Marketing in a Digital Age and Corporate Social Responsibility: Amazon

This report provides a detailed analysis of Amazon's marketing strategies, focusing on its business opportunities and corporate social responsibility (CSR) initiatives. It explores Amazon's approach to capturing market share, identifying risks and opportunities in new markets, and the impact of its business model on social and economic environments. The report includes a marketing project proposal for the launch of the Whole Foods and Amazon cooperation, covering market research and operational marketing strategies. The report also examines Amazon's use of digital marketing, including its expansion into e-commerce, the introduction of Amazon Go stores, and its efforts to promote organic and sustainable products. The analysis highlights Amazon's focus on customer needs, technological advancements, and its commitment to environmental responsibility and ethical business practices.

Marketing in a digital
age and corporate
social responsibility

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Table of Contents
INTRODUCTION ..........................................................................................................................4
TASK...............................................................................................................................................4
Q.1.Business Opportunities for Amazon and how it capture it? ...............................................4
Q.2. Identifying various risk and opportunity for Amazon at the time of taking entry in the
new market?................................................................................................................................6
Q.3 Prepare short project of marketing for launching the Whole food and Amazon
cooperation, from market research to operational marketing.....................................................8
Q.4. Analyse the impact of new business model on the social and economic environment?...11
CONCLUSION .............................................................................................................................12
REFERENCES

INTRODUCTION
Marketing includes various activities related to purchasing or selling the products and
services. It also include various promotional campaigns to create awareness about the product
items. Corporate Social Responsibility is a self regulatory body that support a organisation to be
accountable socially to its shareholders, audience and also for itself. With the help of CSR
programs or volunteer efforts company can provide benefit to society at the time of promoting
their respective brands in the market. Their activities develop a strong bond companies and
workforce. It is important for customers and corporations both. The organisation that was
selected in this assignment is Amazon. It is an American multinational technology company that
focuses on cloud computing, artificial intelligence, digital streaming, e commerce. It was
founded in 5 July 1994. It has its headquarters in seattle, Washington, United States. The topics
that are cover in this report are explanation of business opportunity for amazon and how it
capture it, identification of risk as well as opportunity for concern at the time of taking entry in
the new market. The affect of new model of business on social or economic environment. Report
should also be prepare to launch whole food and amazon cooperation in this project.
TASK
Q.1.Business Opportunities for Amazon and how it capture it?
Business opportunities involves the research of new market and target customer in order
to launch a new product, which is high in demand and company meets the expectation of the
customer. This is will help to grow in the new market with potential customer. Amazon is a top
leading company with wide range of products, In this context....Amazon have uplifted their
market share with 28.8% in 2018 to 30.1% in 2019 in UK. Amazon has increased the e-
commerce by $39bn in sale. In UK, Amazon operates its supply chain and logistics operations as
Amazon UK service Ltd., with income more than 70 million pounds as of December 2020. Total
no. of employees working in Amazon UK is 22 thousand (Churchill , 2017.).
Company have done the market research for the business opportunities and it is analysed
that books are in high demand and amazon has take this opportunities for granted and plan to
open his store in UK. In which company plans to offer a wide range of books with new addition
at affordable prices. Company also offer e-books to their customer on online platform, which is

ease in reading of different books in single platform. Amazon Books retail is owned by the
online retailer Amazon. Online sale of books effects the physical book store in UK, an
spokesperson dismissed the notice that Amazon Books would interfere with independent book
stores. UK is a developing country which focuses on advancement of technology and
introduction of E-books ( Giraldo Oliveros, 2016).
Company offers a convenience store named, Amazon Go operated by the online retailer
Amazon. These are semi automated store, In which customer are able to purchase a products
without checked by cashier or using self check-out station. Company opened its first store in
2016. which is in the company's day 1 building. The store sells product such as canned food,
meal kits, limited groceries and liquor. Amazon introduced this technology to make cashless
transaction and make advance use of technology. Company uses featured technology like use of
computer vision, deep learning algorithms etc. for the betterment of the Amazon Go. Amazon
Go do not have cashiers, they have sensors and cameras and customer are automatically charged
for goods when customer leave the store. In UK, people have a high standard of living and most
of the population is using technology which are in trends, this makes the easy and beneficiary
introduction of Amazon Go. This will help to grow the organisation and making UK. A
developing and automated service user.
There is a product Amazon Food Market, which offers product free from hydrogenated
fats and artificial colours, flavours and preservatives. This is a organic grocer, which is known
for its organic selections. Company made the minimally processed food item, Also announced
that there is no intent to sell met or milk from cloned animals or their offspring. The aim of the
organisation to be environmental friendly and ecologically responsible. In order to make clear
transparency in purchasing, company offers in-store rating system for various departments.
There is a policy that company will contribute its 5% of net profit to charitable causes. In UK,
people are aware of organic product and their manufacturing, so it would be more good for the
Amazon to introduced the semi-automated stores, this will help in countries growth and
organisation to be retain in the business. These stores have eliminate the use of disposable plastic
grocery bags to protect the environment and conserve resources. This will contribute in corporate
social responsibility that company is protecting the environment. Amazon capture this market by
doing market research ans analysis of consumer need that directly effect the organisation's
growth.

By targeting the potential customer with proper market development help to reach the
profitability for the company. Amazon is the organisation which target the right customer and
market for their product. It will help to increase the market share and brand image of the
organisation ( Cornwell, 2020)..
Q.2. Identifying various risk and opportunity for Amazon at the time of taking entry in the new
market?
Risk and Opportunity for the organisation '' Amazon ''.
Risk
1. Risk of failure is generally face by Amazon because they provide home delivery
facility to their customer but some of consumers like to touch or smell their
product before purchasing it.
2. There is a risk of controversies that destroy the image of brand as large audience
react negatively and boycotted their respective sites.
3. There is also great risk of cyber crimes are face by Amazon as rapid rise in
cybercrimes can make negative impact on network security system of the concern.
4. Risk of Imitation is great challenge for Amazon because many competitors have
enter in the market with similar products and services that increase the chances of
diversification. Thus it makes negative impact on sales as well as on revenue.
5. Threat of economic recession is face by organisation because if economic
uncertainty prevails in the environment it make negative impact on sales that
tends to affect profit also .(Hayami, 2016.).
6. Risk of fake reviews destroy the image of the brand and increasing the chances of
loosing the customer. And the problems has increased in present time due to
pandemic. Reviews reflect the quality of the services or products and audience
heavily believe on review to buy or deal with the brand.
Opportunity
1. Large demand of books globally is a great opportunity for the organisation ''
Amazon'' to expand their business by introducing stores for providing huge
variety of books as people in United Kingdom love to spent time by reading
books and novels so it a opportunity for Amazon to grow their business by selling

books at reasonable cost so that every one can afford to purchase in this way it
can easily capture the huge market area (Hilker, 2017)..
2. Trend of online marketing is the good opportunity for company to increase their
business and survive in the competitive world. As when the Amazon came to
make first step towards online marketing. And after two moths it earned around
20,000 $ in very week. It is widely accepted by audience
3. The merger between the two famous brand like Whole food market and Amazon
give excellent opportunity for the company to increase their customer base by
capturing large area of the country. As Whole food market is the growing natural
& organic food supermarket in United states. It has around 460 stores in United
Kingdom, Canada and United States. Their annual sales are also around 16 Billion
dollars and on an average eight millions audience visits every week. It stands in
six position in grocery store. So the tie up of both famous brand give the
opportunity to generate huge revenue ( Christopher, 2016.).
4. By placing sensor at the exit door that automatically finalize the bill online in the
customer Amazon account is also attract large audience because the advance
technology save the time of audience. Customers are not like to stand in a queue
for long time. So the technology attract customer and give opportunity for
business growth.
5. Availability of huge variety of weird chinese beauty items in their amazing
websites is give opportunity to attract large female audience because every
women wants to look beautiful so it can easily increase their sales and revenue.
6. To expand various physical store Amazon can increase competitiveness against
big box retailer and attract and engage huge public with the brand.
7. More acquiring of company that deals with e commerce can expand the market
share of the company and decrease the level of competition in the market as it is
an opportunity for Amazon to grow business in this way.
8. Amazon has excellent opportunity to improve various measures of technology and
organisational policy to decline counterfeit sales. One counterfeit sales case came
into the light at the time when Amazon sold a fake My Critter Catcher. The
product was sold for $ 1 lower than the main item.

Q.3 Prepare short project of marketing for launching the Whole food and Amazon cooperation,
from market research to operational marketing.
Marketing Project: It is an assignment in which marketing strategy is outlines for the
near month, year, days. It overviews advertising objectives and business marketing. It covers
description of the business related to current market position. It shows deadline when the work
must be completed. In this Tracking of the performance is to be done by KPIs. All the deep
details of target audience is to include in this report and what was the requirement of customer is
also be covers in it. Marketing tools that is adopted to create awareness is the main topic that
include in the respective assignment.
Importance of marketing project
It give support and help the marketers to reach out to large majority of target customers
that tends to lead higher sales or great profit margin. It also help marketers to identify and
understand the plan properly. Documenting also benefits the company to recover the cost.
The Organisation launch the Whole Food. It is the natural as well as organic food
supermarket in US. It is the sixth largest grocery store. For Launching Amazon adopts various
strategies of marketing as these are explain in detail in the below paragraphs.
Traditional Marketing Media Such as banner, newspapers , television, magazines,
telephone directories, radio, paid print advertisement, new releases, commercials are various
tools that was selected by Amazon to promote their new launching. Advertising through
publications and network is expensive tools of marketing (Chernev, 2020.).
Positive Impact:
 Maximum out reach: It becomes easy to target huge customers simultaneously.
 Effect of Brand endorsement: It makes psychological impact on traditional
media great and personalized effect as famous celebrities are doing brand
endorsement.
Negative Impact:
 Expensive: There negative impact is that it is expensive mode and it is a one way
approach so it not make communication effective.
 Forged strategy: It is a forced method of selling a product, as audience need not
compulsorily seek the product.

Digital Marketing media: Amazon also use this media to reach potential consumers for
that company do mobile marketing, interactive on online advertisement, emails
Positive Impact:
 Money saver: If believe to spend less and save more. Pay for click is choose by
the company as it is easily affordable. The same is apply to search engines, email
campaigns and social media.
 Digital media can deliver sales: As through this mode people get the information
more quickly. As digital marketing can give early sales return. Digital marketing
can beneficial to business reap a quick and bountiful harvest.
Negative Impact:
 It can be time drain : Audience can send a thousands of messages in a day. So
most of the time is spent by marketers in replying or reading.
 It can devolve on operations of damage control: It is the virulent complaints of
small owner of business who grow by the scammer, reviewers, trolls, whose
single purpose leads to stirring up trouble.
Social Media: with the help of social media Amazon can develop an interactive, and
creating online relationship. Through blogging, sharing, tweeting, posting on various websites of
social media like Twitter, Facebook, Instagram it do promotion and create awareness.
Positive Impact:
 Better customer satisfaction: Audience can see the product they are using on
social media as it develop two way communication also remark their complaints
and give suggestions that leads to increase satisfaction of audience (Hyder, ,
2016.).
 Comparatively cheaper: It is less expensive as compare to traditional mode of
media. It is more convenient for small or medium business.
Negative Impact:
 Lack control on feedbacks: It also help to ruin brand image and the bad part is
that brand can't controll the negative remark on feedback.

 track limited audience: It is not possible to capture customers because it is not
necessary that all customers is active on social media so this mode of promotion
loose large audience that affects negatively on sales.
Promotional Marketing Tool: by giving advertisement on brochures, websites Amazon
promote their new business. By creating attractive images, videos and sites is a good method of
attracting visitors.
Positive Impact:
 It creates awareness: It helps to imprint impressions in the minds of Audience in
this way it promote product and create awareness.
 It help to generate huge revenue by increasing sales: Because it force customer
to buy their products and if audience buy their product its sales and revenue
increase.
Negative Impact:
E commerce: It is not the easiest platform but it helps you to get your business up. As
Amazon running at all the time that gives convenience to the audience because services are
available all the time so the organisation adopt this method for business promotion.
Positive Impact:
 Cost Reduction: Cost reduction can be possible due to elimination of distributors
, personal expenses. Also e commerce does not require store to house stock so
rental cost for go downs also decrease.
 Energy consumption: The positive effect of E commerce is that it save energy.
Customer who prefer online as compare to going stores because it saves the fuel
expenses.
Negative Impact:
Security: The negative is that threat of security of audience personal information .
Because when customer purchase through online mode, they typically input the credit card
number as well as other information of self. Unauthorised person could assess the information
with the help of flaws that exist in the merchant computer. Merchants become vigilant about
confidential information security than they were in the initial days of e commerce.

Privacy: Retails through e commerce presence can receive lots of confidential and
important information from websites of visitors. By setting up electronic trackers called cookies
that tracks the surfing pattern of visitor. E commerce merchants can create profile of online
customers. This allow hem to target advertisement to consumer based on what the merchants
believe to be their needs. Some critics says that the respective activity intrudes on consumer's
privacy (Blakeman, 2018.).
Q.4. Analyse the impact of new business model on the social and economic environment?
THIS NEW MODEL HAVE SERVEL IMPACTS ON SOCIAL AND
TECHNOLOGICAL AND ENVIRONENTAL ENVIRONMENT ARE FOLLOWS:
 Introduction of E-Books- This is the product in which customer can read the book from
online stores. It can be paid form or free. With the use of e-books company announce
their strategy as organisation is using Eco- friendly product and saving the paper. These
are the social benefits of E-books, On same side company is also developing the
technology by the introduction of E-BOOKS. It will help in technical environment to
grow and deal with the updated technology (Jacobson, 2019). There is double and
positive impact of e-book in the environment that it will help for the environment. Books
are first teachers for every learner to learn, so amazon is performing well in the retailing
industry.
 Elimination of plastic bags- In convenience store, Amazon is not using the plastic bags,
which will effect and pollute the environment. This is the social benefits for the
environment by not using plastic bags, which are toxic in nature. Amazon is doing
Corporate Social Responsibility as using eco friendly product. With the introduction of
reusable bags, Organisation is using new technology for manufacturing of paper bags.
This will benefits in technological environment for the better and advance use of
technology. This will contribute to GDP of UK and provide employment in the country.
Entry of new product will open new market target of customer and help to grow in the
country with the retention of the product.
 Amazon contribute 5% of profit to charity- Amazon is a big organisation which works at
large scale and It is corporate social responsibility to contribute for the social welfare.
This will help in social benefits for the individuals. Amazon is providing various

employee benefits for the employee welfare as company provides full medical facility,
working meals, insurance etc.
 Convenience store offers organic products- Introduction of these store make ease use of
technology of purchasing without contacting with cashier. Convenience store sell
prepared food, limited grocery product and liquor. Company produce natural product
with organic material. Company has generated self-generated checkouts. All the amount
is being paid when buyer leave the store. Advance use of technology make growth of
organisation as well the company. Less use of manual workers will leads to less
investment for employee wages
(Baker, 2016).
CONCLUSION
After analysing it is to be conclude that various risk and opportunities are face by the
organisation when they try to launch a new product or brand in the competitive market. By
adopting various marketing tools promotion for the brand as well as for product is done by the
smart marketers to create awareness. With the help of Social media, promotional campaigns,
Digital marketing media Amazon can do advertising for their product.