International Marketing Report: Amazon's Global Market Strategies

Verified

Added on  2020/11/23

|9
|2608
|471
Report
AI Summary
This report provides a comprehensive analysis of Amazon's international marketing strategies and its expansion into global markets, particularly focusing on the UK market. It begins by examining the drivers of globalization that impact Amazon's expansion, such as technological advancements, international trade, and investment. The report then identifies and justifies a specific target market for Amazon Fresh in the UK, emphasizing the importance of understanding consumer traits and preferences. Furthermore, it evaluates the global environment for Amazon as a multinational company, including its competitors like eBay and Best Buy, and discusses the impact of consumer trends and cultural conventions. Finally, the report evaluates global and international strategies for Amazon to grow further in global markets, suggesting the adoption of an integrated approach and the switchboard profit model to maximize market share and profitability. The conclusion emphasizes the importance of catering to consumer needs and maintaining a strong market presence.
Document Page
International Marketing
tabler-icon-diamond-filled.svg

Paraphrase This Document

Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
Document Page
Table of Contents
INTRODUCTION...........................................................................................................................3
1.Drivers of globalisation that can help impact the expansion of Amazon into the UK market.
.....................................................................................................................................................3
2.Identify and justify one specific target market that Amazon-fresh should target in the UK...4
3.Analyse and evaluate the global environment for Amazon as a multinational company........5
4. Evaluate global strategy and international strategy to grow Amazon further in global
markets. ......................................................................................................................................6
COCLUSION ..................................................................................................................................8
Document Page
INTRODUCTION
International marketing defines a new game plan with an extension of market across the
border, which functions in making a business more approachable throughout the country
(Vellas, 2016). It regulates market on international platform which satisfy need and wants of
consumer in an appropriate manner.
Amazon is an American multinational company which focusing on building more
business across borders by creating a net of e-commerce marketplace. It has diversified into
various platforms such as Amazon Prime, Amazon Art, Amazon video, Amazon Business,
Amazon drive etc.. It deals in 606 million product which showcase whole market in a way to get
connected with the world.
The file covers a whole new scenario of recent drivers of globalisation. It focuses on the
market segmentation of Amazon fresh and global environment of Amazon (Schramm-Klein and
Zentes).The file will talks about every knowledge from different section of amazon and how the
market works internationally.
1.Drivers of globalisation that can help impact the expansion of Amazon into the UK market.
Increase in number of buyers directly impacting on market. Market starts taking growth
by keeping the needs of consumer in international market. Market has diversified with various
product and finding new drivers to tackle challenges of reaching door to door across borders
(Morschett, Schramm-Klein and Zentes, 2015). Drivers are forced to get a business on growing
segment or a way to tackle all challenges which are coming as a barrier to get success in
achieving goals. There are some important drivers which play a vital role in growth of Amazon
intentionally which is as follows-
Technological advancement- Markets are moving towards e-commerce. Portals are
becoming more familiar with customers to get fulfil needs and wants in more easier manner.
Amazon examines various needs of different consumers across borders and provide appropriate
facilities to fulfil every demand in an appropriate manner. Advancement in technology and
designing various portals to get connected with consumer across borders give more opportunity
for Amazon in diversifying its product. Technology allows people to get connected across border
Document Page
to get a business ahead of the pack. Keeping an eye on every field by the advancement of
technology is much easier which allows Amazon to handle barriers easily.
International Trade- Increase in international trade is on peak as improving technology
and focusing on maintaining every country's need is much more vital. International trade
encourages countries to focus on growth and strengthening interdependence between countries
(Eteokleous, Leonidou and Katsikeas, 2016). Allocation of resources is in every field across
borders, because of which countries are dependent on each other for future growth in living
standards of citizens. It is difficult for a nation to work as being a self-sufficient country in
world. Merchandise and services must export or import between various countries to maintain a
certain living standard and focus on growth perspective for future generation.
International Investment- Investing into various products and focusing on building a
market investment in different country is in trend in the current market. Amazon building a large
market across borders and playing with consumer's mind by showcasing its various product
online. Increase in international trade force government to frame different policies, including
commercial loans, foreign direct investment and foreign portfolio investment and much more.
(Ibeh, Crick, and Etemad Hult) It helps every individual by increasing employment, production,
jobs and new way of different sources of income.
2.Identify and justify one specific target market that Amazon-fresh should target in the UK
Amazon-fresh is a part of Amazon.com an American e-commerce based company which
deals in grocery and provide delivery services in various states of U.S. Such as London, Tokyo,
Hamburg etc. It offers grocery product to fulfil the need of a consumer and provide every
possible services which satisfy the customer within specific period of time. (Skarmeas, Zeriti,
and Baltas, 2016). Regulating services and maintaining a brand in the eye of consumer gives
more market share to company and impact on maximizing profit for future growth. Providing
every facility in a family is much more beneficial as it directly impact on saving time and help a
consumer towards taste and preference of various product.
Target market applies as a game plan for future growth of business and analyse every
single segment of taste and preference of an individual. It implies on showcasing big picture of a
particular place and frame strategies to kill all barriers in establishing a market. To cut-throat
tabler-icon-diamond-filled.svg

Paraphrase This Document

Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
Document Page
competition and maintaining an appropriate place for market is much easier while designing a
specific target market for particular product.
To justify one specific target market, Amazon-fresh should focus on dealing with various
department by which it can mould the whole market on its own product. To specify a single
market, Amazon-fresh should focus on some particular traits which is as follows:-
Amazon-fresh focus on finding proper target audience as it is male or female, household,
age group, family or bachelor, taste and preference (Ibeh, Crick, and Etemad, 2019). These traits
specify the data in an appropriate manner and frame strategies according to it. It should identify
proper target audience located, as creating need of product on a proper place is necessary. How
the current brand has covered the market by showcasing perceived value in front of consumers is
much more important in dealing with market.
3.Analyse and evaluate the global environment for Amazon as a multinational company.
Amazon.com defines as a multinational E-commerce business, focusing on different
customer's need and considered as the world's top innovative executives. Amazon has establish
by taking initiative of online book-store and covered every section of product category which
has extended in various countries by which it increases profit. The work of internet portal system
in Amazon plays a leading role in covering more market share, as it deals with consumer as an
online retailer (Nes, 2018). Amazon covers every product category beginning from book-store
to beauty items, auto parts, apparel, electronics and groceries.
Amazon enters in market with an aim to sell online book retailer and every new day it
started growing in different product category such as VHS, DVD, Computer software, furniture,
food, music CDs and toys. Company moving as a multinational trade focuses on launching
websites in different countries and has achieved success in various part such as United Kingdom,
Canada, France, Japan, Germany and many more. Branding of Amazon by logo which looks like
an arrow that stretches from A to Z. It helps in giving smile to their customer by offering a
product with full of satisfaction.
eBay is one of a competitor for Amazon as online store, its strategy to focus on pricing is
much more attractive for consumer. eBay as an example is a strong competitor as to get stability
in market with new product (Javalgi and Toya 2018). The pricing strategy of eBay creates a big
net in covering market, It recruited more than 15000 employees which proves as a great network
in different countries. Just like Amazon, eBay provides customers with comprehensive web
Document Page
services which covers all different categories in market such as: Search via keyword or phrase,
Submit new items, Re-list items, Provides information about certain seller or bidder etc.
Best buy company, which is also a part of an American multinational and focuses on
maintaining different market in various field such as electronics, consumer's good, and many
more. Headquartered in Richfield, Minnesota, where every new game plan formed in covering
more market share (Gnizy and Shoham, 2018). It creates barriers for Amazon and focus on
stability with a particular consumer by finding taste and preference of specific market.
Consumer trends are changing with every new day and creating market with different
taste and preference. Data collection by different online stores from various location related to
consumer habits or behaviour is much important in establishing a business. Consumer trend
simply trek all the consumer behaviour while focusing on a particular product category. Data
collection also include the consumer way to use a product and the feedback of a particular brand
from consumer perspective.
Social and cultural conventions affecting the international marketing decision for this
industry as entering into a new market of different country, company need to face many
difficulties. Factors include legal issue which creates boundaries for a new company in
maintaining or establishing a market (Amankwah-Amoah, Boso and Debrah, 2018).
Demographic and political conditions also become an issue for future success as Amazon target
customers with middle level society and build a stability in selling more product.
4. Evaluate global strategy and international strategy to grow Amazon further in global markets.
Company like Amazon works on various product and expanding its business across
borders which allows company to maximize profit. Expanding business is a dream for every
company and earning more profit become the goal. It regulates by different approaches while
entering into a new country with a perfect game plan. Amazon should adopt integrated approach
for expanding its business as it allows beginner to explore more to the market and observe every
specific target market about its taste and preference. Experience gives learning to an individual
or a company, same in case of Amazon, it should focus on taking initiative and follow integrated
approach to gather all information outside the world and from every specific target market. It
helps in developing more market share and gives opportunity in maintaining a perfect market by
killing all barriers on the route of growth. Integrated approach in a business gives more focus on
Team-based goal, delegation of authority and responsibility, inquiry guided to kill barriers,
Document Page
framing strategies after exploring a market, maintaining growth sector in building proper section
of society in a country.
Amazon can go with switchboard Profit Model as it is a part of Art of profit book, which
suggest a strategy to earn profit more with an appropriate goal (Gnizy, and Shoham 2018). This
model suggest to create a portal where a business offer varieties of merchandise and services
under a particular umbrella. It define as maintaining a common board by creating a one stop shop
for consumer as to satisfy all needs. In today's generation, people are busy in dealing with life
issues and the work load of offices and colleges so, consumer prefer to invest less time in finding
varieties of product. This model suggest a proper way of extending business by giving a
convenient way of dealing with consumers. Amazon can begin with switchboard profit model
while entering into new market as it is effectively implemented. An organization or business like
Amazon offers varieties of packages related to different services and product with an industry.
Allowing every consumer and focus on every single need to be considered as a valuable
company for a market. To create a market with varieties in new country must maintain a business
like Amazon.
In order to adopt this profit model, amazon should have enough moving parts that a
streamlined option would be valuable to consumers. The profit for the company like Amazon
examines from the fact that it controls enough of the market, and can regulate every aspect, if not
all of the market, that all agents are forced to do business with them, thus giving them a key
advantage for negotiating price.
COCLUSION
From above project report it has been concluded that company like Amazon which
dealing in varieties of product are more in demand as it fulfils every single need of a consumer.
It regulates all efforts in covering more market share and maintain an existence with proper
specific market related to different traits. Consumer demanding product and comparing it with
other product pricing is a part of market activity. Amazon provide various discount by
purchasing from specific cards, impacts a good growth for future perspective. Loyal customers
by offering quality product and framing unique strategies to expand a business is an important
activity of Amazon. Amazon can work under different profit model which can maximise market
share on a given period of time.
tabler-icon-diamond-filled.svg

Paraphrase This Document

Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
Document Page
REFERENCES
Books and Journal
Vellas, F. 2016. The international marketing of travel and tourism: A strategic approach.
Macmillan International Higher Education.
Morschett, D., Schramm-Klein, H. and Zentes, J., 2015. Strategic international management(pp.
978-3658078836). Springer.
Eteokleous, P. P., Leonidou, L. C. and Katsikeas, C.S., 2016. Corporate social responsibility in
international marketing: review, assessment, and future research. International
Marketing Review. 33(4). pp.580-624.
Skarmeas, D., Zeriti, A. and Baltas, G., 2016. Relationship value: Drivers and outcomes in
international marketing channels. Journal of international marketing. 24(1). pp.22-40.
Ibeh, K., Crick, D. and Etemad, H., 2019. International marketing knowledge and international
entrepreneurship in the contemporary multi speed global economy. International
Marketing Review. 36(1). pp.2-5.
Hult, G. T. M. and et.al., 2018. Addressing endogeneity in international marketing applications
of partial least squares structural equation modeling. Journal of International
Marketing, 26(3). pp.1-21.
Nes, E.B., 2018. The Role of Country Images in International Marketing: Country-of-Origin
E ects. Inff Bridging Disciplinary Perspectives of Country Image Reputation, Brand,
and Identity (pp. 49-64). Routledge.
Javalgi, R.G. and La Toya, M.R., 2018. International marketing ethics: A literature review and
research agenda. Journal of Business Ethics, 148(4). pp.703-720.
Amankwah-Amoah, J., Boso, N. and Debrah, Y.A., 2018. Africa rising in an emerging world: an
internationalmarketing perspective. International Marketing Review, 35(4). pp.550-559.
Gnizy, I. and Shoham, A., 2018. The power of international marketing functions: antecedents
and consequences. Journal of Business-to-Business Marketing. 25(2). pp.67-89.
Document Page
chevron_up_icon
1 out of 9
circle_padding
hide_on_mobile
zoom_out_icon
[object Object]