Project: Evaluating COVID-19's Impact on Amazon's Financial Health

This research project investigates the impact of the COVID-19 pandemic on the financial performance of Amazon, a multinational e-commerce and cloud computing company. The study aims to understand the concept of financial performance within the retail industry, determine the specific effects of COVID-19 on Amazon's financials, evaluate the strategies employed by Amazon to overcome these impacts, and examine the resulting benefits. The research utilizes a positivism philosophy and a deductive approach, employing survey research and quantitative methods for data collection and analysis. Primary data is gathered through questionnaires distributed to 30 Amazon employees, while secondary data is sourced from online sites. The study also addresses ethical considerations and uses a Gantt chart for project management, ultimately providing insights into Amazon's financial resilience and strategic responses during the pandemic. Desklib provides access to this project along with numerous other solved assignments.

Research project
(To determine the impact of Covid 19 on
financial performance of Amazon)
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INTRODUCTION
Overview of the topic and company
Financial performance of the company is a subjective measure which tells the
organisation about the use of their assets. It helps the business to know whether their primary
assets are used in valuable manner and are generating revenue for them. Financial performance is
the term which also assist the organisation to know their overall financial health and wealth of
the company within a given time (Crema, 2021). At the time of Covid 19 many organisations
have suffered a lot in maintain their financial performance. The time was so worst that it become
impossible for the company to generate revenue and expand their business. But in the current
investigation the chosen organisation Amazon has managed a lot and their financial performance
at that time was excellent (Lawson, Piel and Simon, 2020). Amazon is an American
multinational company which provides Ecommerce and cloud computing service to their buyers.
The organisation is founded by Jeff Bezos in the year 1994. It is also one of the world’s valuable
brand.
Research aim
To determine the impact of Covid 19 that had on financial performance of an organisation:
A study on Amazon
Research objective
 To understand the concept of financial performance in context of retail industry
 To determine the impact of Covid 19 upon financial performance of Amazon
 To evaluate the ways used by Amazon for overcoming the impact of Covid 19 on their
financial performance
 To examine the benefits that Amazon could be gained by overcoming the impact of
Covid 19 on their financial performance
Research question
 What is the concept of financial performance in context of retail industry?
 What is the impact of Covid 19 upon financial performance of Amazon?
 What are the ways used by Amazon for overcoming the impact of Covid 19 on their
financial performance?
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 What are the benefits that Amazon could be gained by overcoming the impact of Covid
19 on their financial performance?
Research rational
The main reason for the present research is to gain deeper insight about the financial
performance of the company at the time of Covid 19 pandemic. This research is carry to
understanding about the ways that is used by organisation to overcome from the challenges faced
at the time of pandemic (Coombs, 2020). Another reason for conducting the existing
investigation is to fulfil dual objective that are personal and professional. In respect to the
personal objective, the research will enhance my knowledge about the methods and tool used for
completing the investigation in scientific manner. On the other side, with perspective to
profession I will know about various job position available in the field of Human resource. This
aids in building the professional career in sound manner.
LITERATURE REVIEW
What is the concept of financial performance in context of retail industry?
According to the opinion of Aguinis, Villamor and Gabriel (2020), Financial performance
is the subjective measure for the company. It is used by the organisation to know how their assets
are being used in order to generate high revenue and profit for the business. Financial
performance also aids in showing the overall health of the company within the given accounting
period. It is one of the quantifiable metrics that helps the business to know whether their business
operation and function are conducted in superficial manner or not. There are four elements
through which company can measure their financial performance that are assets, liabilities,
shareholder equity and debt. It is very important for the company to utilize and allocate their
finance in sound manner so that they can enhance their profit and leverage adequate capital to
various department. During Covid 19 most of the company are facing the issue of financial
health due to various restriction imposed by legal authority of different nation.
What is the impact of Covid 19 upon financial performance of Amazon?
As per the view of Calvimontes and et. al (2020), the time of Covid 19 has positively
impacted the financial performance of Amazon. During the Pandemic the sale of the company
was large as compared to any other retail industry. The financial performance is good because
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the brand operates their business through online mode where buying and selling of goods and
services in through internet. The impact of Covid 19 are as follow:
Higher revenue: The first impact is the company has gained higher revenue due to
ecommerce. As local shopping at the time of Covid 19 was not there so buyers are purchasing
goods and service through online mode. This helps the company to increase their sale and earn
more revenue. Their revenue rises up to 49 percent as compared to other (Karen Weise, 2021)
Higher profit: Another advantage that they gained at the time of Covid 19 is high profit.
Amazon continue reap their profit as compared to other years. Their profit at the time of Covid
19 soars 220 percent due to drive in the online shopping. At the time of pandemic, the profit
margin was triple as of past years (Aditi Gautam, 2022)
What are the ways used by Amazon for overcoming the impact of Covid 19 on their financial
performance?
In the view of Morello (2021), there are various ways that is used by Amazon to
overcome from the impact of Covid 19 and maintain their financial health and performance.
Some of the ways that they used are:
Proper sanitiser facility at various warehouses: to face the situation of pandemic and
work in effective manner the company has acquired proper sanitising facility. This helps them to
safeguard and protect their employee from the risk. On the other hand, this assist in working in
safer manner by reducing the fear and increase the productivity.
Increasing the wages and salary: Another measure that is acquired by the company is
increasing the salary and wages of their workers and employee. This helps them to retain their
employee where in the world employee turnover was high. This result in attracting various
buyers towards the company.
What are the benefits that Amazon could be gained by overcoming the impact of Covid 19 on
their financial performance?
As per the view of Kaplan and et. al. (2020), it is very necessary for companies to take
effective measures during pandemic. The measures which is taken by Amazon has provided
various benefit which aid in improving financial performance.
High employee retention: The foremost advantage that is acquired by the company is
high employee retention rate. Due to increasing the wages and salary employee retained in the
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company which on the other hand helps in increasing the motivation of the employee towards
their work.
High sale: Another advantage that Amazon acquired is increasing the sale of the brand.
By adopting various safety measure company is able to deliver product to their buyer in safer
manner which helps in attracting various buyers towards the brand. The company sale at increase
up to 38 percent which helps them to grow more (Writankar Mukherjee, 2021)
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RESEARCH METHODOLOGY
Research methodology can be defined as systematic process to collect and analyses
information in accurate manner. This section helps in fulling aims and objective in significant
manner by the gathered data. In this part various philosophies, approaches, data collection
method is used to obtained and evaluate information.
Research philosophy: There are two types of research philosophies that are positivism
and interpretivism. In current investigation Positivism philosophy is used because it helps in
identifying and evaluating quantitative data in less time and cost (Ndlovu-Gatsheni, 2019).
Research approach: Research approach is classified into two kinds which are deductive
and inductive approach. This approach helps in testing the theories and hypothesis in scientific
and valid manner. In the present investigation, researcher has selected deductive approach. The
benefit that is gained by using this approach is existing theories will be tested with the help of
numerical data. As well as relationship between the variables can also be knowing.
Research strategy: It is a step by step plan to gather data as per the thought. There are
various types of strategies such as survey, action research etc. In current study, investigator has
used survey research because it will help in obtaining numerical data from large group in less
time.
Research choice: Quantitative and qualitative are the two research method. As per the
research topic, quantitative research method is chosen (Staron, 2020). The reason is that it helps
in obtain data in numbers and figure which is quite easier to gather and analyses.
Time horizon: Cross sectional and longitudinal are the two-time framework to know the point of
time. In the current investigation, researcher has selected cross sectional time horizon. The
reason is that it will collect data in short span of time as well as observe multiple variables at the
same time.
Data collection: Primary and secondary are the two data collection technique. In current
research both primary and secondary data is collected. Primary data is first-hand information
whereas secondary data is second hand information. Primary data is used in data analysis and
secondary information in literature review (Coppedge and et. al., 2019). To collect primary data,
the research instrument is questionnaire and for secondary data it is online site.
Data analysis: Data analysis is the technique of inspecting data in order to gain useful
information (Sovacool, Del Rio and Griffiths, 2020). Frequency distribution and thematic are the
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two data evaluating tool. In current study, frequency distribution method is used to evaluate
quantitative information.
Sampling: Sampling is the method to select sample from the whole population (Ullah
and Rafiq, 2021). Probability and non-probability are the two sampling method. In present
investigation, researcher has selected probability sampling and in that random sampling method
is used. The sample size is 30 employees from Amazon.
ETHICAL CONSIDERATION
Ethical consideration is the set of various principles and values which should be followed by
researcher to gain data from society. Some of them they need to obey are voluntarily
participants, consent form, honesty, transparency etc. This is followed so that vicious conduct
can be avoided.
GANTT CHART
Gantt chart is the project management tool which shows the different activities conducted in
the investigation and the time taken by each activity.
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DATA COLLECTION AND ANALYSIS
Data collection: Data collection is the process of gathering data as per the research topic. It is an
instrument which helps in researcher to extract data from the social world in order to conduct
investigation in proper manner. There is various research instrument which is available to the
investigator which they can use to collect information. Research instrument is the tool which
obtain data according to the interest of investigator. Some of them are Questionnaire, interview,
observation, focus group and many other. In the current investigation researcher will be
obtaining for Questionnaire. A questionnaire is the list of question which is used by the
investigator to gather information about their topic. There is various type of research instrument
which are Online questionnaire, closed ended question, open ended question, face to face
interview question and many more. In their existing study close ended question is being
prepared by the investigator. This is because it will help them in gathering quantitative
information in numbers and figures. With the assist of this useful data in numerical form can be
obtained as per the topic. It also helps in gathering statistical as well as mathematical data which
also aids in attaining aim and objective in more sound manner.
Questionnaire
Q1) As per your knowledge, the financial performance of Amazon is being impacted by the
Covid 19 pandemic?
a) Yes
b) No
Q2) As per your opinion, what is the impact of Covid 19 on financial performance of Amazon?
a) Positive impact
b) Negative impact
c) Neutral impact
Q3) As per your Knowledge, what is the major impact of Covid 19 on financial performance of
Amazon?
a) Higher profit
b) Higher sale
c) Less expenses
d) High employee retention
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Q4) As per your opinion, what are the ways adopted by Amazon to overcome from the problem
faced at the time of Covid 19 pandemic?
a) Proper sanitizing facility at workplace
b) Increasing the wages and salary of employees
c) Adopting online payment mode
d) Improve supply chain management process
Q5) What are the benefit gained by Amazon while using various ways in reducing the issue of
Covid 19?
a) Higher profit
b) Improved organizational performance
c) Strong brand image
d) Higher sale
e) High employee retention
Data analysis: In the present research the data is inspected and analysed through frequency
distribution method. This is because it will help in evaluating mathematical and statistical
information in sound manner. Through this technique numerical data will be presented in tabular
and graphical manner.
Frequency distribution table
Q1) As per your knowledge, the financial performance of Amazon is
being impacted by the Covid 19 pandemic?
FREQUENCY
a) Yes 5
b) No 25
Q2) As per your opinion, what is the impact of Covid 19 on financial
performance of Amazon?
FREQUENCY
a) Positive impact 22
b) Negative impact 6
c) Neutral impact 2
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Q3) As per your Knowledge, what is the major impact of Covid 19 on
financial performance of Amazon?
FREQUENCY
a) Higher profit 12
b) Higher sale 5
c) Less expenses 7
d) High employee retention 6
Q4) As per your opinion, what are the ways adopted by Amazon to
overcome from the problem faced at the time of Covid 19 pandemic?
FREQUENCY
a) Proper sanitizing facility at workplace 8
b) Increasing the wages and salary of employees 9
c) Adopting online payment mode 6
d) Improve supply chain management process 7
Q5) What are the benefit gained by Amazon while using various ways
in reducing the issue of Covid 19?
FREQUENCY
a) Higher profit 5
b) Improved financial performance 9
c) Strong brand image 6
d) Higher sale 7
e) High employee retention 3
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DISCUSSION AND CONCLUSION
Discussion
From the overall research it is discussed that it is very important for the organisation to
improve their financial performance by managing their assets in effective manner. It is being
analysed that the financial performance of the Amazon is positively impacted at the time of
global crisis which helps them to expand their business. during this time the sale of the company
has increased which aid them by enhancing their revenue. The financial performance of the
company is not at all worsely affected by Covid 19 pandemic. Financial performance of Amazon
is positively impacted as company has increased its profit in large manner.
It is also discussed that that the main impact which company gain is higher profit. During Covid
19 all of their operation whether buying or selling, sharing information all done through online
mode which help the company to gain more profit as compared to past year.
Conclusion
From the collected data it is concluded that the effective way that they adopted to overcome from
the issue of pandemic is increasing the wages and salary of their workers and employee. This
helps in increasing employee retention which helps in more productivity. With the assemble
information it is being concluded that there are various befit that is gained by Amazon but the
main advantage that they gain at the time of Covid 19 is higher financial performance. As
company are able to manage their assets in proper way.
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REFERENCES
Aguinis, H., Villamor, I. and Gabriel, K.P., 2020. Understanding employee responses to COVID-
19: a behavioral corporate social responsibility perspective. Management Research:
Journal of the Iberoamerican Academy of Management.
Calvimontes, J., and et. al, 2020. Small-scale gold mining and the COVID-19 pandemic: Conflict
and cooperation in the Brazilian Amazon. The extractive industries and society, 7(4),
pp.1347-1350.
Coombs, C., 2020. Will COVID-19 be the tipping point for the intelligent automation of work?
A review of the debate and implications for research. International journal of information
management, 55, p.102182.
Coppedge and et. al., 2019. V-dem methodology v9. V-dem working paper forthcoming.
Crema, E., 2021. The SARS-COV-2 outbreak around the Amazon rainforest: The relevance of
the airborne transmission. Science of the Total Environment, 759, p.144312.
Kaplan and et. al., 2020. Voluntary collective isolation as a best response to COVID-19 for
indigenous populations? A case study and protocol from the Bolivian Amazon. The
Lancet, 395(10238), pp.1727-1734.
Lawson, M., Piel, M.H. and Simon, M., 2020. Child maltreatment during the COVID-19
pandemic: Consequences of parental job loss on psychological and physical abuse
towards children. Child abuse & neglect, 110, p.104709.
Morello, T.F., 2021. COVID-19 and agricultural fire pollution in the Amazon: Puzzles and
solutions. World Development, 138, p.105276.
Ndlovu-Gatsheni, S.J., 2019. Provisional notes on decolonizing research methodology and
undoing its dirty history. Journal of Developing Societies, 35(4), pp.481-492.
Sovacool, B.K., Del Rio, D.F. and Griffiths, S., 2020. Contextualizing the Covid-19 pandemic
for a carbon-constrained world: Insights for sustainability transitions, energy justice, and
research methodology. Energy Research & Social Science, 68, p.101701.
Staron, M., 2020. Action Research as Research Methodology in Software Engineering. In Action
Research in Software Engineering (pp. 15-36). Springer, Cham.
Ullah, A. and Rafiq, M., 2021. Education and learning about research methodology: Views of
LIS authors in Pakistan. Information Development, p.02666669211022022.
Online
Karen Weise, 2021, [Online]. Available through:
https://www.nytimes.com/2021/04/29/technology/amazons-profits-triple.html
Aditi Gautam, 2022, [Online]. Available through:
https://www.cnbctv18.com/business/companies/amazons-revenue-up-49-flipkart-sees-25-
growth-during-second-covid-wave-12025242.htm
Writankar Mukherjee, 2021, [Online]. Available through:
https://economictimes.indiatimes.com/industry/services/retail/covid-gains-3-sellers-on-amazon-
log-38-increase-in-fy21-sales/articleshow/87748553.cms?from=mdr
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