Case Study: SWOT Analysis of Amazon's Business Strategy and Model

Verified

Added on  2022/08/13

|5
|691
|25
Case Study
AI Summary
This case study provides a comprehensive SWOT (Strengths, Weaknesses, Opportunities, and Threats) analysis of Amazon, a multinational technology company and a leading e-commerce retailer. The analysis examines Amazon's competitive advantages, such as its partnerships with logistics providers like UPS, and the role of Amazon Prime in driving revenue. It also identifies weaknesses, including the imitable nature of its business model and limited physical presence. The study explores opportunities stemming from the growth of online retail and the potential for expansion. Finally, it addresses threats such as government regulations and competition from rivals like Walmart and eBay. The case study concludes by summarizing Amazon's strengths and the challenges it faces in a competitive market, highlighting the importance of adapting to maintain its position.
Document Page
Running head: SWOT ANALYSIS OF AMAZON
SWOT Analysis of Amazon
Name of the student
Name of the University
Author note
tabler-icon-diamond-filled.svg

Paraphrase This Document

Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
Document Page
1SWOT ANALYSIS OF AMAZON
Table of Contents
Introduction................................................................................................................................2
SWOT Analysis of Amazon.......................................................................................................2
Conclusion..................................................................................................................................3
References..................................................................................................................................4
Document Page
2SWOT ANALYSIS OF AMAZON
Introduction
SWOT Analysis helps in assessing the current position of a company that can help a
company in devising a new strategy. Amazon refers to the multinational technology company
of America that have emerged to become an influential cultural force within the world. This
report throws light on the strength, weakness, opportunities along with the threats of Amazon
that is crucial for the marketing of the company.
SWOT Analysis of Amazon
Strength- The strength of Amazon lies in the fact that the company have made the
partnership with the different logistics partners like the UPS, Blue Dart along with the Gati
that have greatly helped in promoting the products of Amazon. There are a large number of
the sellers who are the main partners of Amazon as they sell the products with the help of the
popular platform (Garner, 2018). The strength of the company resides in the fact that
Amazon Prime acts as the primary revenue stream that have helped in the expansion of the
company. Amazon can take recourse to backward integration that can expand the production
of the in-house brands that can differentiate the offerings of the company.
Weakness- There are various kinds of internal strategic factors that can be said to be
the weakness on the part of Amazon. The business model of the company is imitable that can
pose the challenges for the survival of the company in the present age (Torres, Behe &
Barton, 2018). The online retail business have become very common and this can be said to
be a weak factor for the company. The company have very limited number of the physical
stores that can be said to be a drawback of the company. It can prove to be inconvenient for
some customers that can make the company lose the essential amount of the revenue that can
hinder prospect of growth of the company.
Document Page
3SWOT ANALYSIS OF AMAZON
Opportunities- It have been found that there around $ 3.46 trillion customers who are
active in the online platforms in the present age and it have helped in furnishing the
opportunities for the popularity of Amazon. The e-commerce penetration have grown to a
steady pace and this can provide the opportunities for the growth of Amazon.
Threats- There are threats in the path of Amazon that can hamper the profitability of
the company within the market. The government regulations can threaten business
proceedings of the company within the framework of some critical countries. The company is
facing the aggressive competition from other retail organizations like the Walmart along with
the E-bay that can act as a threatening factor for the survival of the company (Laemmel, Alon
& Vega, 2019). The new entrants can imitate the business model of Amazon that can
challenge the current position of the company.
Conclusion
Strength of Amazon resides in the fact that the organization have carried out
partnership with various kinds of the logistics partners that can promote services of company
in the market. Amazon have to face the stiff competition from the rivals like Walmart and E-
Bay which can pose the challenge for sustainability of company.
tabler-icon-diamond-filled.svg

Paraphrase This Document

Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
Document Page
4SWOT ANALYSIS OF AMAZON
References
Garner, B. A. (2018). Amazon in the Global Market. Journal of Marketing &
Management, 9(2).
Laemmel, J., Alon, I., & Vega, D. (2019). Alkosto faces up to Amazon in Colombia's e‐
commerce market. Global Business and Organizational Excellence, 38(6), 31-41.
Torres, A., Behe, B., & Barton, S. (2018). E-Commerce Adoption in the Amazon Era:
Evidence from the Green Industry.
chevron_up_icon
1 out of 5
circle_padding
hide_on_mobile
zoom_out_icon
[object Object]