Amazon in Emerging Markets: SWOT, PESTLE, and Business Strategy Report

This report provides a comprehensive analysis of Amazon's strategy in emerging markets. It begins with a SWOT analysis, identifying strengths, weaknesses, opportunities, and threats. A PESTLE analysis is then conducted, examining political, economic, social, technological, legal, and environmental factors. The report identifies challenges related to market expansion and recommends changes to the business model and global marketing strategies. It emphasizes the importance of competitor analysis and internationalization strategies. The report provides a foundation for Amazon to successfully expand into new markets, and offers strategies for competitive advantage. References to relevant academic sources are included.

AMAZON IN EMERGING
MARKET CASE
W94C01

SWOT analysis
Strengths: Weaknesses: Opportunities: Threats:
Market
leadership
position
Brand image
Success of new
product
Strong brand
recognition
High cost of
replacement
High employee
turnover
Business model
Rapid
expansion
Local
collaboration
Online space
opportunities
Shortage of
skilled
resources
Distrust of
institutions
Competitors
Growth in
technological
expertise

PESTLE analysis
Political Economi
c
Social Technolo
gical
Legal Environ
mental
Political
factors
includes
armed
conflict,
taxation
policies,
governme
nt
resource
allocation
and non-
governme
nt
organizati
ons as
stakehold
Economic
factors
includes
interest
rate,
country
name,
consumer
disposabl
e income,
inflation
rate,
taxation
rate,
labor
market
focus and
Social
factors
includes
attitude
towards
safety
and
health of
people,
media
outlets,
societal
norms,
gender
roles and
leisure
interest.
Technolog
ical
factors
includes
maturity
of
technolog
y and
empower
ment of
supply
chain.
Legal
factors
includes
environm
ental
laws,
employm
ent law
and data
protection
laws.
Environm
ental
factors
includes
recycling
of
products,
waste
managem
ent and
extreme
weather
conditions
.

Problem Statement
 Focusing on emerging markets it is
important to consider the factors that
affect the Canadian market.
 The problem of expansion in the new
market is observed by Amazon.

Alternatives
 It is important to focus on several
alternatives such as market expansion.
 Emerging trends of a particular country is
to be analyzed effectively by Amazon.
 SWOT and PESTLE analysis are carried
out to make a priority in decision making.

Recommendation
 A business model for Amazon should be
changed effectively.
 To enter new market, competitor analysis
should be conducted.
 Global Marketing strategy should be
adopted effectively.

Implementation
 Implementing a global strategy is focused in
order to attain competitive advantage (Hiatt &
Sine, 2014).
 Planning, designing and implementing the
business model are the prime consideration for
Amazon.
 Amazon’s strategies that work for every
market should be studied with several
challenges and opportunities.
 International operations should be conducted
with the help of internationalization strategies.

References
 Hiatt, S. R., & Sine, W. D. (2014). Clear
and present danger: Planning and new
venture survival amid political and civil
violence. Strategic Management Journal,
35(5), 773-785.
 Walker, E. T. & Rea, C. M. (2014). The
political mobilization of firms and
industries. Annual Review of Sociology,
40(1), 281-304.