AMAZON PROJECT

(E-COMMERCE)
 Executive Summary

Customers can shop for a wide range of products and services from Amazon's extensive
catalogue, which also includes cutting-edge technology developments. Maintaining Amazon's
strategic leadership in the forefront of new business growth is a top priority for the online
retailer. As the internet's power continues to develop, Amazon will be able to continue to
leverage the internet to gain market share in all of its product categories. However, due to the
nature of this particular organisation, we will focus on Amazon Inc. and analyse its development
in Singapore in light of Singapore Inc. Additional to this, we'll talk about the problems Singapore
has posed for Amazon and how they could be solved by Amazon. Amazon may use Singapore as
a crucial stepping stone to enter the rest of South East Asia, according to our recommendations.

Amazon, which has a presence in every nook and crevice of the internet, claims to be "the
corporation that is most focused on the requirements of its customers" in the entire world.
Indeed, Amazon is doing everything in its power to achieve this goal by providing steadily
improved customer service in all of its locations. When a new product or service is set to be
launched, the key characteristics are always decided by the expectations that customers have for
the product or service.
Table of Contents
Executive Summary.........................................................................................................................2

Introduction of Amazon...................................................................................................................4

..........................................................................................................................................4

Amazon Profile................................................................................................................................5

Marketing Environment Analysis....................................................................................................6

Internal Environment of Amazon....................................................................................................7

SWOT Analysis of Amazon:...........................................................................................................7

Micro-Environment of Amazon....................................................................................................11

Customers – why are consumers important? UK (country) consumer spending trends. (Amazon)
.......................................................................................................................................................13

Competitors – identify the competitors and justify why you have selected those competitors.
(Amazon).......................................................................................................................................14

Alibaba / Aliexpress.............................................................................................................16

Otto........................................................................................................................................17

................................................................................................................................17

Suppliers of Amazon.....................................................................................................................19

Macro-Environmental Analysis.....................................................................................................21

Amazon's expansion and changing business strategy....................................................................22

Integrated Marketing Communication...........................................................................................24

ADVERTISEMENT STRATEGY.....................................................................................25

SALES PROMOTION ACTIVITIES................................................................................25

Integration of Online and Offline Media.......................................................................................26

Conclusion –..................................................................................................................................29

REFERENCES..............................................................................................................................30
Introduction of Amazon

As a web-based retailer, tablet creator, and Web specialist organization, Amazon.com has turned
into an image of electronic business. Seattle, Washington is where the organization's base camp
are found.

As well as selling books, music, films, home merchandise, innovation, toys, and different
products, Amazon.com goes about as a middle person between different organizations and
Amazon.com's great many clients, either straightforwardly or through mediators. Information
capacity and handling assets, here and there known as "distributed computing," are accessible
through the organization's Web contributions. Amazon.com server farms dealt with 1% of all
Internet traffic in North America in 2012 (Souza , 2019).
Amazon Profile

Amazon.com, the world's biggest web-based retailer, has its eyes set on various enterprises,
including internet shopping, distributed computing, computerized web based, and man-made
brainpower (AI) (Aćimović et al.,2020).. It is one of the world's most significant brands, as
indicated by Forbes, and is "one of the most persuasive financial and social powers in the globe."
It's a conspicuous player in the field of American tech, with Alphabet, Apple, Meta, and
Microsoft.
Marketing Environment Analysis

What is Marketing Environment?

Any and all aspects, both internal and external, that have an impact on the company's marketing
decisions are included in the concept of the marketing environment. In contrast to external
influences, internal forces can be controlled by an organisation. Monitor the marketing
environment to see if there are any changes that could occur in the future. For the business, there
may be both threats and possibilities as a result of the developments. Marketers are always
adapting their strategies and plans in light of these changes.

Marketers' environments are typically comprised of one or more of the following sorts of
settings:

1. The Micro-Environmental Situation

2. The Macro Environmental Situation

Internal Environment of Amazon

According to Business Insider, a survey conducted by L2 discovered that a quarter of shoppers

would abandon their online shopping basket if same-day shipping was unavailable. According to
the report, this is a challenge that most merchants encounter, all the more so given that just one-
fifth of retail stores offer same-day shipment at the point of purchase. Same-day shipping
retailers frequently charge exorbitantly high charges for the convenience. When customers hear
the term "rapid shipping," they frequently assume it refers to same-day service. If retailers
recognized the tremendous need for low-cost, same-day delivery, they might profit from it.

SWOT Analysis of Amazon:

Amazon.com is one of the few technology businesses with the most varied business model in the
world. The corporation operates a variety of businesses, including e-commerce, entertainment,
intelligent devices, artificial intelligence, robots, retail outlets, cloud computing, and Amazon-
branded items (Mellahi and Johnson,2018). While Amazon is the world's largest internet firm in
terms of revenue and the King of E-Commerce, it does have some strengths, weaknesses,
opportunities, and dangers that must be carefully considered in order to thrive in the long term.
S Stands for Strengths (Internal Factor)

As a critical component of SWOT analysis, a company's strength serves as an asset for expansion
planning. Amazon.com possesses various attributes that contribute to its status as one of the
world's largest e-commerce companies: Amazon has a strong and positive image in the global
market. Diverse Business Model: Amazon, like Microsoft, has a sizable and diversified business
model. We had listed the firms in the preceding section.

W stands for Weakness (Internal Factor)

Profitability: Despite earning twice as much as Google Product Flops: Despite having had its
most successful trip in its Era, Amazon has had many product failures (Onyusheva and
Seenalastaporn ,2018). The Fire Phone and Kindle are two of its failed products.

In not caring for employees: In recent days, lawmakers, the press, and governments have
chastised Amazon for its treatment of employees.

Amazon does not have a concrete basement like Walmart or Jiomart in India, despite being one
of the world's largest E-Commerce corporations (Portella et al.,2019). Customers still prefer
retail storefronts to online stores due to concerns about privacy, product quality, and other
factors.

Amazon is being sued by a number of countries, including Japan, the United States, and the
United Kingdom, for allegedly evading taxes. Then-President of the United States Donald Trump
has chastised Amazon on the issue of taxes.
Debt: Amazon is still trying to make money in developing countries like India and others.
Which, in the end, results in debt. e's parent firm Alphabet, Amazon's profit margin is less than
10%.

Opportunities are represented by the letter O (External Factor)

Global Expansion: Amazon has additional areas to enter and expand its brand in, despite its rapid
growth. Consider the markets of Africa and Asia.

Amazon has to form more partnerships with local businesses in order to realise its retail industry
ambitions.

Self-Driving Technology: In 2020, Amazon will pay $1 billion for Zoox Inc, a self-driving firm
based in the United States, to compete with Tesla and Google Waymo and to automate its
distribution system across cities for a better customer experience.

Electric Rickshaws in India: Jeff Bezos, the CEO of Amazon, debuted electric rickshaws in India
in 2020 to benefit customers.

Acquisitions: For a pleasant user experience, Amazon should acquire startups that are developing
AI technology for E-commerce services.

Expanding Physical Locations: Amazon recently built Amazon Go, a fully automated physical
store in the UK that doesn't even have a cashier.

Other Niche: Amazon could concentrate on expanding its food and grocery delivery business,
where its competitors, such as Big Basket in groceries and Zomato and Swiggy in food, are
already market leaders.

Threats are represented by the letter T (External Factor)

Government Regulations and the Antitrust Case: In today's world, the government attempts to
break up monopolies in any business by enacting new regulations that encourage entrants to
enter the market.

Increasing Competition: Amazon competes in a variety of areas, including e-commerce with

Flipkart and eBay, cloud computing with Microsoft and Google, retail with Target and Walmart,
and AI virtual assistant with Google. There were only a handful, but there are many more to
come.

Customers are afraid of their data being exposed as a result of rising cybercrime, which has an
impact on Amazon and other e-commerce sites. They should create technology to combat
cybercrime.
Micro-Environment of Amazon

Collaboration:

Collaboration is a critical component of surviving in the marketplace and competing against

other businesses. Amazon has worked with organizations such as SAP to develop Amazon
Cloud, which was made possible through collaboration. This has forced Amazon to join a whole
new business while also presenting it with an opportunity to diversify and expand its operations
(Bloomberg, 2007).

1] Clientele

Most organizations work fundamentally to fulfill the necessities and wishes of their clients. The
organization's motivation is to fulfill clients while additionally benefitting. Subsequently, a
definitive goal is to give the best items/administrations to the client at the best cost. Inability to
do so might mean the demise of the firm (Wu and Gereffi, 2018). This is why paying attention to
consumers and appreciating their feedback is more important than ever. This is why customer
consumer surveys are becoming increasingly crucial in today's industry.
2] Opponents

There are no certifiable imposing business models on the planet. Each organization, regardless of
how large or little, has contest and contenders. Therefore, the business should keep a steady
watch on its rivals.

The business should ensure that their products have an exceptional selling recommendation
(USP) that separates them from the contenders. Moreover, the things gave should be better than
and less valued than those given by rivals.

Employees are number three.

Representatives, or work, are one of the main parts of an organization's creation. HR is basic to a
business' prosperity (or disappointment). As a result, recruiting the best staff for your
organization is essential.

It is additionally crucial to put resources into these people's preparation and improvement.
Representatives are the foundation of each association, accordingly assuming this area is
disregarded, the association won't ever flourish.

3] Providers

Providers give the materials and creation factors that a business needs to run its tasks. Between
the firm and its providers, there is a power balance. For endurance, both are relying upon each
other.

Thus, the business should keep up with positive and agreeable associations with its merchants.
This is expected for the appropriate running of the association. A conflict with one of the
organization's unrefined substance providers, for instance, may cause the whole assembling cycle
to be postponed by a few days.

4] Media Every company will need media to advertise its brand and sell its goods. As a result,
the company must maintain its present standing and connection with the media.

Any negative news publicity for the firm might result in huge financial losses. This is why
companies pay public relations consultants to help them use the media effectively.
Customers – why are consumers important? UK (country)
consumer spending trends. (Amazon)
Competitors – identify the competitors and justify why you have
selected those competitors. (Amazon)
Competitors:

Walmart

Walmart is another worldwide force to be reckoned with. This huge box retailer's yearly net
deals are $514.41 billion. In spite of the way that physical exchanges make for a lot of Walmart's
income, this is beyond two times Amazon.

There are in excess of 11,000 Walmart areas in 27 unique nations.

The retail titan is most popular for its actual retail chains, yet it likewise has a significant internet
based presence. As far as web based business income, Walmart is the second most famous web-
based retailer in the United States, after just Amazon.

Alibaba / Aliexpress.

Alibaba is a Chinese online retailer with headquarters in Shenzhen. When compared to Amazon,
this worldwide behemoth focuses in wholesale internet sales, which gives it a distinct
competitive advantage.

Another distinguishing feature of Alibaba's business plan from that of Amazon is its overall
business model. In contrast to Amazon, which is managed as a single entity, Alibaba is divided
into several businesses:

 Alibaba.
 Taobao.
 Tmall.

Alibaba is primarily concerned with business-to-business transactions, whereas the other

branches are concerned with consumer-to-consumer transactions and international brands,
respectively (Ziero et al.,2021).
Otto

Otto is an internet store based in Europe. The company has become well-known for its ability to
innovate over the years in order to keep up with the trends. It's effectively a one-stop shop for
anyone looking to buy something online in Europe. Top categories for this retailer include
fashion, electronics (such as Apple and Microsoft products), home items, and sports apparel and
equipment.

Otto made over $3.8 billion in revenue from online sales during the calendar year 2019. While
this may appear insignificant when compared to Amazon, it is nonetheless incredibly outstanding
(Álvarez et al.,2021).
Flipkart

Flipkart is a very new ecommerce company when compared to some of our other competitors.
This Indian ecommerce platform was established in 2007 and swiftly grew to become India's
largest online retailer(Petruska ,2018).

Walmart bought 77 percent of Flipkart's stock in 2018, valuing the company at $22 billion.

There's no knowing where Flipkart will go now that Walmart owns a majority share in the
company (Baboolal, 2021).

Flipkart has over 100 million registered users. The platform's user-friendly design, mobile app,
and customer support distinguish it as an Amazon competitor on the rise (Talha et al.,2020).
Flipkart is primed for continuing growth in the next years, thanks to the large selection of
products it offers.
Suppliers of Amazon
Optoelectronics, a server farm gear producer and an Amazon Web Services (AWS) supplier,
ascribed around 60% of its incomes to the internet shopping stage, while cargo business Air
Transport Services Group represented 29% of its deals. GoPro Inc. is a purchaser gadgets firm.
Macro-Environmental Analysis

Amazon's most memorable business development depended on a modern SEO and AdWords
system that designated large number of watchwords.

Act: Using testing and learning, make clear and simple encounters (Alshmrani ,2021).

Convert: Using customization to make pertinent suggestions, as well as a basic checkout strategy
that many organizations are currently duplicating.

Lock in: Customers are really glad with Amazon's client driven culture, which makes them want
more and more.
Amazon's expansion and changing business strategy
With regards to pay per guest, Amazon overtakes the opposition. This is a basic pointer for any
organization site, whether it's a news website, a web internet searcher, a casual local area, a retail
location, or one that gives travel or monetary administrations (Samuel et al., 2020). Obviously,
profit per client would be radically unique because of other.coms' far less expensive expenses,
like Facebook and Google.
Why SLEPTS/ PESTEL approach?

PESTEL examination, otherwise called PEST, is a thoroughly examined plan for corporate
extension and development. This structure, like SWOT examination, gives a broad perspective of
an organization's assets and shortcomings by checking out at an assortment of elements that sway
the organization's prosperity.

Amazon is a retail juggernaut that has ruled the internet business market. Amazon has extended
its business over the long haul, enhancing into distributed computing, advanced streaming, and
different fields. In the circle of web based business, the association has gained notoriety for itself
(Benevides et al.,2019). This overall specialized business defies rising rivalry in spite of holding
a solid market position. Amazon's PESTEL concentrate on assists the organization with
understanding the distant full scale climate and handle rivalry actually. It likewise assists them
with uncovering issues in their client support and attempt to fix it.

Amazon's PESTEL concentrate on assists the organization with understanding the far off full
scale climate and handle contest actually. It additionally assists them with uncovering issues in
their client support and attempt to fix it.
Integrated Marketing Communication

Amazon and other innovation organizations flourish at consolidating showcasing and deals
endeavors. Amazon gives clients a customized landing page with items connected with their new
buys, conveys messages to clients with exceptional arrangements or new things like what they've
recently bought or searched for, and permits bloggers to post lists of things to get or book
surveys to their sites (Integrated Marketing, n.d.). The principal reason for Amazon is to placed a
major spotlight on advertising.

Promoting fashioners utilize an assortment of systems, including influence, variety brain science,
and structure, copywriting and typography, and brand correspondence. A great many genuine
buyer encounters move Amazon's exceptional showcase publicizing arrangements (Amazon
Display Advertising n.d.) (Ritala et al., 2020). Clients will profit from additional designated and
applicable promotions, which will upgrade their general insight.

Another strategy to bring your products in front of more customers is to create an Amazon offer.
You may enhance sales by offering a discount on your products through an Amazon promotion.
ADVERTISEMENT STRATEGY

 Get familiar with the ins and outs of the products that are being sponsored.
 Learn everything you can about the brands that are sponsoring you.
 Including pertinent keywords in product descriptions and listing information.
 Ensure product listing descriptions are accurate and robust.
 Utilize images that are of a very good quality.
 Get positive feedback and reviews from other people.

SALES PROMOTION ACTIVITIES

Amazon's marketing strategy incorporates a wide range of targeted online marketing channels.
Associates, sponsored search, social and online advertising, television commercials and other
activities are a few examples of these channels.
Integration of Online and Offline Media

One of the most noticeable ways for coordinating disconnected and web based promoting tasks is
to carry disconnected exercises to advanced media. There are crusades that ask members - or the
crowd - to share through virtual entertainment records to raise the level of openness for
disconnected occasions.
With regards to pay per guest, Amazon overtakes the opposition. This is a fundamental pointer
for each business site, whether it's a news site, a web search tool, an informal community, a
value-based store, or one that offers travel or monetary administrations. Obviously, profit per
client would be definitely unique because of other.coms' far less expensive expenses, like
Facebook and Google.

According to Forbes, Amazon's success is due to three laws that it breaks, but we 'probably
shouldn't'! Although Amazon has an extraordinary threat to its business in present time, and the
major limitation here is focus. Don't pour good money after poor - this is especially true in the
case of Amazon's grocery venture what you can and can't do is determined by your core
strengths, such as developing the Kindle with no prior hardware production experience
(Filson ,2020). Beyond the registering local area, AWS is less notable, in spite of the fact that
Amazon keeps on advancing the cloud administration forcefully. There are currently 10 AWS
locales around the world, remembering two for the East Coast of the United States, Europe,
Singapore, Tokyo, Sydney, Brazil, China, and GovCloud, an administration just zone.
Conclusion –

The key objective of the Amazon project is to get a comprehension of the marketing approach
taken by the company as well as the integrated marketing channels utilized by the organisation.
Additionally, we gain an understanding of how the organisation integrated their offline and
online media by making use of relevant data. Amazon is now a household name as a result of the
successful marketing efforts that have been done, giving it a household name for everyone.

Amazon has come a long way from its beginnings as a simple online bookstore selling electronic
books. There is little doubt that the internet boom was beneficial to the expansion of Amazon.
Amazon has continued to expand and maintain its relevance thanks in large part to the success of
its online commercial centre, which enables customers and third-party merchants alike to trade
goods without leaving the convenience of their own homes. Amazon is committed to providing
same-day delivery whenever possible in the interest of maximising the level of satisfaction
experienced by its clientele. They have been able to effectively supply two-day and unexpected
deliveries to metropolitan regions thanks to its membership-based administrations, which make it
possible for them to do so.

The main goal of Amazon is to focus on long-term growth by becoming

Earth's most customer-centric company.
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