Strategic Management Assignment: Amazon

Strategic Management

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
Literature................................................................................................................................1
Competitors identification .....................................................................................................2
The case Analysis Process......................................................................................................2
External Environment ............................................................................................................3
Internal Environment .............................................................................................................8
Recommendation..................................................................................................................11
Future strategies of AMAZON.............................................................................................11
CONCLUSION..............................................................................................................................13
REFERENCES..............................................................................................................................14
ILLUSTRATION INDEX
Illustration 1: Amazon logo.............................................................................................................1
Illustration 2: Business Environment...............................................................................................3
Illustration 3: PESTLE analysis.......................................................................................................4
Illustration 4: Porter 5 forces...........................................................................................................6
Illustration 5: SWOT Analysis.........................................................................................................9

INTRODUCTION
Every business comprises of strategies that are required to be formulated and
implemented to achieve major goals. In order to achieve the aim, initiatives are taken by the top
members of management of the company under strategic management. In simple words, it is the
direction or effective decision provided to firm to achieve goals (Ansoff, 2014). In present era as
there is high competition level so organization requires better approach and strategies to
withstand in the market. Further, there is need to analyse internal and external environment of
the company so that firm's strengths and weaknesses can be identified and better action plan can
be formulated as-well-as executed. For this, various tools and techniques such as PESTLE
analysis, Porter’s 5 forces model, SWOT and many other are used to eradicate such
issues/problems and make positive progress. In this report, organization chosen is Amazon and
its product i.e. Kindle Fire. Various analysis, factors and strategies that are required by the
company are mentioned below.
Literature
1
Illustration 1: Amazon logo
(Sources: Amazon.com, 2017)

In 1994, the online retail sector started in Bellevue, Washington by Jeff Bezos and
offered various services and media products. In few years, it has achieved to be the world’s
biggest online retailer store. In 2007, company first managed to launch the e-reader that is
Kindle. After that several other similar upgraded products were launched by the company. In
2011, 28 September, introduced a tablet computer- the Amazon Kindle Fire, where individual
can access "Apps, games, movie, reading, web and more" (Bryce, 2017). Additionally, access
from the Amazon content, app store and free cloud storage are its other features that were
provided by the company. The product had highest sale of more than 7 million, due to all its bells
and whistles and greater storage capacity it was more preferred by people. It has most of the
features and functionality that an android has but was in the category of tablet reader. Here, in
this study competitor’s identification, case analysis process, internal and external analysis, future
recommendation and future strategies are mentioned. This product was launched so that reading
can be made easy in 21st century and to understand the manner people were using the social
media. It was portable and had a subtle environmental product (Peppard, and Ward, 2016).
Competitors identification
The major competition is provided by the Apple's iPad, Samsung's tab series and Asus's
Nexus, Blackberry, HP, Sony, Acer, Dell, HTC, Lenovo, Motorola and many more Chinese
companies. Further, Kobo e-reader and Nobles Cybook were the e-books that were providing the
competition to the company's product (Hubbard, Rice and Galvin, 2014). They were offering
tablets and e-readers that were having similar features and accessories that Kindle Fire was
having. However, the sales results show that the product was among the best and has managed to
be among the main revenue generator for the company. All the companies have their sales at the
international market so the competition level is global. They are providing notebooks, netbooks,
android and various other systems having high CPU, chip and operating system to the customers
(Hill, Jones, and Schilling, 2014). Some of the companies have provided high competition and
strategic management is required for them.
The case Analysis Process
Amazon used8-step strategic management and business for decision making process.
These were to evaluate their current market performance, reassess the corporate governance,
analyse external and internal corporate environment (Kotler, Berger and Bickhoff, 2016). Other
than this, the firm requires to have an in-depth analysis on strategic factors. All this can be
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