Disruptive Innovation and Its Impact on Amazon's Business Objectives

This research project investigates the impact of disruptive innovation, with a specific focus on the role of smartphones, on the business objectives of Amazon within the e-commerce sector. The study begins with an introduction to the concept of disruptive innovation, differentiating it from sustaining technologies and highlighting its potential to reshape industries. It then outlines the research objectives, which include exploring the meaning and characteristics of disruptive innovation, assessing the influence of smartphones on Amazon's business goals, and identifying the benefits of this technology for Amazon's operations. A comprehensive literature review is provided, discussing the characteristics of disruptive innovation and its implications for businesses, with smartphones being highlighted as a key example. The project also details the research methodology, including the design and approach used to gather and analyze data. The analysis section presents the findings of the research, including data analysis methods and the results from survey and interview questionnaires related to disruptive innovation and its impact on Amazon's business. The study concludes with a summary of the key findings, drawing conclusions about the significance of disruptive innovation and its effects on Amazon's ability to achieve its business objectives. The research emphasizes the importance of adapting to disruptive technologies to maintain a competitive edge and achieve financial success.

Running head: RESEARCH PROJECT 0
ACCOUNTING AND FINANCE

RESEARCH PROJECT 1
Contents
1. Introduction.........................................................................................................................................2
1.1 Problem of statement.........................................................................................................................2
1.2 Significance of research...............................................................................................................3
2. Research objectives.............................................................................................................................3
3. Research questions..............................................................................................................................4
4. Literature review.................................................................................................................................4
4.1 Meaning and characteristics of disruptive innovations......................................................................4
4.2 Impact of disruptive innovations on the attainment of business objectives..................................5
4.3 Benefits of disruptive innovation for business.............................................................................7
5. Research methodology design and approach.......................................................................................8
6. Analysis.............................................................................................................................................10
6.1 Data analysis method.......................................................................................................................10
6.2 Survey Questionnaire related to disruptive innovation for the business...........................................13
Demographic Factors -......................................................................................................................13
6.3 Interview questionnaires related to the impact of disruptive technique in the business...................24
7. Conclusion.........................................................................................................................................28
8. References.........................................................................................................................................30
9. Appendix...........................................................................................................................................33
9.1 Survey through questioners.............................................................................................................33
9.2 Interview questions....................................................................................................................35

RESEARCH PROJECT 2
1. Introduction
Technologies have a significant role in the present world. The developments in technology are
changing the manner people work, alive, as well as to conduct business. The innovations have
two categories of technology. The first type is sustaining technology. Another type is a disruptive
technology. Sustaining technology is considered as a technology that makes innovation
consecutively from time to time. On the other hand, disruptive technology is considered as a
recently established technique. It is more valuable than the current technique. Additionally, it has
certain chances to alter manner to do work as well as certain functions. It is also helpful in
getting financial outputs. Further, the disruptive technology takes additional time in comparison
of current technique had taken. The disruptive technology has more risks in comparison to
current technology. However, this technology can get a fast perception and replace the developed
technique leaving great influence. The disruptive Innovation improves different services as well
as products in a manner that the market neither requires nor expects. The technology makes
difficulty for the business and leader to know more about the technology, formation of technical
proficiency and application of techniques that matter to them. This technology develops ways to
manage the corporation. There are various examples of disruptive technology such as
smartphone, mobile, computer, as well as others. The following parts discuss the impact of
smartphones on the business of Amazon in the e-commerce industry.
1.1 Problem of statement
The disruptive technology is helpful to change the critical products as well as costly products.
There are various benefits of a smartphone. It changes the products that have less access by the
individuals. The smartphone creates open access. In different term, technology makes the

RESEARCH PROJECT 3
products affordable to most of the people. This is not about the requirements of customers. In
addition, the anticipated profit margin is not appropriate to consider vast organization technology
expenses for this. Consequently, the innovation may be disregarded, and the entity manages to
make innovations in new marketplaces. After the establishment of the innovation, the small-scale
innovation quickly raises the performance of technology on features of that of mainstream values
of customers. This project report discusses the impact of the smartphone on the achievement of
objectives of the business of Amazon. In the following parts, research objectives and research
questions are discussed. In the next chapter, the literature review is explained. The below-
mentioned parts discuss the research methodology design, research approach, and analysis. It
also provides a better conclusion regarding research issue.
1.2 Significance of research
This research study is useful for the researcher to develop knowledge about the meaning and
impact of disruptive innovations on the achievement of the business objective. It has great
significance for the readers or participants. This study could be effective for an organization to
know impact of smart phone on the objective of business of Amazon. This study is important to
the managers of the corporation to determine the relevance of disruptive innovations on the
objectives of a business. This research project is also helpful for the organization to know the
advantages of disruptive innovation.
2. Research objectives
This research project is aimed at the significance of the smartphone in the context of the business
of Amazon. The research objective are discussed below –
 To explore the meaning and characteristics of disruptive innovation

RESEARCH PROJECT 4
 To know the impact of the smartphone on the achievement of the business objective of
Amazon
 To discover the benefits of a smartphone for the business of Amazon in the e-commerce
sector
3. Research questions
Research questions are discussed below –
 What are the characteristics of disruptive innovation in the context of business?
 What is the influence of smartphone on the achievement of the business objective of
Amazon?
 What are the benefits of a smartphone for the business?
4. Literature review
4.1 Meaning and characteristics of disruptive technology
The disruptive innovation is considered as the technology whose application importantly
influences the manner marketplace as well as industry function (Feder, 2018). The disruptive
innovation is regarded as a new advancement that dramatically alters the method of
organisational. In different terms, it is the utilisation of technique. Yeh and Walter (2017) stated
that disruptive technology is the technology itself. The smartphone is the best example of new
disruptive innovation. It changed the manner of conducting business as well as a way that
negatively affected the organisation. The main thing of consideration is what creates the
technique “disruptive.” The expression can be utilised to define techniques that are not
accurately disruptive. E-commerce has changed the manner of business. It can say that the
smartphone has a great contribution to e-commerce sales. It makes a unique method to create

RESEARCH PROJECT 5
money that was not presented earlier (Rasool, et. al, 2018). Obviously, it made a loss for
different business models. It is difficult to invest in disruptive innovation. It needs the investors
to emphasis on how entities would follow to disruptive technique. It is not required to put the
focus on an establishment of the technology the aforementioned. The best example is Amazon. It
is evident the smartphone has a great emphasis on the functions of the business. The smartphone
has become so entrenched in a new world that entities, which failed to implement disruptive
innovation in the business models, have been pushed separately. Flavin and Quintero (2018)
mentioned that artificial intelligence, as well as their potential to learn from workers and execute
the work, could be disruptive innovation for the job marketplace wholly in the latest.
In addition, the disruption takes place while traditional values drivers in the current market are
suggestively changed. Normally, the new members take entry into the current market with new
technologies as well as a business model. It provides a new type of value that varies from the
offering of the incumbent. It is found that disruptive innovation is one of the four categories of
innovation in the innovation matrix. Rosenwasser et. al (2017) stated that disruptive innovation
to the mainstream as well as high-end customer segments is minimal at this point or at the
bottom of the S-curve. While the disruptive innovation takes entry into the mainstream, the
developed organisation typically, notice the new system to render responses to the race. At this
stage, this is so late since the new applicant is on the exponential portion of S-curve. Rendering
responses to the new race solely with exclusive technology often is not sufficient, as a
marketplace entrant has had much time to refine the offerings as well as a business model.
Additionally, product development takes time. Sharon (2016) mentioned that it also needs
multiple repetitions that create catching up quite unlikely, even with the additional resources.

RESEARCH PROJECT 6
4.2 Impact of the smartphone on the attainment of business objectives of Amazon
The smartphone is considered as innovation whose application can significantly put an impact on
the functions of the market. It makes a new marketplace and value system that finally disrupts
the existing market, displacing marketplace-leading entities as well as products. This disruptive
innovation has a great impact on organisations. According to Hopp et. al. (2018), Amazon can
achieve pre-determined objectives with the help of smartphones. The disrupters often create
business models that are diverse from those of officials. In this way, the disruptive innovation
theory was only the statement in relation to the correlation. While the new technologies take
place, the disruption theory can be useful to direct strategic preferences. The smart disrupters can
advance the products as well as drive an exclusive market.
In addition, this type of innovation has a higher risk of failure in comparison to the incremental
sustaining innovation or technique. According to Gobble (2016), disruptive innovation primarily
renders the low performance compared to what the mainstream marketplace has traditionally
required. Even though, this innovation gets fast penetration after the development (Forrester,
2018). It creates a high level of impact on the developed marketplaces. On the other hand, the

RESEARCH PROJECT 7
smartphone has different performance features (such as smaller, humbler, quicker as well as
portable) that are not valued by an existing customer. In this way, it is helpful in developing a
new valuable network between the customers and traders. As it improves traditional performance
limits, they finally relocate previous innovation (Schneider, 2017). Amazon can get great success
by adopting this technology. It can say that the use of smartphones can transform the world
effectively with new success. The organisation with fewer means are capable to challenge the
bigger business with the help of this technology. Most of the corporations fail while they do not
make a reaction to the new market disruption. Joe (2019) argued that Amazon can get more
profits by adopting these innovations. Henceforth, it can say that this disruptive technology plays
a significant role in the economy. Having knowledge what drives the rate of disruption is useful
to predict results. However, it does not change the manner disruptions should be handled. The
quick disruption is not basically different from the others. They do not have different causal
methods. Additionally, they do not need conceptually different replies (Nagy, Schuessler and
Dubinsky, 2016)
4.3 Benefits of disruptive innovation for business
Schwamm (2018) stated that the benefits of disruptive innovation for an organisation include low
margin (mostly in starting) and high risks. It either disrupts the current market or makes the new
marketplace segment in a current one. It is evident that the sales argument, as well as the
measure of value, is normally altered. The smartphone includes new innovations along with a
new business model. It takes place slowly at first until attains the mainstream. Afterwards, it
develops exponentially. The main purpose of the study has been to get knowledge of the
connection between the success of entity and smartphone technology. Making disruptive
innovation includes great risk and incumbents do not certainly have the plan for disappointment.

RESEARCH PROJECT 8
Alternatively, they are not utilised to consider the initial effort at commercializing disruptive
technology as a learning perspective. As an alternative, they require to keep the price of shares
and emphasis on the most gainful customer segment (Christensen, et. al, 2018).
Further, the smartphone is helpful in increasing the market through more innovation. It is useful
in establishing a culture that welcomes changes instead of avoiding them. It also refurbishes and
revamps the present set of traditional approaches as well as methods. Lipusch (2018) explained
that it is also valuable to recognise individuals who accept modifications and who have the
idealist approach towards technology. In this way, the smartphone is a technology that can
replace the current method. In other terms, this technology has the capability to make the latest
marketplace by discovering the new set of clients. In addition, this technology has a great role in
creating business over upcoming periods. This has the power to compress the typical hierarchical
structure of the organisation by authorising more reflectivity to an advanced administration. The
term is still relatively new. This term is utilised to define gadget as well as electronic
engineering. Even though, it can be applied at service as well as the concept (Zach, Nicolau and
Sharma, 2020).
Furthermore, in the present world, there is a constant shift of preferences as well as the
requirements of the clients. Henceforth, Amazon is required to have experience continuous
transformations in marketplaces. Wilson and Tyfield (2018) stated that the company has
knowledge that the successful business model of the present world can be out-dated in the
upcoming time. Instead of remarking it as the ‘obstacle’, the smartphone provides the
opportunity of development as well as the progress of organizations. The entity needs to
motivate as well as embrace the breakthrough concept and approach to cater to ever-altering
requirements of clients. Pandit et. al (2018) stated that the company has to shelve old practice of

RESEARCH PROJECT 9
investing in sustaining innovation and try to utilise the capital for disruptive innovation. It is a
correct period while organizational structure along with approaches would be evaluated,
replaced, and compacted. Therefore, the latest innovation in a smartphone would continue to
develop over a period. It would dominate the revenue streams in a huge manner.
5. Research methodology design and approach
The research methodology chapter facilitates depth knowledge in relation to the techniques,
methodologies, and manners to conduct the investigation in a logical way. There are two
categories of research method such as quantitative method as well as the qualitative method. The
quantitative research method emphasizes objective measurement as well as statistical, accurate,
or numerical evaluation of information collected through the poll, questionnaire, along with the
survey, or through changing pre-available statistical information utilising computational tools.
For this research, the research scholar utilised qualitative method. The quantitative research
makes deal with number, logic, as well as the objective stances. Additionally, the quantitative
method puts focus on numeric and unchangeable information as well as detailed, convergent
reasoning in place of divergent reasoning.
Further, the research scholar can explain the facts as well as data in a methodological way by
following correct research approach. There are two types of research approaches such as
deductive research approach as well as an inductive research approach. For this research project,
the researcher used inductive research approach. The inductive approach is appropriate for a
researcher because of its relevancy with interpretivism research philosophy. The inductive
approach increases the subjective understanding in relation to the concern of the research. This
research approach helps the researcher to get information along with related data. It is useful for
the researcher to get a positive conclusion about the impact of disruptive innovations on the

RESEARCH PROJECT 10
achievement of the business objective. Alternatively, the deductive approach is not useful for the
researcher because the researcher has not developed the hypothesis to respond to the questions
related to research (Dijk, Wells and Kemp, 2016).
Furthermore, there are 2 categories of research method such as primary methodology and
secondary data collection method. The research scholar used the primary data collection method
to collect information. The application of secondary data collection technique is helpful to
generate the depth and theoretical understanding in relation to the research concern. In the paper,
the sources of primary data collection are valuable to create a direct relationship with the
members to get their beliefs in relation to the research issue or problem. There are various
research strategies such as interview, survey through questioners, case study, action research, as
well as the focus group. In this research project, the research scholar used interview and survey
thorough questioners. The researcher conducted an interview with 10 managers of Amazon in the
United Kingdom. Additionally, the research scholar conducted a survey on the population of
different locations of the United Kingdom. These research strategies such as interview and
survey through questioners help the researcher to collect detailed information. It is important to
collect appropriate and valid information in relation to the research concern. These methods are
also advantageous for the research scholar to gather the opinions from targeted participants about
the impact of the smartphone on the achievement of business objectives. There are some types of
sampling approaches. These are non-probability sampling and probability strategies. It is helpful
for the research scholar to select proper observation from the targeted people. In this study, the
probability-sampling method is a method of sampling that is operated in relation to the random
choice of members (Jeffery, Cooper and Buchanan, 2017).

RESEARCH PROJECT 11
6. Analysis
6.1 Data analysis method
After the collection of data, research scholar needs to evaluate data to create reliable and
appropriate results in relation to the research subject matter. The data analysis method is also an
important chapter of the research project. The data analysis is considered as a procedure of
cleaning, transforming as well as modelling information to explain relevant information for
taking decision-related to business. The data analysis is a method of systematically implementing
statistical as well as logical methods to define and illustrate, condense and recap, and assess data.
An important factor in making sure data integrity is the correct and proper evaluation of findings
related to research. In this relation, there are various data analysis methods that can be adopted
by the research scholar. The main objective of the data analysis method is to extract significant
information from data and making decisions depended on the data analysis. These data analysis
methods are statistical analysis, content analysis, conversational analysis along with disclosure
analysis (Neil, 2018). The data are gathered to make proper along with the effective assessment
of collected data. In this report, the statistical data analysis technique is implemented to assess
the data. With the help of this method, the research scholar is enabled to depict the data by
drawing chart, graph along with the diagram. This data analysis methodology is useful to
interpret the significance behind responses of selected manager and employees of Amazon in the
United Kingdom (Guttentag and Smith, 2017).
In this relation, the research scholar used MS-excel software to interpret the results by graphs
along with charts. In addition, the charts, graphs as well as diagrams are helpful for the readers to
get a comprehensible understanding as well as knowledge in relation to the impact of disruptive
innovation on objectives of the industry. Moreover, statistical Analysis states "What takes