Digital Business Strategies: Amazon Case Study Report - LSC UoS

This report provides a comprehensive analysis of Amazon's digital business strategies, focusing on various aspects such as e-commerce, emerging digital business models, strategic alliances, and the advantages and disadvantages of digital business. The report begins with an introduction to digital business, defining its core concepts and outlining the structure of the analysis. It then delves into the advantages and disadvantages of digital business, providing a detailed overview of how Amazon utilizes digital technologies to enhance its operations, data collection, resource management, and customer experience. The report further explores emerging digital business models, particularly the e-commerce model, and examines how Amazon leverages this model to achieve its business objectives. Additionally, the report discusses new collaboration and strategic alliances, emphasizing their importance in the context of digital business. Finally, the report analyzes the principles of e-commerce and their application within Amazon's operations, concluding with a summary of key findings and recommendations for the digital business. This report aims to provide a detailed understanding of the key digital business issues and strategies employed by Amazon, offering valuable insights into the evolving landscape of digital business and its implications for organizational success.

DIGITAL BUSINESS
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EXECUTIVE SUMMARY
Emerging business models and the digital business will be provided In the report as it is crucial
for them to develop a working in the process of organizational success. The digital market
impact ion the business brands need to be considered as to develop so that they can improve the
working in the digital business. It is important for the company and the organization to use the
digital business in increase of working business. The emerging business models are factors to
development of lots of business in the market. There are different sources of market which are
dealing in the market of digital platform and the competition in market is very high.
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Table of Contents
EXECUTIVE SUMMARY.............................................................................................................2
INTRODUCTION...........................................................................................................................4
MAIN BODY...................................................................................................................................4
(1) Overview and the advantage disadvantages of digital business.................................................4
DEFINE DIGITAL BUSIENSS..................................................................................................4
ADVANTAGES OF DIGITAL BUSINESS...............................................................................4
DISADVANTAGES OF DIGITAL BUSINESS........................................................................5
APPLICATION TO USE DIGITAL BUSINESS.......................................................................5
(2) Emerging digital business model in context to business issues.................................................6
Defining emerging business models............................................................................................6
Discussion on the business model................................................................................................6
Organization and its emerging business model..........................................................................7
(3) New collaboration and the strategic alliances............................................................................8
Definition of strategic alliance and collaboration........................................................................8
Advantages and disadvantages of collaboration and strategic alliance :.....................................8
Utilization and the use of collaboration and strategic alliance for the organization....................9
(4) E-commerce and its principle...................................................................................................10
E-commerce:-.............................................................................................................................10
Principle of E-commerce...........................................................................................................10
E-commerce principle in organization.......................................................................................11
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................13
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INTRODUCTION
Digital business refer to the process of utilizing the technologies and the artificial intelligence to
increase the process of working of business and to develop there working in the market to its
competitors. It is crucial for the organization to develop there working to increase the overall
overprocess of organization (Rangaswamy and et.al., 2020). Amazon is one of the leading brand
in the market which is providing the serves in every segment of the market. The report will
explain the process of digital business and also will explain the importance of utilization of
digital business in the organization context. Further the report will explain the strategic alliances
and the colobaration in the market for the brands.
MAIN BODY
(1) Overview and the advantage disadvantages of digital business
DEFINE DIGITAL BUSIENSS
Digital business refer to the use of technologies to create a new value of business in their
business models. The customer experience to be increased and the internal capabilities which are
supporting them in its core working in operation. Digital business is the business which is
increasing and it is providing the impact on the overall business strategies and model of the
organization who are using the technologies and updating the business strategies. It helps in
increasing the customer satisfaction and provide them new ways of getting experience in the
business product and services the organization offering.
ADVANTAGES OF DIGITAL BUSINESS.
Enhanced data collection : Digital business help in increasing the business data collection and
enhance the working by providing a safer and faster way of working in the business.
Greater resource management : digital business help in increasing of the greater resources of
the business. It helped in increasing of the overall business in the department and allow them a
greater resources to used. This also provide them with the improved and enhanced working in the
business.
Data-driven customer rights: this helps and provide a benefit in data to be driven according to
the customer rights and help the organization in achieving the business goals.
Increased profit : Digital business help the organization in increasing the business and provide
the increase in profit margin.
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Improved productivity : Better working and the quality source of working help the
organization in increasing the productivity as the digital business provide more customer and
also include faster ways of doing the process of productivity (Sousa and Rocha, 2019).
DISADVANTAGES OF DIGITAL BUSINESS.
Depending on technology: Digital business lack as this give an dependency on the technologies
and people are used to it. They start depending on which can cause a lot of issues.
Security and privacy issue: Security is one of the issue which is always there in the business
when its about the digital business. It is important for them to provide the technologies but5 the
safety and security need to be developed (Park and Mithas, 2020).
Maintenance cost issue: Technologies used to have invested a lot of money and it also required
the maintenance in the workplace to stay effective. Working on the digital business required as
lot of maintenance cost to the organization and increase the cost of business expenses.
Increased price competition : Utilization of the technologies also include the increase of cost in
the prices as the market competition is very high and it will increase the working of price
competition in the market. They need to utilize in limited resources to control the prices.
APPLICATION TO USE DIGITAL BUSINESS.
Amazon is increasing there working with the utilization of technologies in the business of digital.
It important to look for the positive and negative impact of the digital business in the market. It is
very crucial for the organization to use the digital business but also to look for the advantages
and disadvantages of the business (Wirtz, 2019).
Amazon is using the digital business and it is helping them in creating a better impact in the
market as they are getting better response in market and also increased in there productivity and
profitability. The digital business help the company in increasing the performance as there are
increased in the number of customer and working department of the business which helped them
in increased performance with new process of working. The negative impact which the company
is facing is that they need to expand a lot of money on there security and safety purpose which
they need to develop in the market. The transparency of the workplace and the maintenance cost
is providing expanses to the company and it is increasing in there price cost with competitor.
Amazon used the digital transformation to increase the greater resources of management in the
business and it also helped them in development of increased profit due to the increase in
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productivity and sale. The agility is increased and the productivity is improved in the business.
Amazon used the process of digital business which helped them in increasing of the better
customer experience, better customer experience helping them in reaching to better target of the
business and also in creasing the process of development in the workplace. It is important for
them to provide the customer experience. Customer experience improved is the one of the
objective which they were focusing in going towards the customer satisfaction.
(2) Emerging digital business model in context to business issues
Defining emerging business models
Business model is the core stability of the business which help them in getting the profitably in
business. Models of the business generally include the services and products of the business
which the organization sell in the market or in the target market. The two level of business model
are the cost and pricing of the business. There are a lot of business emerging models which can
be used by the organization to achieve better business in the market. It will also include different
ways of improving the adaptivity in the business to develop a profitability in business. It includes
the open-source, free, premium, subscription, e-commerce, peer to peer, ad-support etc.
Discussion on the business model
Business models are fragile and it can help the organization to achieve the business target by the
process of there working and development in the business strategies and plan to achieve goals.
Business model are of different type, and they are used by the organization to achieve the
business goals. It will also increase the performance of business which can further include the
ways in development of business. Business models are effective when they are used with the
strategies of the business as when the organization works with the proper planning and improved
working in their strategies can create more effective results. E-commerce is one of the most used
model by the organization in achieving the objective.
E-commerce model is one of the first model and most effective model of the digital business. It
is widely used by different organization and is providing the results to the organization in
achieving business objective. It is one of the most used model of the digital business which the
organizations are utilizing to increase the audience of market and to buy sell the product.
Open-sources business model refer to the process in which the organization provides the free
access to the software they are providing in the market. It is not a business model on which the
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company leverage to get the sustainable business model. It is the process of model which works
as the free spread quickly and the community side help in the success of the business.
The freemium business model is the model of digital business which include the services for
both parties including the free users and the premium. The model is simple as it allows the high
virality growth in the market and help in the increase success of the business (Verhoef and
Bijmolt, 2019).
Organization and its emerging business model.
The emerging business models are different type of and it is important for them to develop the
strategies in which they can increase the utilization of the digital business models to get the
market growth and success. It is very important for them to develop the criteria of the business
growth and Amazon is utilizing the E-commerce model to get the success. The first company to
utilize the e-commerce as a selling and buying platform for the physical good and now it is the
most used platform for the business to develop its growth in market. Amazon used this model to
create a wider platform for the business to sell the product on large scale. They made a lot of
decision to implement this idea and allow there working in the credential to develop the
profitability in result. The e-commerce is the platform which is used by the amazon in the
development of there working with the strategy to include the wider audience to get better result
in the market. It helped them in creating the source of direction for there model which include a
wider audience allowing the business to get success. Amazon is one of the leading brands in
selling the product and services at the digital platform, and they are providing every type of
services in the market. It helps them in creating a better source of remuneration for the business
and allowing them in creating a new market opportunity to get the growth. E-commerce and the
Ad-sup[port method of the company model in digital business are helping them in creating a
wider audience and allowing people to get aware about the product and services the company is
selling in the market. It is verity important for them to develop a strategy which include the
process of development to get the success. Amazon is impacting the market of the e-commerce
and trading to the international platform to reach the best of the market goals and achieve e-
business objective.
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(3) New collaboration and the strategic alliances
Definition of strategic alliance and collaboration
Collaboration : — Collaboration refer to the process of working with different person or
different group of person to achieve a common goal. It is all about getting the desire goal to a
common objective to increase the effectiveness of that goal (Ismail, Khater and Zaki, 2017).
Strategic alliance: — It is arrangement between two of the companies to undertake a mutual
benefits project and also each of the party will retain its independence. The agreement is less
complex and is less binding than a joint venture.
Advantages and disadvantages of collaboration and strategic alliance :
Advantages of Collaboration:
 Working win the colouration helps the organization to provide a better division of labour
in their workplace which further allow them to increase the performance of the
organization.
 There is always a high level of creative input in the workplace with the help of
collaboration between the organization.
 Collaboration increase and help in increasing of morale of the workplace and the
employee.
 It improves the delivery time and also gets better with its decision-making process of
working.
Disadvantages of Collaboration :
 It encourages some workers that they are the leaders and assume they having leadership
role.
 There can be huge conflict in the working style of both the collaboration and it can cause
to the objective of the business.
 It may create the instance of the thinking of groups.
 There are time when it cost more than the actual worth of the business and it can be
costly to the business which need to be studied.
 It may require the data collection in the business which is not available.
Advantages of Strategic alliance:
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 It helps the organizations and the parties to reach there goals faster.
 Strategic alliance help in increasing a better and bigger customer base in market which
can be useful for the business in increasing market.
 It also provides a greater level of innovation and its access when working with the
alliances to gain new things.
 Working as a strategic alliance it helps in increasing the quality of the individual product
which are being focused to develop the market in business.
Disadvantages of strategic alliance:
 Strategic alliance work with the common objective of two parties but it can cause them
the issues and conflict in the ownership claims for the business and product.
 It may cause the encourages of good employee crossover (Senyo, Liu, and Effah, 2019).
 It can also stick and cause to one of the company with a majority of the expenses in the
workplace.
 It can also cause the discrepancies of the interpretation for the data and the situations in
the business for market.
Utilization and the use of collaboration and strategic alliance for the organization
It is very important for the organization to make sure that they are collaborating in the digital
business and new organization to a common objective. Strategic alliance and the collaboration
with the parties help the organization in reaching to better growth in the sector where they are
still trying to impact by there business (Kedziora, and KIVIRANTA, 2018). Amazon is using the
strategic alliance, and they are getting great response from its alliances. The company is rising
and selling its own brand Kenmore appliances in the market and there are a lot of companies
which are helping them in increasing of business and getting in the alliance to work together on
the common objectives. It is helping them in creating a wider audience and allowing them in
better decision-making process of the organization to achieve result and better performance.
Strategic alliance are helping amazon in the control of import and export and to avoid the same
in control. It gives a lot of benefit to the business and the organization are using it to develop the
working of the business. Working with a lot of organization as a top brand the amazon is
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providing the alliance but it does not mean the merger or acquisition. It does not change the
actual structure of the agencies which are involved.
(4) E-commerce and its principle
E-commerce:-
E-commerce refer to the buying and selling of the service and goods, it is a trusting process of
funds or data over the working on electronic network and mostly on the internet. These include
the transaction of the B2B or the B2C business. E-commerce is also known as the electronic
commerce or the process of internet commerce which is referred to the buying and selling of
goods and product. It is mostly used as the selling of physical goods or product online. Internet
commerce is one of the most commonly used network of buying and selling of product and
services in the market and it is important for them to increase the area of market so that they can
increase more profit in business (Tesch and Brillinger, 2017).
Principle of E-commerce
Make your site mobile friendly: It is very important for the organization to make sure that they
are making the website mobile friendly because most of the people in the market are utilizing the
mobile over the laptops to do the shopping.
Improve the loading speed: working on the shopping it is crucial for the business to make sure
that they are providing the quality site to visit and the improved speed of loading so that the
customer does not wait for a longer period.
Use good UX design: Utilization of technologies and providing a good design of UX to display
the information in market is important for the people. It is very important and can be helpful for
the business to attract more customers.
Streamline the shopping process: Shopping time need to be streamline and the artificial
intelligence need to improve the process of working in the business. It also increases the overall
working of the organization and develop the shopping experience of the people and audience.
Make paying easy: The waiting and the paying method need to be developed and it should be
fast and trusting. This is important for the people to provide there privacy information and need
to develop the paying method be easy and safe.
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Email communication: Communication of the email is important and the verification of the
data on the internet need the two-step verification so that the organization and audience can get
the exact process which they need to do.
High visual Content: the visual content of the organization on their site or website need to be
improved and also they need to provide a high quality of visual effect to attract the customers
eyes and increase the sale.
About sections: One of the most important section in the application and website is that the
company is providing the about section so that people can talk and ask for the help to the
organization and get the revert.
E-commerce principle in organization.
The e-commerce principle are very crucial and the Amazon use the exact principle for the e-
commerce to develop there working in the business. It is important and crucial for them to
provide the good content and the quality website to them so that they can deliver a better quality
of services to the audience in market (Nwaiwu, 2018). It helped the organization in achievement
of the business which further allow them to reach the position they are having in market.
Providing of the actual situation which the customer are asking for in together application. It is
very crucial for the organization to utilize the entire process of working and develop the strength
of organization in market. Principle help in providing the great website and application and the
customer get the quality product and services which they further can utilize (Farani, Karimi and
Motaghed, 2017).
CONCLUSION
From the above report it can be concluded that it is very essential for the business to develop the
process of working in the business to increase the overall business in the market so that they can
develop the amazon in new places and increase the productivity and probability. Further the
report provide the importance of the digital business, digital business help in increase of business
product in the new market and also utilize the technologies to increase the market development
of the business. It is essential for them to understand the importance of the digital business.
Working as a developed company it is essential for them to develop strategies to increase the use
of digital business so that they can develop a wider market and increase the overall process of
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working of business. Developing the strategies and increasing the process of developed working
need to be developed by the Amazon, and they are using the strategic alliances and collaboration
to increase there other project.
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REFERENCES
Books and journals
Senyo, P.K., Liu, K. and Effah, J., 2019. Digital business ecosystem: Literature review and a
framework for future research. International Journal of Information
Management, 47, pp.52-64.
Sousa, M.J. and Rocha, Á., 2019. Skills for disruptive digital business. Journal of Business
Research, 94, pp.257-263.
Wirtz, B.W., 2019. Digital business models. Springer International Publishing.
Remane, G., Hanelt, A., Nickerson, R.C. and Kolbe, L.M., 2017. Discovering digital business
models in traditional industries. Journal of Business Strategy.
Park, Y. and Mithas, S., 2020. Organized Complexity of Digital Business Strategy: A
Configurational Perspective. MIS Quarterly, 44(1).
Ismail, M.H., Khater, M. and Zaki, M., 2017. Digital business transformation and strategy: What
do we know so far. Cambridge Service Alliance, 10.
Rangaswamy and et.al., 2020. The role of marketing in digital business platforms. Journal of
Interactive Marketing, 51, pp.72-90.
Verhoef, P.C. and Bijmolt, T.H., 2019. Marketing perspectives on digital business models: A
framework and overview of the special issue.
Nwaiwu, F., 2018. Review and comparison of conceptual frameworks on digital business
transformation. Journal of Competitiveness.
Farani, A.Y., Karimi, S. and Motaghed, M., 2017. The role of entrepreneurial knowledge as a
competence in shaping Iranian students’ career intentions to start a new digital
business. European Journal of Training and Development.
Kedziora, D. and KIVIRANTA, H., 2018. Digital Business Value Creation with Robotic Process
Automation (rpa) in Northern and Central Europe. Management
(18544223), 13(2).
Tesch, J. and Brillinger, A., 2017. The evaluation aspect of digital business model innovation: A
literature review on tools and methodologies.
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