Strategic Planning for Amazon: PESTEL and Porter's Five Forces Analysis

Running Head: AMAZON 1
STRATEGIC PLANNING
STUDENT’S NAME
COURSE
UNIVERSITY
DATE

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Table of Contents
INTRODUCTION.....................................................................................................................................3
Amazon background information............................................................................................................4
Vision and mission statements that will form the business objectives...................................................4
MISSION STATEMENT..........................................................................................................................4
VISION STATEMENT OF THE ORGANIZATION.............................................................................5
Financial goals of the organization...........................................................................................................5
Non-financial objectives of the organization...........................................................................................5
Amazon PESTEL Analysis......................................................................................................................6
Porter’s five force model analysis for Amazon........................................................................................9
STRATEGIC ALTERNATIVES...........................................................................................................11
Amazon business strategy......................................................................................................................13
Conclusion................................................................................................................................................15
References................................................................................................................................................16

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INTRODUCTION
This report is going to focus on Amazon, an organization that offers e-commerce services for
clients across various parts of the world. Amazon is based in the USA, and it is one of the
leading organizations in e-commerce in the world. Amazon offers free two days shipping
services for all the available purchased goods within the US for a certain amount of goods
purchased by the clients. The report is going to outline an analysis of the organization’s
environment using PESTEL and Porter's five forces analysis to facilitate the development of an
effective business strategy plan that shall enable the organization to achieve sustainable
competitive advantage over its competitors (E. Dobbs, 2014). The report shall also outline a brief
description of the organization, the vision and mission statements that will outline the objectives
of the organization and lastly the report is going to outline the financial and non-financial
strategic objectives for the business enterprise.

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Amazon background information
Jeff Bezos found Amazon on 5th July in 1994. The organization started to offer a membership
service through offering free two-day shipping for various goods and services purchased by the
customers from the online platform in the US on all the eligible purchases and a further flat
annual fee of $79. Amazon also offers one-day shipping for various goods and services at some
discount rates for the customers enhancing continuous purchases by the consumers (Dess, 2012).
Amazon has progressed throughout the years and has emerged with many new offers to attract a
large number of potential customers (Arnett, Goldfinch & Chinta, 2018).
Vision and mission statements that will form the business objectives
The mission and vision statements for the organization contribute much to the status of the
company being one of the largest online retailers in the world (Norris, 2010). The company does
it best to ensure that the mission and vision statements are adhered to appropriately which has
enhanced its success in the competitive business environment. The vision statement guides the
organization on the future prospective while the mission statement outlining the goals and
objectives to be achieved by the organization.
MISSION STATEMENT
To provide effective and high-quality service for all the customers. Amazon prime targets to
convey its products at the convenience of the customers for effectiveness.