, cloud storage and many more.
 Outbound logistics: The outbound of the logistics is included the delivering goods and
warehousing to the end users. This is the services delivering stages of the company such
as Fed-ex, UPS, etc. the company amazon are outbound logistic are integrated such as
digital delivery, physical stores, fulfil centres and outsourced arrangements.
 Marketing and sales: The company spent the more investments to marketing the
products and services in the competitive market place as compare to the other companies
in the market. It helps in generate the revenues of the company so, the company invest
the more capital to expand the business and generate the profitability of the business
organization. The process of marketing helps in attract the more customers and generate
the sales of the company to become the success in the competitive marketplace. The
amazon marketing messages are helps in convey the products and services to the
customers and fast delivery of products as well as attractive the prices with the low cost
strategy through the various components such as sales promotion, media advertising,
direct marketing, etc.

 Amazon services: Services provide to the customers is the major sources of the global
supply value chain for the cloud computing company and e-commerce company. The
company offer the best services and exceptional services to the customers as well as
customers can contact the company easily with the help of social media, chat, email, etc.
Amazon’s benefits from Global Partner Networks and their sustainability
The Amazon is one of the leading association and operating business in the large area. In context
to that the association is having good global partner network due to which the company is
obtaining various benefits from the marketplace. Along with that the company deliver values to
the consumer in effective as well as efficient manner. With the assistance of global partner
network, the organization is able to increase the presences in various international marketplace.
Along with that the individual person is able to provide satisfaction to the consumer as the
company is able to deal with the issues and problems of the consumer in short period of time.
Along with the company is able to provide the sponsorship to the wide variety of the customer
(ray, gallagher. and sanborn2019). Beside that it allows the business enterprises to accomplish
the goal in effective as well as efficient manner. Due to sponsorship the business enterprises is
able to increase the awareness among the people which deliver assistance in increasing the
profitability of the business. Apart from that the organization is having the advantage of
increasing the fund in the organization which is important for the survival. Along with that the
company has opportunity to reach out the right customers and improve brand value of the
association. Due to that it is easy for the company to expend the business all over the world.
Apart from that the association is able to develop the better relationship with the consumer and
improve the wide variety of the networks. Apart from that it promotes the productivity of the
association on the high level. It improves the engagement of the customer in the association and
deliver cost benefits to the company. Furthermore, it allows the employees to share the skills and
knowledge with the other people (kalkancirahmani, and toktay2019.).
The sustainability of the business is good in the domestic as well as international marketplace. In
order to increase the suitability of the business, association is continuously investing the capital
in sustainable plans. Although the company hugely invested approx. 2 million in the meals
donation to the people of the community located in the United Kingdom. Furthermore, the
association provide training and development programme to the employees of the Amazon in

order to address the issues regarding the sustainability. The company is reaching out various
areas and the people of the areas for increasing the awareness about the sustainability and
providing the skills and knowledge with the assistance of business for the social responsibility
programmes or the project in an appropriate manner. The company is continuously contributing
the efforts for saving the nature and take of the planet. The aim of the association is to keep
every potential customer safe and live in the healthy or eco-friendly planet. In order to tat the
partners are contributing largely in getting net zero carbon ( kalkancirahmani, and toktay, 2019).
Amazon’s business strategy response to the challenges of internationalisation
In the internationalisation process the amazon organisation adopted various strategies for the
survival and success in the domestic as well as international marketplace. Due to the effective
plans of action the organisation is able to deal with the various challenges. For instance, the
language barrier is the issue the association face in different areas in order to deal with that issue
the company provide the information in native language. With the language of the nation which
the most of the people speak, the organization develop the understanding among the people.
Along with that the company is able to address the issues and show their right concern to the
right customers (lanza, and et.al.,2019). As per the potential customer of the organisation the
information in the native language is more important than price. The company satisfy the large
numbers of the customers with the innovative services. The customer provides better experiences
to the customer in order to expend the business all over the world as per the taste and preferences
of the consumer.
Along with the association target the customer with the assistance of social media. The
organisation utilized various digital media platform for increasing and spending the awareness
among the people. With the search engine optimization strategy, the organisation provides the
product and services to the large numbers of the customers as per the taste and preferences of the
consumer. The amazon delivers the product to each and every customer in every area and the
boundaries with the all safety measures at their home with the home delivery services and for
that the association provide shipment to the consumer. Apart from that the company deliver
transparency in the marketplace that attract the customer toward the production and develop the
interest and trust among the people (wu, and gereffi, 2018). For expending the business in the
international marketplace the company standardised the product and focusing on the quality
services of the customer. In context to that the organisation collects the feedback from the

buyers which involve negative comments of the client. Along with that the association deliver
the customer care services in order to resolve the issues of the client because the company
believing in providing the values to the consumer rather than earning profit from the
marketplace.
Although the company is developing the business relationship with variety of the customers as
deliver the quality product at the lower price. The company provide clean and clear transaction
payment safety measure to the client for the satisfaction of the consumer. Along with that the
company is largely focusing on technology for improving the services and performance in the
marketplace. The technology delivers huge support in bringing innovation and creativity that
provide adequate experiences to the consumer and deliver competitive advantages in the
marketplace. Apart from that the company keep showing in the research and development
programme for determining the trends of the market and values the customer aspect from the
association for meeting their requirement (mac cathmhaoil, evers, and gliga, 2021).
The role of international organizations in ensuring smooth international trade amidst the
devastation of covid 19
During the covid 19 the business organization faced various issues in domestic as well as
international marketplace. Similarly, for the Amazon it is the challenging task to deal with
issues of the pandemic as the various changes occur in marketplace. In covid 19 situations the
authority or the government announce complete lock down in which the people are not allowed
moving outside their home and organization are not allowed to operate the business in order to
control the situation and spread of corona virus in effective as well as efficient manner. During
that time it is hard for the company to supply the product to the customer without interaction
with the customer. In order to survive and deal with the pandemic the organizations invested
huge capital in taking all the measure for supporting the employees and buyers of the
organization to defeat the competitors. During that theme the association invest the capitals on
the medical facilities (Coombs, 2020) . For instance the organization provide gloves, mask,
sanitizer, PPE kit, face shield, covid test check-up and many more for the safety of the people
associated with the organization. Amazon is selling the business online so it is beneficial for the
company as the large numbers of the people willing to order the product and services with the
assistance of the online or digital media. During that time the sales of the company is on the
moderate stages as some o the people change their buying preferences. The customers are

willing to buy the necessary good rather than buying the luxury goods at the time of the covid 19
as the world is facing economic crises (Hamouche, 2021).
Also, the organization face the labour crises in domestic as well as international marketplace as
the people are afraid of going outside in order to save their lives. The organization encourages
the employees by offering vaccination to the workers. Along with that the organization provide
more flexibility to the workers of the companion in order to decrease their stress and pressure of
the covid 19 situations. Part from that the organization provide guidances to the workers and
customers for the safety purpose and save the organization from any kind of lawsuits. On the
other hand for dealing with the pandemic the organization motivate the customer by launching or
introducing covid 19 test collection kit at the doorstep of the buyers as the organization believe
in prioritizing the health and safety of the people. The company contribute the efforts in the
world food programme to meet with the crises in an appropriate manner. Although the same
workers of the organization are free to work from home in order to follow the guideline and
maintain the safety at workplace that help the organization in operating the business even in the
covid 19 situations. At the time of advertisement the organization promote the health and safety
measure to attract the attention of the consumer (Mather, 2020) .
Recommendation
From the above report it will be recommand that the organization need to take more innovative
for improving the productivity and services of the company in effective as well as efficient
manner. In order to expend the business and satisfy large number of the customers the
organization need to operate the local market approach in order to give freedom to the customers
and employees of the company. Along with that the organization should focus on the economic
stability of the company and investing the capital in the safety equipment and me sure for the
employees because it motivates the workers to improve the productivity and increase their
capability to perform the task. For improving the sales and profitability of the organization the
amazon should hire the talented and experiences candidate. Along with that the organization
should provide training and development programme for improving the skills and knowledge of
the employees that contribute in providing better customer experiences to the large number of
buyers(Luciani, and et.al., 2020). In general for operating the business and survive in the
marketplace it is important for the company to satisfy the large numbers of the customers in
effective as well as efficient manner. In context to that the organization has the opportunity to

hire the special team to determine the threats and deliver values in domestic as well as
international marketplace. The particular department will resolve the issues of the consumer as
well as employees which they are facing at the time of purchasing or obtaining facilities.
Conclusion
From the above report it will be concluded that the with the assistance of global market strategy
the Amazon is leading the marketplace in effective as well as efficient manner. The global
marketing strategy of the company is beneficial for the future growth of the company. The
present report indicated the strategies of the company which is attracting the large numbers of
the customer toward the brand and improve the profitability of the company. Along with that
the report indicate the plans of action for internationalization and issue the company face
during the covid 19 situations. By taking all measure of the covid19, organization is able deal
with the crises and able to survive in the marketplace. Furthermore, the report highlighted that
the organization is contentiously improving the services and productivity for satisfying the large
numbers of the customers and increasing the presences of the company in domestic as well as
international marketplace. From the analysation it is determined that in the success and survival
of the company the availability of the resources and adequate technology contributes largely in
the business.

REFERENCES
Books and journals
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Amazon. Science as Culture. 31(1). pp.29-43.
Hamouche, S., 2021. Human resource management and the COVID-19 crisis: Implications,
challenges, opportunities, and future organizational directions. Journal of Management
& Organization, 1, pp.1-16.
Kalkanci, B., Rahmani, M. and Toktay, L.B., 2019. The role of inclusive innovation in
promoting social sustainability. Production and Operations Management, 28(12),
pp.2960-2982.
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stay?. Urology, 140, pp.4-6.
Mac Cathmhaoil, B., Evers, N. and Gliga, G., 2021. Digital business model internationalisation:
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Internationalization in an Increasingly Digitized and Networked World Economy.
Edward Elgar Publishing.
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of Accounting & Organizational Change.
Pananond, P., Gereffi, G. and Pedersen, T., 2020. An integrative typology of global strategy and
global value chains: the management and organization of cross‐border activities. Global
Strategy Journal. 10(3). pp.421-443.
Ray, R., Gallagher, K.P. and Sanborn, C.A. eds., 2019. Development banks and sustainability in
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Wu, X. and Gereffi, G., 2018. Amazon and Alibaba: Internet governance, business models, and
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