HR PLAN
Amazon Analysis
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Strategic Analysis
Amazon was established in 1994 by Jeffrey Bezos as an online bookstore.
Its mission was to become the largest and most customer friendly one-stop shop on the Web.
Amazon is the world largest online retailer with more than 100 million subscribers and 310 million active users.
Amazon’s industries include e-Commerce, Retail, Cloud, Consumer electronics, Streaming, Media House
SWOT Analysis
Strengths
Strong Brand Name: its brand is recognized globally
Brand Valuation: Amazon ranks second after Apple in the latest Interbrand’s Global Brand Ranking.
Customer Focused: Amazon is a customer-focused brand because it serves a vast number of customers at a low price everyday.
Cost leadership: The company operates online shops therefore avoiding the overhead cost.
Differentiation and Innovations: Amazon differentiates itself from its competitors by regularly introducing innovative products and services.
Largest Merchandise Selection: Due to its diverse product mix, Amazon entices and retains customers.
Diversification: Amazon is involved in various industries including cloud computing, digital streaming and AI.
Market Leader: With a market value of $1 trillion, Amazon is undoubtedly a market leader in the online retail sector.
Amazon Weaknesses
On the way to the top, Amazon had to make some significant sacrifices which have contributed to some internal issues which include:
Employee Morale: Amazon’s drive for efficiency has been said to overshadow the need for well being, causing personnel concerns.
Quality Focus: Amazon cannot vet for the quality of all the products in its marketplace which may cause customers to migrate to other reliable platforms.
Easily replicable business concept: Competitors can easily copy Amazon’s business model.
Product Missteps and Failures: Some products may flop and cause Amazon huge losses.
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Capabilities
Amazon’s unique capabilities include offering a wide selection of products and services, providing excellent customer service and its capability in an efficient supply chain which allows to fulfill orders.
Threats
Counterfeit Goods
Government Regulations
Investigations
Rivalry
Quality Control
Labor Exploitation
Economic Recessions
Phony Reviews
Opportunities
Podcasting: The new services integrated into Amazon Music Platform is an excellent opportunity for the company.
Package Delivery: Amazon’s delivery network is expected to dominate the delivery market.
Food Delivery: Amazon’s venture into food delivery is an excellent exploitation of its supply chain expertise.