Analyzing Amazon's Global Expansion: Opportunities and Obstacles

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RESEARCH PROPOSAL
BENEFITS AND CHALLENGES FACED BY AMAZON IN STRIVING FOR
GLOBALISATION
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Table of Contents
INTRODUCTION......................................................................................................................................................... 3
RESEARCH TOPIC...................................................................................................................................................... 4
RESEARCH AIMS & OBJECTIVES.........................................................................................................................4
RESEARCH HYPOTHESIS........................................................................................................................................ 4
RATIONALE OF STUDY........................................................................................................................................... 5
LITERATURE REVIEW............................................................................................................................................. 6
RESEARCH METHODOLOGY................................................................................................................................. 9
Research philosophy........................................................................................................................................ 10
Research Approach........................................................................................................................................... 10
Research Choice.................................................................................................................................................. 10
Research Strategy.............................................................................................................................................. 10
Time Horizon....................................................................................................................................................... 11
Data Collection and Data analysis...............................................................................................................11
Ethical Consideration....................................................................................................................................... 11
RESEARCH TIMELINE........................................................................................................................................... 12
REFERENCES............................................................................................................................................................ 13
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INTRODUCTION
Globalization refers to the activity of practice business process on a global level. It is a
process adopted by the business organization in order to increase their sales and generate
more revenues through exchange products and services on an international level (Bacetic,
2018). The concept of globalization is very important to understand for effective business
practice on a big level. This assignment shows the various benefits and challenges that have
to face by the Amazon company in order to successfully establish it on the world level.
Amazon.com, Inc. is an American multinational technology company situated in Seattle,
Washington. The Amazon company focuses on e-commerce business, artificial intelligence,
and cloud computing but the main business activity of Amazon Company is e-commerce.
Business list various brand products of all types into its website which offers various
products of all types and brands in one place for the customers also it provides a great
platform to the business owners to increase their reach and attracts more customers
through Amazon e-commerce company (Camillus et al., 2017). The company considers the
largest e-commerce business and cloud computing platform in the world with respect to
revenue generation and capitalization of the market. Founded in 1994, currently, Amazon
is the 2nd largest private employer in the US.
Globalization significantly benefits the working and business process of the Amazon
Company as it currently covers the market area of all the countries in the world and is a
very popular brand image and name. Along with the benefits of globalization, there are
many challenges faced by the company such as different tax rates and policies of different
countries, etc. that is hard to manage at once (Lawrence, 2018).
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RESEARCH TOPIC
Benefits and Challenges Faced By Amazon in Striving For Globalization.
RESEARCH AIMS & OBJECTIVES
The entire focus of the assignment is to understand the benefits and challenges faced by
Amazon. Following are the key aims & objectives of the research.
 To understand the globalization process and its various aspects
 To understand the various challenges of globalization
 To assess how globalization benefits Amazon Company
 To understand effective globalization strategies adopted by Amazon
 To provide some recommendations for the Amazon through effective research
RESEARCH HYPOTHESIS
Following are the research hypothesis of the research:
RH1: What is globalization and why it is important for business organizations?
RH2: How amazon overcomes challenges of globalization and what benefits does it receive?
RH3: What globalization strategies and approaches adopted by the Amazon Company in
order to successfully establish itself in the international market?
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RATIONALE OF STUDY
The concept of globalization is very important for the learner to understand in the current
world. In a current time without effective globalization strategies and practice it is very
hard for the business organization to compete with their rivals and remain in the market
just by traditional business process. Globalization gives the luxury to the business owners
to attract customers on a bigger level and increase their sales and revenues and make the
popular mark on the international market like Amazon. Due to the nature and size as well
as the impact of Amazon on the international market, Amazon Company is well suited to
understand the research topic and theory behind it.
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LITERATURE REVIEW
Globalization
Globalization refers to the activity of interchange products, knowledge and services
between countries for mutual benefits says Cheng (2017). It is the process in which ideas,
products of the business organizations are shared with another country’s business or with
the customer in order to increase sales or increase the effectiveness of the business
organization. further added by Lawrence and Almas (2018), globalization increases the
grasp of the business organization to attract customers as well as increase the reach of the
customer to seek out the desired product to satisfy its need (Lawrence and Almas, 2018).
According to Camillus et al (2017), globalization increase creativity in the market as well as
brings innovation in the market. Globalization leads to introduce cross culture between
countries that brings new products and services that are new to the people (Camillus et al.,
2017). To effectively satisfy the needs the individual becomes more creative and innovative
with respect to globalization the technology changes and introduce within the organization
increase the thinking capability for individual and make individual more creative and
innovative in his work.
According to Noe et al (2017), globalization brings the business organization of all around
the world significantly closer that creates very intense competition. Globalization creates
one market for all at the global level that provides opportunities for all the business
organization, anyone can grab the opportunity to attract customers and increase their
business sales. Globalization gives a fair amount of opportunity to all the business
organizations of the entire world to attract customers through their unique products or
cheap rates (Noe et al., 2017). Globalization prevents customers and business from
monopoly as the competition is intense business organization needs to reduce their prices
that can afford by the customers to remain in the competitive market.
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E-commerce
E-commerce is an effective strategy of globalization that benefits business organizations to
increase business sales and revenues effectively says Falk (2015). E-commerce is a
platform where business can sell their products and services online and customers can get
provides direct to their home with going anywhere. E-commerce provides the luxury to
customers as they can find their desired products and services as have all the choice of the
world to satisfy their needs (Falk, 2015).
Benefits and Challenges of Globalization
According to Bacetic (2018), globalization helps increase the rate of customer's
satisfaction, the business organization effectively satisfies the needs of customers with the
help of globalization. Globalization creates one market for all the products and services at
one place that helps customers to find out the products that satisfy their needs effectively.
Further added by Khan et al (2017), globalization increases the range for the business
organization to provide the services to the customers that benefit business to increase their
sales and revenue effectively. Also, customer can also reach to the business seek out their
desired products that give a business the idea what customers' demands (Khan et al.,
2017).
Globalization helps an organization to improve its brand image and helps the business to
promote their brand says Blazquez et al (2019). Through globalization business can
process its business activity to other countries that benefit business, people of other
countries use products and services of other countries makes customers understand
known the different brand. Further added by Mrkonjić et al (2019), positive brand image
significantly helps business organization in sales increment and maximize profit.
Globalization not only benefits the customer but equally benefits to the business
organization as well as through globalization customer can provide their good quality
products and services to the customers and improve their brand image (Mrkonjić et al.,
2019).
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The biggest challenge for a business organization with respect to globalization activity is
the changing government policies and rules and regulations for inter-country trade says
Bayne (2017). The trade policies are different for each country that makes very hard for
the business organization to conduct their business activity and compete with the market.
Also, domestic companies significantly possess threats to the foreign company as they have
to pay high taxes, as well as the rules and regulations, are tough for the foreign trade
company (Bayne, 2017).
According to Bourn (2018), through globalization the fraud cases are very much increase, it
is been find out that globalization benefits the cheat e-commerce company. The person
having less knowledge of online shopping are the targets of these companies. With respect
to globalization, there is a significant increase in the numbers of fraud cases commonly
included online shopping in those cases (Bourn, 2018).
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RESEARCH METHODOLOGY
The research study aims to understand the various challenges and benefits faced by
Amazon Company in order to striving for globalization as it gives the idea for the learner to
understand and assess the challenges that impact business process and what strategies and
approaches business organization needs to adapt to overcome these challenges and turn
them into benefits for the organization (Bacetic, 2018). To meet the research aims and
objectives as well as finding the answers of the research hypothesis for the Amazon
Company the researcher follows a proper approach through which effective outcome can
be derived. The research follows on Interpretivism philosophy and mixed method for
effective research.
Figure 1: Diagram of Research Onion
Source: Camillus et al., 2017
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Research philosophy
The researcher uses Interpretivism philosophy for this research as this philosophy focuses
on the thoughts and behavior of the participants of the research that makes the best and
well-suited philosophy for this research (Lawrence, 2018).
Research Approach
Along with the Interpretivism philosophy that observes the thoughts and ideas of the
participants, the inductive research method is used that follows the Interpretivism
philosophy and assess the data gained and create a theory for the assessment of data
through conclusion (Camillus et al., 2017). In the context of the research, inductive method
benefits the researcher as it helps in quantitative and qualitative research.
Research Choice
To bring effectiveness and accuracy in the research the researcher uses a mixed method
that is the combination of quantitative and qualitative research. The qualitative research
helps the learner to understand the theory behind the research topic which is globalization
benefits and challenges faced by Amazon as well as quantitative refers to as primary
research conducted b researcher himself to take practical knowledge and practically
understand the aspects of globalization (Bacetic, 2018).
Research Strategy
As the research focuses on uses mixed method the researcher gain data from effective
sources of both methods. In qualitative research to gain the theoretical knowledge about
the globalization and its benefits and challenges for the Amazon company the researcher
uses literature reviews as a data gathering tool on the other hand in quantitative research
create a set of questionnaire for the participants to practically gain the research data
(Lawrence, 2018). The participants of the questionnaire survey are decided as the
stakeholders of the Amazon that includes management, employees, and customers of the
Amazon through which effective answers can be obtained.
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Time Horizon
Cross-sectional time horizon is used in this research as the research focuses on to use
mixed method for that cross-sectional time design is a very good choice. Cross-sectional
time design is focused on the behavior of individuals and group that serve the purpose of
the research (Camillus et al., 2017).
Data Collection and Data analysis
This is the last step of the research and for that researcher needs to ensure that the tools
and techniques, as well as strategies effectively uses in this research for the effectiveness as
well as the tools and techniques used for data assessment, serve the purpose of the
research and appropriate for the research strategies that used earlier for gaining data
(Bacetic, 2018).
Ethical Consideration
The researcher values the thoughts and ideas of the participants effectively. All the rules
and regulations are properly followed by the researcher as well as the policies of Amazon
Company is totally considered by the researcher in order to conduct the research
(Lawrence, 2018). The researcher took permission from the management of Amazon
Company beforehand for conducting research on Amazon Company.
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