Amazon: Merging Digital and Physical worlds for market growth Harvard Case Solution & Analysis

Amazon: Merging Digital and Physical worlds for market growth Case Study Analysis

Opportunities:

  • Partnership with suppliers and service providers are great source to decrease the cost,which would act as a barrier for the new entrants.
  • Increased preferences for healthy food for health concerns, would play a significant role in increasing the market share by attracting customers.

1.1  Strategic action

The company diversified its strategy and acquired a firm, targeting a whole new market by acquiring Whole Foods and entering into the food industry. In order to have a successful implementation of its strategy; the company must plan, make and work on new strategies, such as: new market plan, technological integration and capitalization.

1.2  Sales modalities

Competitive

Amazon’s customers are  loyal who don’t go for cheaper product, noteven when the products offered by amazon have higher prices than its competitors’ prices.Hence,amazon always focuses on these customers and offers significant discounts for them.

Spontaneous

These types of buyers are attractedtowards products and services that are creative, attractive and unique. They are in rush and don’t care about the brand’s name.Amazon focuses on them magnificently, through its marketing strategies so that these customers always find App for new offers very easily.

Methodical:

These types of buyers need quality, to be loyal for any brand and Amazon great focuses on its customers’ demands as its main goal is customer centric.

Humanistic:

They care for the environment and emotions any brand provides to them; therefore Amazon needs to work these aspects.

1.3  Offline retail shopping new methodology

Amazon Go introduced by the Amazon, for which they used new methodology that was impressive and appreciated and liked by the customers, because of the innovation and differentiation it possessed. Through this,customers’ time did not get waste in queues and they just grabbed the product, checked it physically and left.

Recommendations

Acquiring Whole Foods was a great decision made by Amazon,because by doing so;the company can attract those customers who prefer to look and feel the product before buying. With the help of all its projects and Whole foods; it must focus on achieving its competitive advantage, to increase the gap between amazon and its competitors.

In order to decrease the company’s threats and its weaknesses;Amazon must ensure to deal with controversies with flexible decision making and following the labor policies and privacy policies,to avoid any controversy in future.The company must conduct researches to explore the new markets for entering into other countries and increasingits market share. The improvement of technological securityshould be focused and emphasized over by the company, in order to addressits security issues....................................

 

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