University Assignment: Global Strategy and Sustainability of Amazon

This report provides a comprehensive analysis of Amazon's global strategy and sustainability initiatives. It begins with an introduction to business strategy and sustainability, followed by an external environmental analysis using PESTEL and Porter's Five Forces models, evaluating political, economic, social, technological, environmental, and legal factors. An internal environmental analysis utilizes the VRIO framework and value chain analysis to assess Amazon's resources, capabilities, and competitive advantages. The report critically analyzes Amazon's corporate social responsibility and sustainability efforts, including an examination through Carroll's pyramid, addressing both its economic and legal responsibilities. It also evaluates the analysis in terms of strengths and threats for global business options, offering recommendations for global business development and sustainability strategies. The report concludes with a summary of findings and recommendations.

Global Strategy and
Sustainability

Table of Contents
INTRODUCTION...........................................................................................................................3
External environmental analysis of Amazon..........................................................................3
Internal environmental analysis of Amazon 650....................................................................5
Critical analysis of corporate social responsibility and sustainability of organization..........8
Evaluation of analysis in the form of strength and threat for global business option............9
Recommendation for global business development.............................................................10
Recommendation for sustainability and corporate social responsibility success 400..........11
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................14

INTRODUCTION
Business strategy is important part of each and every business organization, help the
businessman and managers to systematically or a strategically grow their business. This is the
type of management plans, which involves the clear sates of define business activity plans, action
and goals. So, the global strategy is the plans of organization in context to growing outside of
their borders (Burritt, R.L., and Schaltegger, S., 2020) . Specifically global strategy as involving the
goals of higher sale in abroad. That is used by the companies on the want to expand their
business in global market. Business sustainability is involving different business management
approach which should be consider the meeting off of current needs without sacrificing your
compromising the needs of future generation. Such as with the help of these sustainability
approach organization have to meet the social environmental and financial demand in order to
ensure the ethical and legal business success (Olawumi, T.O. and Chan, D.W., 2018). Amazon.com
is one of the world’s largest multinational e commerce company, which has been running and
growing business globally by facing all the environmental factors through global strategy and
sustainability approach. In this report analysis of internal and external environment in context to
Amazon is going to be done. Along with the critical analysis and evaluation of corporate social
responsibility and sustainability which is managing by the selected organization. Then in context
to internal and external environmental analysis competitive advantage of organization is going to
be analyses in context to global option of Amazon. Then report finally ends with the
recommendation of appropriate business strategy and sustainability strategy for organization.
External environmental analysis of Amazon
Organization overview- Amazon is one of the leading E-Commerce multinational company, who
is founder CEO is Jeff because, currently this organization it is one of the world’s most
recognized brand (Matsiliza, N.S. and Block, M.C., 2017). This association is focused on the digital
streaming artificial intelligence and in commerce is all other business organization Amazon is
also has been phased multiple internal and external factors challenges and continuously dealing
with all those challenges 5 effective global strategy and sustainability approaches and this can we
further improve with the year of research and new strategy development. This organization is
known for its innovator challenge management strategies and global development strategy.

Pestel analysis- PESTEL analysis is one of the most important external environmental factor
analysis tools which helps in the analysis and evaluation external environmental factors impact
and influence on organization. That is involving the analysis of political, economical, social,
technological, environmental factors of market, analysis. Below is the brief analysis of Amazon
external environment factors (Etse, D. and Boateng, M.S., 2019).
Political- this external factor is involving the different political agendas and action related to the
different economical and social activities which directly or indirectly connected to the business
function of each and every organization. Such as political stability is the beneficial factor for
Amazon because it organization can develop into the different European union countries for
increasing their growth and development. Government is supporting the online business which is
both beneficial and threat full for organization (Pan, W., Chen, L. and Zhan, W., 2019). Suggest in
terms of opportunity it helps the organization to extend their E-Commerce business by the
support, wrong with this factor is increasing the competition for organization in digital level.
Economical- the factor of business environment is involving fluctuation and stability in
demand, supply, interest rate and income level of the target market customers. Stability of
economical target market of the Amazon is opportunity for the global business. Switches in the
European countries, stability of the supply demand is helpful to successfully grow the business.
Social- this is the importance of business because that is considering the customers and their
demand, needs or preference. In order to successfully grow the business in global market that is
important to meet the customer needs. So in context to Amazon increasing trend of online
shopping is opportunity (Patil, D.A., 2018). The current threat for Amazon is highest fluctuation in
customers needs.
Technological- each and every business organization need some innovative business
assets which helps to smoothly run the task and activities. So, in context to that innovative
technology is the environmental factor which is continuously growing. In context to Amazon
new it technology efficiency is opportunity. And higher rate of cybercrime is threat
Environmental- this factor of business market is related to the seasonal change, disease
burden, environmental protection laws. Such as rising interest of environmental and business
sustainability program is an opportunity for Amazon. Current covid-19 impact threat for
organization.

Legal- This factor of business environment is related to the different organization law,
employment law, data protection law and so on. In context to Amazon rising environmental
protection regulation. Import and export law opportunity for organization to grow in global level
(Thakur, V., 2021).
Five force analysis
Business market is full of competitors and in order to retain in the market it is important
to co-ordinate organization plan with competitive forces. And this can be effectively done by the
help of porter's five force model. That is involving the analysis of 5 competitive force of market
which is important to manage within the organization plan and strategy.
Porter's five force model
Competitive rivalry- The sports of the business environment is is related to the level of
competition and presence of competitor. There is a strong force of competitors in context to
Amazon suggest Flipkart, Myntra, eBay, play.com.
Bargaining power of buyers- That is involving the customers bargaining and influencing power
in context to product price. Bargaining power of the customers in context to Amazon is it strong
due to the multiple options of lower price online services (Öneren, M., Arar, T. and Yurdakul, G.,
2017).
Bargaining power of suppliers- That is related to the relationship and power of the
suppliers in context to business assets price rate manipulation. Amazon need suppliers for retail
projects and information technology assets. There is the moderate force of suppliers in context to
which organization half to make their relationship strong with suppliers.
Threat of substitute- This is the market force which comes in the form of business
service substitute. Such different type of organization our services which meets the same needs
of customers related to the Amazon. Such as Walmart and Tesco online store is work as the
substitute of Amazon which is posing strong force. Customer can easily switch from Amazon to
other substitute due to availability of lower price product and no additional charge of switching.
Threat of new entrants- That is involvement the chances of new entrance with in DC market
which can impact the business. In context to Amazon there is de lower force of new entrants due
to the high cost of brand development (Hales, G. and Mclarney, C., 2017).

Internal environmental analysis of Amazon
Internal analysis process is used by the organizations in order to assess their performance,
resources and competitive advantage. Village the brief internal analysis of Amazon by the
application of effective tools and methods.
VRIO- This is day very crucial and important tool for the analysis of organization
competitive advantages and resources capabilities. This model is involving the combined
consideration of micro macro and internal environment strength and weakness of organization.
This framework is involving four factors of analysis such as valuable, rare, inimitable, and
organized. This helps to assess the organization resources capability and competitive advantage
which of the resources get higher rate in all these factors (Stindt, D.,., 2017).
Valuable- Amazon brand name meets this valuable standard and causes the higher
competitive advantages. Experience of the Amazon customer is also valuable because they are
getting the multiple options and product category along with the best shipping process in Britain
option. Product range, marketing strategy, and distribution network of Amazon is valuable too.
Which is presenting the higher competitive advantage of organization.
Rare- Amazon marketing strategy, brand value and distribution network is rare which is
the leading factor of competitive advantage.
Inimitable- Organization is having various factors which cannot be copied by other such
as its brand value, research and development network, distribution network. All these factors are
helping the company to build competitive advantage over the market competitors.
Organized - Amazon is very organized about all functions and operations surge as its
customers base product range HRM practices marketing research and development all are done
with very organized plan and strategy.
Value chain- That is the structure or framework of the organization functions and operations,
Activities and task which helps to place all these activities in right place according to preference
and importance. This can further help in the value chain analysis of business activities for
improvement and opportunity development (Pervan, M., 2018).

Primary activities
 Inbound logistic- That is one of the important business activity under which organization
collect resources and distributed according to the operation requirement. Such as Amazon
is having vertically integrated suppliers and quality control process for storage and
distribution of resources.
 Operations- this is the process of main business activity which is the key to meet the
business objectives. Suggest in context to Amazon online e commerce company. The
operation activities are very valuable which is involving packaging of product,
development of content it and management of software (Yudiono, N., Wilopo, W. and Iqbal,
M., 2019).
 Outbound logistic- in context to Amazon this process is involves the activities of
collecting final product, its storage and distribution. Such as Amazon order fulfillment,
handling, dispatch and invoicing is valuable. Bangles due to this organization is
providing best shipping services.
 Marketing sales- that is involving the activity of company visibility and customer target.
Amazon marketing and customer targeting strategy is very and valuable such as Amazon
prime, customer service and promotion at some effective marketing sales strategy.

Service- this function of the value chain of Amazon as involving the planning, engagement,
designing and support the customers with effective plan. Such as education and training,
warranty and support (Ariyani, W. and Daryanto, A., 2018).
Supportive activities
Amazon supporting activities are effective HRM financial and legal management task and
plan suggest they are doing risk mitigation managing hire talented employees. Amazon is having
best infrastructure with the support of innovative technologies such as information technology
support and effective analytical tool. In context to procurement organization is having vast range
of vertically integrated suppliers.
Critical analysis of corporate social responsibility and sustainability of organization
Carroll’s pyramid
This model is providing the effective framework for understanding that how and why I
organization should take social, environmental and economical responsibility. That model is
related to the cooperative social responsibility. CSR is the international set of private business
self regulation aims to contribute in social goals and ethical activities. That plays important role
for the organization image development and employees’ moral improvement (Arnett, J., Goldfinch,
B. and Chinta, R., 2018).
Economical responsibility- According to this principle of model each and every
organization have to focus on there and economical profit. From some analysis of a masonic
economical responsibility, it has been found that Amazon is having, cap of fi815 billion, and this

company has made 48% returns on its 20th anniversary investment which place is it at the good
check mark on the economic responsibility column.
CSR dilemmas
Arch tax avoider- Amazon has faced the issue of criticism due to its unethical activity
related to the economical factor. Because it has avoided the lots of Texas.
Legal responsibility- according to this principle of CSR model each and every
organization should follow or compile their operations and functions with rules and regulations
of government. Amazon is trying to give their best for compiling with legislation but due to the
biggest size of business and online selling partners. Get fail in this is standard of model. Such as
avoiding of tax buy online retailers of Amazon.
Ethical responsibility- this step of the model is illustrating that organization have to meet and
follow some other important models and values which is not presented in legislative peace but
important for the organization. Such as walking in the way which support society culture and
morel. From some study report it has been analyzed that. Amazon is not meeting the ethical
responsibility book is it is not following the UN definition of human rights. There is the case of
brutal exploitation on Amazon according to which they are not treating workers as a human in
their warehouses which is the biggest ethical dilemma (Flanagan, D.J., Lepisto, D.A. and Ofstein,
L.F., 2018).
Philanthropic responsibility- That is the final level of model under which each and every
organization can contribute for the society and community through there donation and
investment but that is not necessary. This is effective nowadays to build strong positive image
within the society and community. Amazon is having charity page which is known as the smile
Amazon. Under which it donates for the customers desired charity from the part of product cost
purchased by the customer.
Evaluation of analysis in the form of strength and threat for global business option
SWOT analysis

After the analysis of internal and external environmental factors in context to Amazon
another important tool which can be used to evaluate the strength and opportunity of
organization is SWOT analysis. This can help to evaluate the strength weakness threat and
opportunity which can be further used to analyze business development opportunities and action
plan.
Strength Weakness
Amazon is having valuable brand image
which is its best strength. Induces the
factor which will help in the global
development. Its marketing strategy,
primary and secondary activities are
effective and well organized which is
the key to develop globally.
Amazon weakness is related to competitive
forces. Such as there is the higher force of
competitors, suppliers’ buyers and
substitute. Organization is weak at the point
of corporate social responsibility due to its
history of ethical issues related to brutal
exploitation and tax avoidance.
Opportunity Threat
Developing trend of online shopping is
the opportunity for organization to
extend their business globally for
satisfying this need of every customer.
Increasing interest of environmental and
business sustainability is the
opportunity for organization to more
developed their brand value (Lu, J., and
et.al., 2020).
Current covid-19 situation is a threat for
organization with this is affecting the supply
and demand of product and it can same in
future time. Threat of ethical issues.
Recommendation for global business development
More expand business in context to online shopping Trend- that is the opportunity for
Organization in the form of online shopping Trend which can be grab by the Amazon. This can
talk it be market segment with the demand of online shopping platform is higher. Organization
can use thier brand image and trending opportunity to enter into the global market. For example,

the current action of global business development done by the Amazon is getting partnership
with small online sellers of different countries to built their network globally.
Develop new partnership- in order to reduce thing risk or threat of competitors Amazon
how to make more partnership with similar organization by acquisition or purchasing and joint
ventures. Because higher competition is the weakness of Amazon and thus can be shot out with
partnership approach. In order to develop business at global level in more different countries.
Amazon should make partnership with small organization of foreign countries.
innovative business strategy- in context to the Amazon weakness such as higher force of
the substitute, buyers, suppliers, and production of marketing strategy copy. Amazon have work
on the innovative technologies and strategies which can help to meet competitive edge’s by
reducing the risk of customer searching. Income tax to the higher bargaining power of suppliers
and global business development organization have to work on their supplier’s relationship
management which can helps to reduce the power and get effective suppliers services at relevant
price.
Work at the environmental and sustainability- business organization need value along
with the ethical and moral positive image and these are the factors which helps the organization
to retain at global market. So in context to develop at global level Amazon half make more
environmental protection activities along with the sustainability approach, under which they have
to meet social responsibility standards environmental responsibility standards and economical
responsibility standards effectively.
Recommendation for sustainability and corporate social responsibility success
Business organization for long-term retention in the market have to meet sustainability
standards of United nation, CSR (corporate social responsibility) is providing the different tools
and models for or getting success in sustainability. Such as Amazon have to work on dare
sustainability approach by meeting the level of Carroll’s pyramid. Below awesome
recommendation for organization to get success in sustainability standards.
Improve text pay strategy- Amazon how to work on there online distributors and
retailer’s payment management in order to monitor the text pay of retailers within the time to
avoid economical and ethical dilemma.
Implement ethical strategies in employee’s management- there is a need of ethical and
moral consideration with in HRM practices of Amazon. Because their HRM strategy is effective

in context of productivity and performance but that is pausing negative impact on employees and
workers exploitation in appropriate work environment is unethical activity which has to be
prevented by the organization by considering all ethical and moral rules along with the human
right regulations.
Eco friendly practices and donation- all the Amazon is doing great work in context to
CO2 control but there is need of more improvement and implementation of eco friendly practices
within the organization. By getting success on this organization will get higher cooperative
support per global development and growth. Organization how to plan for charity and
community donation in order to create ethical value of company which helps to get employees
attention and develop their moral values for organization. Success in the sustainability and
corporate social responsibility is the important factor which helps to create more effective value
of company get support of employees along with the corporate areas to develop at the global
level with their positive image (Huo, C.,and et.al., 2021).
CONCLUSION
From the above study it has been concluded that global strategy and sustainability are
interrelated skills for effective global strategy organisation have to make sustainable business
approach which can help to get positive brand value and cooperative support to build global
strategy and develop at the global level. There are the various tools and techniques which used to
analyse environmental factor and plan for the global strategy. Suggest PESTEL analysis porter's
five force model, VIRO, value chain analysis, SWOT analysis. Through which each and every