Business Research Project: Globalization and Amazon

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RESEARCH PROJECT- PART 2
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Contents
LO2: CONDUCT AND ANALYZE RESEARCH RELEVANT FOR A BUSINESS RESEARCH PROJECT........3
PRIMARY RESEARCH.................................................................................................................. 3
SECONDARY RESEARCH............................................................................................................. 4
DATA ANALYSIS AND FINDINGS.....................................................................................................7
MERITS, LIMITATIONS, AND PITFALLS OF DATA COLLECTION APPROACHES...............................13
REFERENCES.................................................................................................................................15
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LO2: CONDUCT AND ANALYZE RESEARCH RELEVANT FOR A BUSINESS
RESEARCH PROJECT
PRIMARY RESEARCH
The data of primary research is collected for the first time and the respondents of this research
include different stakeholders of the Amazon such as customers, employees, and also some
investors. Total respondents selected for this research are 50 and these were selected
randomly to avoid the situation of business (Norris et al., 2015). Total 7 questions are included
in the questionnaire and this questionnaire is sent to respondents through e-mail. The purpose
and importance of this research are clearly defined so that the information should be filled
accurately and researcher can come to correct results.
1. Age group
 20-29
 30-39
 40-49
 50 and above
2. Gender
 Male
 Female
 Prefer not to say
3. According to your opinion, globalization will help the amazon in expanding its business?
 Yes
 No
 Maybe
4. What are the main advantages of globalization for Amazon during the expansion of
business?
 Increases productivity
 Brings economies of scale
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 Increase in market share
 All the above
5. Will globalization affect the need and want of Amazon’s customers?
 Yes
 No
 Can’t say
6. What strategy Amazon can choose to adopt globalization for increasing business?
 Partnership
 Joint ventures
 Trade
 Franchise
7. What is the reason behind choosing the globalization strategy?
 Branding
 Increased profitability
 Business growth
 Position
SECONDARY RESEARCH
The data of secondary research is collected by taking the reviews and opinions of several
experts but in the form of literature review. According to Beck, (2018) Globalization is a term
used to describe the interdependence of the world economy for fulfilling the needs of goods,
services, idea, knowledge, technology and so on. The primary aim of globalization is to reach a
large customer base and expand its market share. The main advantage for MNCs is to reach the
untapped market, lowering the labor cost, cheap natural resources, and other resources which
are used in operations. The technological advancement helps the business to successfully
expand the business in recent years. In addition to this, Baylis et al., (2017) also say that MNCs
also has an option to outsource some operations and focus only on the key function and gain a
competitive advantage over its competitors. The company can increase its profitability by
selling the goods in several countries and purchasing the goods where it is available at low
prices. Therefore, there will be two major reasons for operating in an international market i.e.
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one is to increase the profitability of the company and second is to bring economies of scale in
its operation.
Samiee, (2019) says that economies of scale will be adopted by producing in large quantities
through cheap labor and resources. The economies of scale can be seen with horizontal
expansion of the business i.e. entering into new markets. If the company adopts both these
strategies then it will help in the growth of the business which means larger revenue or strong
margin. There are several people, who cannot afford to buy locally produced goods due to high
prices of locally produced goods but with the globalization, they can now afford to purchase
quality goods at lower prices.
On the contrary, to the above statement, Greer and Hauptmeier, (2016) say that at the same
time, operating in the international market will bring lots of risk for the companies. According
to the opinion of some authors, operating in the global market will develop unfair exchanges
between smaller and larger economies. As per their opinion, they say that these MNCs capture
more market share and market value as they have the financial advantage which allows them
to lower the prices of the product and which increases competition among the companies of
developing countries. There are several challenges faced by the MNCs to start operations in
international countries and some of these are changing the internal structure of an
organization, maintaining a public image, modifying business operations according to statutory
or legal requirements as well as changing leadership style.
There are some challenges which are not in the control of the company and there are some
which are easily managed. The challenges of change in technology or infrastructure are not
managed by the company and change in organizational structure, leadership style, etc. can be
modified with the available resources. Both the benefits and challenges are deeply examined
before entering into the international market for expanding the business.
Cost, access and ethical issues
Cost is the essential component for conducting the research and the cost of this research
project is calculated by preparing an estimated budget which is as follows:
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Activity Cost
Planning activities £500
Distribution of resources £200
Conducting primary and secondary research £900
Recording of information £750
Information analysis £650
Preparing the final report £800
Total £3,800
The primary research information is collected by taking answers from 50 respondents who are
the part of Amazon Company and contributed to the success of an organization. The secondary
data is accessed through different journals, online sources, books, and e-books (Pauly, 2019).
The human resources required to complete the overall project are 10 members and the
estimated budget of £3,800 as financial resources.
Ethical considerations
Ethical issues defined the acceptable behavior of team members and researcher. The data of
primary research is collected ethically i.e. with the consent of respondents and the researcher
also tells them the purpose of conducting the research. The secondary data is also collected
after ensuring the authenticity of data. All the information is kept confidential and researcher
also ensured the safety and security of collected data (Jamrozik et al., 2015). The ethical issues
of this research project include three aspects which are as follows:
Informed consent: the participation of the respondents in the research is assured after taking
their permission and assuring that their information will not be shared with any third party.
Confidentiality: this includes the rights of the respondents which mean all information
regarding respondents or research is kept confidential.
Data security and storage: security of data is ensured at every single step of the research i.e.
collection, sharing, transferring, and even encryption (Artal and Rubenfeld, 2017).
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DATA ANALYSIS AND FINDINGS
Primary data is collected through developing a questionnaire which includes a total of 7
questions and the findings and data analysis is shown with the help of table and charts.
1. Age group
20-29 14
30-39 16
40-49 12
50 and above 8
Total 50
20-29 30-39 40-49 50 and above
0
2
4
6
8
10
12
14
16
18
The majority of the people i.e. 16 respondents who take part in this research belongs to the
category of 30-39 years. 14 respondents fall in the category of 20-29 years, 12 respondents fall
in the category of 40-49 years and 8 respondents fall in the category of 50 years and above.
2. Gender
Male 24
Female 20
Prefer not to say 6
Total 50
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Male Female Prefer not to say
0
5
10
15
20
25
30
24 respondents are males which mean that males are showing more interest in filling the
questionnaire about the globalization. 20 respondents are female and 6 respondents do not
prefer to answer this question.
3. According to your opinion, globalization will help the amazon in expanding its business?
Yes 36
No 10
Maybe 4
Total 50
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Yes No Maybe
0
5
10
15
20
25
30
35
40
The question asked from the respondents is that will globalization help in expanding the
business operations of Amazon and 36 respondents favor this situation while 10 respondents
do not agree with the same. In addition to this, 4 respondents are not clear about this situation.
4. What are the main advantages of globalization for Amazon during the expansion of
business?
Increases productivity 9
Brings economies of scale 9
Increase in market share 6
All the above 26
Total 50
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Increases productivity Brings economies of
scale Increase in market
share All the above
0
5
10
15
20
25
30
The question asked from the respondents is to put their opinion on the advantage of
globalization to MNCs. Majority of people i.e. 26 respondents agrees with all three
options such as it helps in increasing the productivity, brings economies of scale and helps
in increasing the market share. The above table shows several respondents agree to a
particular option. Therefore, it can be said that globalization helps the MNCs in providing
various advantages to the company.
5. Will globalization affect the need and want of Amazon’s customers?
Yes 24
No 19
Can’t say 7
Total 50
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Yes No Can’t say
0
5
10
15
20
25
30
The growth and expansion of Amazon will play a significant role in changing the needs and
wants of the customers. But 19 respondents are not agreeing with the same situation and
according to their opinion, globalization of Amazon will not affect the needs of the customers
and they will demand only those products which are their requirement. On the contrary to this,
24 respondents support or favor this situation. And the rest of the people do not have any idea
regarding this situation.
6. What strategy Amazon can choose to adopt globalization for increasing business?
Partnership 3
Joint ventures 11
Trade 28
Franchise 8
Total 50
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Partnership Joint ventures Trade Franchise
0
5
10
15
20
25
30
The question asked from the respondents is to highlight the ways through which Amazon can
expand its business and according to collected data, it can be said that the best strategy the
company can choose is trade. 28 respondents say that trade or simple stating exporting to
other countries will help Amazon to expand its business. Further, 11 respondents say that it can
opt joint venture, 8 respondents say that it should opt franchisee and only 3 people favor
partnership.
7. What is the reason behind choosing the globalization strategy?
Branding 7
Increased profitability 7
Business growth 31
Position 5
Total 50
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