A Critical Examination of E-commerce Impact within the Amazon Company

This business project critically examines the impact of e-commerce on Amazon. The research explores the definition, importance, and benefits of e-commerce in modern business, along with its specific impact on Amazon. The methodology includes an interpretivism research philosophy, a qu...Read More

BUSINESS PROEJCT

TABLE OF CONTENTS
ABSTRACT.....................................................................................................................................3
INTRODUCTION...........................................................................................................................3
AIM, OBJECTIVES, RESEARCH QUESTIONS..........................................................................4
METHODOLOGY..........................................................................................................................4
LITERATURE REVIEW................................................................................................................5
DATA ANALYSIS..........................................................................................................................7
CONCLUSION AND RECOMMENDATION.............................................................................11
REFERENCES..............................................................................................................................12

Research Topic: “To critically examine the impact of e- commerce within Amazon company.”
ABSTRACT
This research provides an insight about the E-commerce and its impact over the business.
Based on the finding it is derived that the e-commerce is very beneficial for the businesses for its
growth and expansion. The major benefit of this is to grab larger audience without incurring
much cost. It is recommended that the use of e-commerce is the cost-effective method of
attaining the objectives and more research will help in getting more understanding. The e-
commerce is the future of the businesses; therefore, it is beneficial to adopt it on time to take
advantage of it.
INTRODUCTION
Background
E- commerce referred to as the electronic commerce. This is linked with the selling and
buying of the goods and services and transmission of the information and funds over the
electronic network. This way it helps in effectively selling and buying of the goods and services
within the market (Berg and Knights, 2019). This study will mainly focus on critically examining
the impact of e- commerce within the company. Amazon is an American multi- national
technology company which tends to mainly focus on cloud computing, e- commerce, digital
streaming and artificial intelligence. This company was founded in 1994 by Jeff Bezos.
Rationale
The present researcher of the study has significantly selected this topic because it is is the
current issue. This topic is prominent in determining the impact of e- commerce within the
company. It is necessary to take into account this issue and find necessary degree of information
to reduce the knowledge gap linked with the subject matter. This topic is worth reviewing
because it is useful in broadening the knowledge and also creating in- depth degree of
understanding linked with the research topic. The researcher of the study has resolved this issue
by carrying out thematic analysis and interpreting each themes in a significant manner. This
research has been carried out for both personal as well as personal interest.
Research significance
This research is going to be highly beneficial to the future researcher in order to
effectively carry out further set of investigation linked with the subject matter. Also, the present

study is also considered to be highly beneficial for the businesses in order to effectively evaluate
the impact of e- commerce within the company. This is relevant in effectively setting things and
is going to b way too beneficial in improving the results and outcomes.
AIM, OBJECTIVES, RESEARCH QUESTIONS
Aim: “To critically examine the impact of e- commerce within the company. A study on
Amazon.”
Research objectives
 To develop understanding on the e- commerce.
 To critically evaluate the importance and benefits of e- commerce in the modern
business.
 To determine the impact of e- commerce within the company.
 To provide effective recommendations to improve e- commerce within business.
Research questions
 What do you understand by the term e- commerce?
 What are the importance and benefits of e- commerce in the modern business?
 What is the impact of e- commerce within the company?
 What are effective recommendations to improve e- commerce within business?
METHODOLOGY
The identification of the research methods is very important for determining the specific
procedures and techniques which will be followed for collecting the information.
Research philosophy: There are two types research philosophy which are – interpretivism and
positivism (Pruzan, 2016). In this research, interpretivism is used as it will help researcher to
effectively understand the problem.
Research method: In this qualitative method is used because it involves getting specific data
type and includes use of scientific methods for getting non statistical data.
Research approach: The approach implemented in this study is inductive approach as it will
assist the research in obtaining the specific data and helps in determining the behaviour of the
individuals (Mohajan, 2018).
Data collection: The data is collected using the secondary sources such as published articles,
journals, books, articles, online sources etc.

Reliability and validity: The data is gathered from the authentic and established sources and the
copyright sources. This helps in ensuring that reliable and valid data is being undertaken.
Data analysis: The data is analysed using the thematic analysis in which the research questions
are categorized into themes for better analysis.
Ethics: All the ethical principles is being followed for carrying out the research without harming
anyone. the information produced by other authors is being recognized and cited properly. Along
with that, confidentiality of information is maintained.
Limitation: In this research, secondary research is being conducted because of limited timeframe
and the data has been gathered from the already published reports and journals which may not be
accurate.
LITERATURE REVIEW
This part of the research project is to survey linked with the scholarly sources and find
relevant answers to the research questions with higher accuracy. It is useful in reducing the gap
and ensure that appropriate knowledge has been gained linked with the subject matter.
Theme 1: To develop understanding on the e- commerce.
Muñoz-Villamizar, Velazquez-Martinez, Haro, Ferrer, and Mariño, (2020) sought to
determine the fact that, E- commerce referred to as the electronic commerce. E- commerce is
referred to as the effective buying and selling of the goods and services over the electronic
network. One of the key significant function of the e- commerce is that, it is considered to be
useful in effectively carrying out the business online. One of the key significant function linked
with the e- commerce website is linked with the online ordering, product display and helps in
inventory management. Wadhwa, Vashisht, and Phutela, (2020) examined the fact that, there are
range of e- commerce business which in turn tends to mainly include business – to – business e-
commerce, business- to- consumer e- commerce, consumer- to – business e- commerce,
consumer- to consumer e- commerce, business to administration e- commerce, and consumer to
administration e- commerce. Subsequently Head, (2017) argued that, all the services in turn has
been provided over the internet and also has the key capability to effectively integrate with the
intra- company and inter-company functions. One of the key benefits of the e- commerce is that,
it helps in speeding up the process and all the services are available for 24/7. It also helps in
speeding up the access and also leads to international reach.

Theme 2: To critically evaluate the importance and benefits of e- commerce in the modern
business.
Diwanji and Cortese, (2020) sought to determine the fact that, e- commerce within the
organization tends to bring ample degree of opportunities associated with the marketing
opportunities to effectively increase the product ranges in order to generate more sales. E-
commerce also helps in effectively respond to the key market conditions and the e- commerce
trend in a minimum time period. By effective use of the e- commerce platform technologies in
turn has significantly become way too easy and highly affordable in order to maintain e-
commerce business with the low overhead. It is also significant in effectively creating wide
degree of opportunities in order to increase the sales and improve the operations of the business
with high degree of accuracy and key relevance. Bidkar, (2019) examined the fact that, e-
commerce is considered to be highly significant in effectively allowing the company to reach the
prospective set of customers. This helps in providing high degree of flexibility to the customers
in order to purchase from anytime and anywhere using mobile phones, tablets and laptops. It is
also considered to be useful in effectively understanding the insight of the customers using
search engine optimization and pay per click in order to effectively track the traffic of the
customers. It is considered to be prominent in broadening the map and also tends to offer range
of products and services in order to expand the brand. It is scalable and more convenient.
Subsequently Vakhariya, (2020) argued that, one of the biggest limitation linked with the e-
commerce business is that it leads to lack of personal touch with the prospective customers
within the business. IT security issues and credit card fraud is considered to be as one of the
major limitation associated with the e- commerce in the modern business. Another major benefit
is that the products are cheaper on online e- commerce platforms.
Theme 3: To determine the impact of e- commerce within the company.
Mathiraj, and Geeta, (2019) sought to determine the fact that, the internet has been
changed with respect to the modern life. It tends to have significant degree of impact on the
company. The internet in turn has significantly changed the way business works. It tends to
significantly influence the way companies sell and also market their products. New product
capabilities in turn is considered to be as one of the key significant measure through which it
helps in creating and also existing wide range of the products in an innovative and customized
manner. It is relevant in building the portfolio of the customers. It is useful in creating the

specific set of products and also improve the business in a significant manner. Bidkar, (2019)
examined the fact that, e- commerce has significant degree of impact upon the manufacturing. It
eventually leads to better communication and coordination linked with the business.
Subsequently Dey, Wasif, Tonmoy, Sultana, Sarkar,and Dey, (2020, February) argued that,
technology and organizational learning. The e-commerce will force to the company to adopt the
quickly to the new technology as well as offers an opportunity to experiment with the new
products and services. There is new technology which are required new organizational
approaches. In respect to that the structure of organizational units are dealing with the e-
commerce which might be the different from the conventional sales and marketing department.
This give negative impact on the business by creating options. Technology give impact on the
business to create effectiveness on the business.
Goel, Verma,Al Mutairi, Bhardwaj, and Tyagi, (2020) examined the fact that, the
changing nature of work. This change the nature of work and employment which will be
transformed in the digital market era. It is already happening before out the eyes. Driver by
increased competition in the global market place, firms are reducing the number of employees
which are down to down essential staff for the business. E-commerce business change the nature
of work because implication of this increase process of work. In this have complete stages where
business have to follow otherwise work fails and misguided. This creates the risk for business if
network is down when promotion is not get success. Diwanji and Cortese, (2020) sought to
determine the fact that, e- commerce tends to have high degree of impact and leads to better
economic growth. It helps in widely distribution of the goods and services across international
borders. The growth within the electronic commerce tends to have economic as well as the
social impact. e- commerce has significant degree of impact upon the retail trade, finance and
communication. It has significant impact on the customers as it has a global marketplace and is
also easy for them to compare the key prices and take better decision. E- commerce has
significantly changed the way customers and business interact.
DATA ANALYSIS
Theme 1- Developing understanding relating to e- commerce.
With the above review literature and the views of Ke (2019) it is clear that in this modern
competitive world the use of e- commerce is very helpful. E- commerce or the electronic
commerce is defined as the selling and purchasing of the product and services with help of the

online medium. This online medium generally is the internet and under this the company conduct
business directly with the consumer. Further in addition to this there are many different types of
pattern of business such as B2B, B2C, C2C and many other sources of business.
In against of this Juarez (2020) argues that in this modern world the competition is very
high and for this it is very important for the companies to effectively be active over e- commerce.
There are many different types of websites and companies which provides the facility of online
platform for buying and selling the product and services over these social media platforms. In
addition to this the competition in the business environment is also very high and for this the
company need to be very competitive in the market. Thus, with help of the e- commerce the
company can gain a good range of market share as the consumer will be happier that the
company is providing the option of online product and services.
In context of this e- commerce, Amazon is an American multinational company which
was founded in the year 1994 by Jeff Bezos. This company majorly focuses on the providing
services of e- commerce, digital streaming, cloud computing, artificial intelligence and many
other types of facilities and services. The major reason for this is that this company provides the
facility to the consumer to buy and sell the variety of branded products over the website of
Amazon. As an e- commerce website the company is in condition to satisfy the need and
preferences of the consumers. The major reason for this is that the company provides many
different types of facilities to the consumer with help of just one click and because of this reason
the consumers are more attracted towards the company and the working of the company.
Theme 2- Evaluation of the importance and benefits of using e- commerce in the modern
business.
The e- commerce is very popular in the modern business world as the competition in the
business environment is very high and if the company will not have much better growth
opportunities then they will not be able to survive in the business. hence, because of this reason it
is of utmost importance for the company that they must effectively make the use of the e-
commerce facility.
On the other side with help of the analysis by Zheng, Zhang and Song (2020) the major
importance of using e- commerce is that this assist the company in reducing the cost of the
business to a great extent. the major reason for this is that when the company provide the option
to the consumer relating to not to go to the place for doing shopping. rather the consumer has the

option that they can just search the website of the company and can purchase the product and
services of the company. thus, this will reduce the expense of having a physical store. in addition
to this the cost of hiring the employees will also save as with help of online business the
company will not have to hire much of the employees.
In against of this Alamdari, Navimipour, Hosseinzadeh, Safaei, and Darwesh, (2020)
argues that the major finding from the secondary research is that e- commerce option assist the
company in getting the global business level without much investment. this is majorly because of
the reason that with just creating an account over the e- commerce website and then the company
can buy and sell the product and services over these websites.
As per the view of Rahimzadeh and Heydari (2017), E-commerce is alternative
marketing channel. This is the main benefit for the business through E-commerce because this
can be used by different channels and fundamental apps for business marketing strategies. It is
the part of digital marketing or email newsletters and the content marketing. Here, is need an
address on the world wide web where business visitors can engage with the brand in effective
manner. This is effectively boosted the marketing strategies which are help to maintain the
business and its marketing in effective manner. This is effective and valuable importance of E-
commerce on the business in effective manner.
In contradict Chodak (2017) argues, that global reach. This is very effective and valuable
start up for the business to get success in effective manner. With the help of e-commerce
business can reach up to the global. The internet opens a world of opportunity for businesses,
quite literally. The worldwide wed get their business on a global reach. Like if the local primary
sources of revenue, going through the online which will help in exploring the new opportunity
for business like facets of the business. Most of the companies are provide services to the local
customers through the online portal websites which could be purchase products which is aligned
with their businesses. Addition to that, with the help of digital marketing tactics in the place,
which can raise awareness around the businesses among both a local and global audiences.
Kirichenko, Radivilova and Zinkevich (2017) said that, this is the cost effective for the
business. Through that companies can easily promote their business and products in effective
manner by accumulating the business marketing. Because this is the cheaper mode of advertising
and marketing. In that business not have any kind of requirement to hire employees. This creates
the scalable and 24/7 customer’s services. Through that business have great opportunity to create

more effective business promotion to business management in effective manner. This creates
highlight effective ad valuable task for business.
Impact of E-commerce within company.
According to the Zhang and Chen (2019), technology and organizational learning. The e-
commerce will force to the company to adopt the quickly to the new technology as well as offers
an opportunity to experiment with the new products and services. There is new technology which
are required new organizational approaches. In respect to that the structure of organizational
Theme 3- Determination of impact of e- commerce in the company.
As per the literature review and the views of Kawa and Wałęsiak (2019) it is clear that
the e- commerce has a great impact over the working and the profitability of the company. The
major reason for this is that when the company is using the e- commerce facility then the
company can operate at any time. This is also having good impact over the consumer as the
consumer can have access to these facilities at any time of period. The major reason for this is
that when the company will effectively work over the e- commerce website then this will assist
the company in covering a larger market share.
In against of this Cirqueira, Hofer, Nedbal, Helfert, and Bezbradica, (2019, September)
argues that the major impact of using the e- commerce websites in the business environment is
that this assist the economy in developing. The major reason underlying this fact is that when the
companies will be using the e- commerce facility then this will increase the company and its
global presence. Hence, this will increase the number of consumer as the e- commerce is
providing access to the consumer at any time when they require the options of the company.
On the other side the major impact of the e- commerce is that it creates a good social
impact over the consumers. The major reason for this is that with help of the e- commerce the
consumer can have options to compare the product and services of the different brands and
companies. The major reason for this is that when the consumer has the option of the e-
commerce then they can have access to various different options (6 Ecommerce lessons for why
Amazon is so successful, 2020). Thus, this increases the options for the consumer and this will
assist the company in increasing the sales of the company. This is particularly essential for the
company as this will motivate the consumer to buy the product and services online and this will
assist the company in managing the sales of the company to a great extent. The major reason for
this is that when the company will provide the option of online purchasing to the consumers then

the consumer can have access to the product and services at anytime and anywhere whenever
they want. In addition to this Kirichenko, Radivilova and Zinkevich (2017) articulates the fact
that when the company will provide an option of online sales to be delivered at the door step of
the consumer. Thus, this will increase the interest of the consumer and they will be able to
increase the sales of the company.
CONCLUSION AND RECOMMENDATION
It can be concluded from the research that the use of the e-commerce platform has been
beneficial for the organization in further expanding their business along with the growth of the
economy. This research has helped in answering all the research questions effectively. Due to the
limited amount of time for carrying out the research, limited study is being done, therefore, more
extensive study can be done in the field for getting more in-depth answers. It is recommended to
make use of the e-commerce for attaining growth and success and to be competitive and survive
with the change in environment. This research study has helped in understanding the relevance
of the e-commerce, its benefits to the business and the economy and the impact of it on the
businesses. Thus, it can be said that the e-commerce is move towards growth and development of
the business, organization and the economy as whole.

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