Marketing Management: Amazon's Marketing Plan & Environment Analysis

This report provides a comprehensive analysis of marketing management, focusing on Amazon as a case study. It includes an internal environment analysis using SWOT, examining strengths, weaknesses, opportunities, and threats. The report also analyzes Amazon's marketing plan, detailing segmentation, targeting, and positioning (STP) strategies. Furthermore, it covers the marketing mix (4Ps: Price, Product, Place, Promotion) and offers recommendations for business improvement. The analysis highlights the importance of marketing management in achieving competitive advantage and increasing sales, with specific examples from Amazon's operations. This report provides an overview of the key marketing strategies employed by Amazon.

Marketing
management

Executive summary
This project includes a brief description of marketing management which is important
part of a business in order to increase the sales. This report covers a brief analysis of marketing
activities which are performed by a business firm. In this report, a critical analysis of marketing
management is performed along with internal environment analysis that is SWOT. This report
covers a brief analysis of marketing mix along with techniques of segmentation, targeting,
positioning. In order to prepare marketing plan for a company there is major role played by STP
approach. In marketing plan there is immense contribution of 4Ps which are Price, place,
promotion and product.

Table of Contents
INTRODUCTION ..........................................................................................................................4
TASK 1............................................................................................................................................4
Internal environment analysis.................................................................................................4
TASK 2............................................................................................................................................7
Analysis of marketing plan with segmentation, targeting, positioning .................................7
TASK 3............................................................................................................................................9
Marketing mix analysis of Amazon.......................................................................................9
TASK 4..........................................................................................................................................11
Recommendations................................................................................................................11
CONCLUSION..............................................................................................................................13
REFERENCES..............................................................................................................................14

INTRODUCTION
Marketing management is considered as the backbone of a business entity which is
essential in development of an organisation. Marketing play a major role by development of sale
of products and services which provides profit to the company (Chung, 2017). Marketing
management is necessary for increasing revenue and sales of a business. In the era of stiff
competition between different companies, it is essential for a business to focus on marketing
management in order to gain competitive advantage. This report includes a brief SWOT analysis
of a multinational company along with analysis of the marketing plan. In this report,
segmentation, targeting and positioning are explained in a systematic manner. In this project, a
marketing mix analysis of a company is performed in a precise manner and various
recommendations for a business firm for survival at the marketplace. In this report, example of
Amazon company is taken into consideration for better understanding marketing management.
Amazon is a multinational e-commerce company which was established in 1994 in United
States. The company is a giant multinational e-commerce company which performs e-commerce
related operations in many countries. Amazon performs various operations in above 100
countries and is headed by Jeff Bezos. Amazon is a leading e-commerce company which is
performing operations in a systematic manner by delivering various products on reasonable price
at doorstep..
TASK 1
Internal environment analysis
In the recent times the importance of internal environment is increasing day by day and
most of the companies are involved in analysing internal environment in a crucial manner.
Marketing management of Amazon is dedicated to provide effective analysis of marketplace in
order to increase profitability. Amazon has hired professional marketing staff to analyse internal
environment and its elements for running all the business operations in a smooth manner (SWOT
analysis of amazon, 2021). SWOT analysis is a major tool which is adopted by many
international and national companies to conduct internal environment analysis. With the
application of SWOT analysis a company can achieve competitive advantage. SWOT analysis
also helps a company to overcome various challenges in the market and also helps Amazon to

minimise risk associated with the operations. The SWOT analysis of Amazon is mentioned
below:
 Strengths- It is compulsory for a business entity to have strengths in order to face many
challenges that arise during business functioning (Coogan, 2017). A business entity must
develop a precise strategy which is essential in identification of different strengths of a
business. The major strength of Amazon is its supply and logistics management which
helps in delivery and management of goods and inventory. It is essential for an e-
commerce company to hire effective staff which is helpful in maintaining inventory of
the business. Amazon have a major strength which is human resource management of the
company. The warehouse management of Amazon is also good because the company
mainly focus on providing products with utmost priority. Amazon's human resource
management performs the technique of performance management in order to gain
competitive advantage. One of the other strength of Amazon is warehouse management
which is effective in storing inventory for the business organisation. The company also
has strength in logistic management which mainly defines that management of goods
transportation is best in the company.
 Weakness- In the corporate world, there are several weaknesses of a company which
makes it backward in the market competition. It is essential for a company to overcome
different weaknesses and challenges in a short span of time to survive at the marketplace.
Amazon takes help from strategic management to develop a crucial strategy which is
helpful in development of business in a precise manner. The major weakness of Amazon
is delivery management as it is sometimes difficult for the company to manage delivery
of goods and services. It is essential for the company to focus on marketing management
for better performance at the marketplace (Coogan, 2017). Amazon is now hiring skilled
and trained employees for delivery management to develop delivery operations. The
company takes assistance of various developed consultancy firms in order to develop a
perfect delivery system. Another major weakness of Amazon is related to development of
a crucial strategic management department in order to minimise risk associated with the

business. The Amazon company try to regularly focus on strategic management for
developing a crucial business strategy.
 Opportunities- In the market, Amazon has various business opportunities which
includes expansion of business. Amazon performs operations in various countries and the
main opportunity available to the company is selection of new country for performing
business operations. Amazon can take assistance of information and technology in order
to start business operations in new country. Another major opportunity available to the
company is it can also develop a perfect strategy which is beneficial for the company to
survive at the new marketplace. In order to enter a new country and to start operations in
a new country Amazon can hire skilled and trained employees.. The Amazon can also
take help of consultancy firms which are present in the new market to develop different
strategies which are helpful in expansion of the business. The another major opportunity
available to Amazon is to use artificial intelligence in its operations. Artificial
intelligence is a best way which is facilitated by professional IT experts to perform major
business operations. Most of the successful companies at the marketplace take the help of
IT equipments to perform operations in a smooth and effective manner (Dogu, 2018).
The company should also develop a professional strategy for marketing by taking advice
of top, medium and bottom level management to expand operations in current and new
market.
 Threats- In the global market there various threats that are available for the multinational
companies. The major threat for Amazon is from new and existing competitors like
Flipkart, E-Bay and Ali BABA. These players in international market are trying to
compete with Amazon with full enthusiasm and strategy. It has now become compulsory
for Amazon to develop a precise business strategy that is effective in developing an
approach for eliminating competitors. Another threat for Amazon is government policies
in the countries where the company performs different operations. The stability and
instability of government in many countries directly impact on the performance of the
company. It is necessary for Amazon to develop a professional business strategy which is
helpful in eliminating different competitors (Freyer, 2018). Amazon also has threat from
upcoming competitors in the international market. It is essential for the strategic
management of the company to briefly develop a business strategy which is helpful in

growth and development of the business. Cyber security is a main topic which can impact
on the digital business of Amazon.
TASK 2
Analysis of marketing plan with segmentation, targeting, positioning
The marketing plan is an essential document which carries all the necessary information
related to marketing operations. The marketing plan is considered as the main element of
business functions which is helpful in increasing sales of the company. Amazon chooses the best
strategy for application of STP approach in order to develop a good marketing plan. In a
company, marketing plan is prepared by marketing management and strategic management in
order to achieve major organisational goals (Grant, 2019).
Illustration 1: STP approach

The STP approach is very much beneficial in the development of a business. STP approach for
Amazon is mentioned below:
 Segmentation- In the marketing plan this is the initial stage in which major operations
related to dividing the market into different segments are performed. The marketing
management of a company divides segments of different markets on the basis of various
situations. The demographic segmentation mainly consists of different demographic
factors like gender, marital status and educational qualification. It is one of the major
functions of Amazon to develop market segmentation plan.. The company also performs
segmentation of market on the basis of psycho-graphic factors which majorly deals with
values and lifestyle. It is major responsibility of a company to develop a precise
marketing plan in order to gain competitive advantage at the marketplace. Most of the
companies perform segmentation of the market every in order to formulate dynamic
business situation. Amazon also takes support of marketing department in order to
develop a segmentation based marketing plan.
 Targeting- In the era of hard competition between different companies, it is essential for
a business entity to develop targeting of customers. It is essential for the company to
develop target customers for increasing sales of the company in a short period of time.
The marketing department of Amazon should target different types of customers with
maximum priority to target customers (.Jia, 2019). The company must evaluate and
analyse valuable customers to sell products to different target customers. Most of the
companies in international and domestic market develops a professional business strategy
which is helpful for growth of business. The target customers of the business should be
regularly selected in order to develop different business strategy. Amazon targets youth
by majorly attracting youth by providing prime services.
 Positioning- The positioning of a product is necessary to be performed in order to set a
particular place for performing sales operations. It is essential for an organisation to
locate appropriate positioning of the product in order to increase revenue of the company.
It is the whole process of selecting appropriate process in order to sell product to target
customers. In this approach, a positioning map is prepared by the company to develop
unique selling proposition. The positioning is compulsory in management of a business to
develop effective positioning of the product. It is essential role of marketing management

to develop appropriate and precise strategy for business development. Marketing
positioning takes into consideration various techniques to influence perception of
customers towards products of the company. The marketing management of Amazon
apply positioning in order to achieve unique selling preposition in product selling.
TASK 3
Marketing mix analysis of Amazon
Illustration 2: The Marketing Mix Elements, 2021

In today's competitive world it is compulsory for a business organisation to perform and develop
a marketing mix analysis. The marketing mix analysis is helpful in developing marketing plan
and approach for performing marketing related activities. Many successful international
companies conduct a brief analysis of market to develop various business opportunities
(Lindgreen, 2020). It is major responsibility of marketing management to take help of market
experts to conduct marketing mix analysis. The marketing mix analysis of Amazon is given
below:
 Price- The price of product is the final value of a commodity which is adopted and
formulated by top level management of the company. It is essential for a business firm to
keep reasonable price of product in order to attract large number of customers for the
business. The price of a product includes profit margin of the company and cost of
production. Amazon decides best prices for its different products in order to achieve sales
targets of marketing. The company Amazon also decides minimum profit margin on
different products to increase sales of products.
 Product- Product is considered as the final commodity produced by a business firm in
order to sell it to different customers. A company should develop quality products in
order to achieve customer satisfaction. Amazon sells quality products and services in
global market to take maximum customers for business development. The products which
available on Amazon's website are quality products at reasonable price. Amazon also
develops effective customer management to develop bond with different customers.
 Place- In the functioning of a business in the market, place is considered as the major
geographical location from where a company can operate easily. As Amazon is an e-
commerce company it has to choose virtual website for performing different operations.
The selection of place for the business is an important task for strategic management
(Marinchak, 2018). The company was started in a garage and in today's time it is number
one e-commerce company in whole world. In the functioning of Amazon most of the
business organisations develop a business planning in order to operate in different
countries. The main task of Amazon is to analyse whole market situation and formulate
an accurate plan that is essential in business development.
 Promotion- The promotion is considered as the most crucial element which is available
to the company. Promotion consists of advertisement and publicity of the product and

services of the company. In promotion, company tries to attract maximum number of
customers towards a particular product. In the recent times, Amazon takes assistance of
social media advertising in order to attract customers. The company also prefers internet
to spread awareness about different products and services. Amazon also gives focus on
several policies and plans which are helpful in development of different business
activities. In the recent times, company has taken into consideration effective tools and
techniques of internet advertising (Parsons, 2018). It is essential for a company to frame
different strategies which are related to development of operation in order to survive at
the marketplace. Amazon has also hired skilled and trained marketing management for
performing different marketing related operations.
TASK 4
Recommendations
In the competitive world of e-commerce market, it is recommended for Amazon to
choose best techniques like performance management, principles of management in order to
perform a good business in several countries. In order to maintain goodwill in the market, a
company has to perform ethical and honest business. The human resource management of a
company should follow performance management in order to maximise performance of different
employees. It is recommended for Amazon to give extra focus on marketing activities in order to
maximise sales of the business. Amazon should also focus on various targets and also set a time
period for achievement of different targets. In the corporate world to minimise risk associated
with operations, a company should take assistance of strategic management. It is recommended
for Amazon to hire skilled and trained employees for handling different types of customers in
this competition world (Şengün, 2018). The company should also focus on advertising through
the use of social media to reach different customers. It is recommended for the company to
conduct PESTLE analysis in order to analyse external environment and factors that are affecting
it.
It is recommended for Amazon to develop a precise business plan which is helpful to the
company in achievement of long and short term business goals. The company must focus on
annual business reports to improve performance of different departments and ensure that it is
performing ethical business. A company should rectify all the past mistakes and it should have

an optimistic approach in order to minimise risk associated with the operations. It is also
recommended for Amazon to develop a precise plan which includes business targets. It is also
essential for Amazon to develop and take support of risk management system in order to
minimise risk associated with the business. It is recommended for the company to take assistance
of expert consultancy firm in order to grow at the marketplace. It is recommended for the
company to take advice of professional seniors in order to grow at the marketplace. Most of the
successful companies in international market takes assistance of seniors and subordinate
members in order to develop market. Amazon should follow business plan which is to be design
and developed by experts in order to develop appropriate strategy. Most of the successful
companies in international marketing-management provides effective training to marketing staff
to maintain optimum performance. The business organisations should also focus on developing
effective business strategy which is also helpful in career planning and development. It is the
major responsibility of marketing management to take assistance of information and technology
equipment to grow at the marketplace (Wang, 2020). It is recommended to Amazon that it
should formulate a precise plan for the development of business in a short period of time. Most
of the successful companies in international and national market apply various management
models and theories in order to increase effectiveness and efficiency. The policies and
procedures which are formulated by the marketing management are effective in development of
a business entity. It is also recommended to Amazon that it should plan in a systematic manner
for precise development of the business. Amazon should also provide effective training to its
employees for effective development of business.

CONCLUSION
From the above stated report, it can be concluded that it is essential for a business
organisation to perform marketing mix analysis for effectively surviving at the marketplace. This
report concludes that marketing management play a major role in the organisation by developing
an effective approach at the marketing operations. This report also concludes that in a company it
is necessary for the management to perform SWOT analysis for leading the marketplace. The
above summary also concludes that it is essential for an organisation to develop an effective
strategy for marketing operations.

REFERENCES
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