The Amazon Effect
Pros Cons
Offers convenient, easy
repeat of standard monthly
(grocery, pet, bulk) orders,
(2021)
Monitors shopping patterns
of consumers and offers
appropriate
recommendations, (Story by
Lydia DePillis, CNN
Business Video by Jon
Sarlin, CNN Business, 2018)
Customized
offers/promotions, (2021)
Cost-effective, quick, and
easy (single-click options,
intuitive reordering choices,
dash order features), (Story
by Lydia DePillis, CNN
Business Video by Jon
Sarlin, CNN Business, 2018)
Buyers can access product
data, reviews, and other
relevant information on one
page
Prime membership
opportunities have
increased consumer
benefits through 5% cash
back credit choice,
prioritized delivery, free
shipping, “try before you
buy” clothing and apparel,
grocery discounts, at home
streaming services, etc.,
(Story by Lydia DePillis,
Can’t interact with products
before purchase in most
cases, (2021)
Possibility of lost, damaged,
or late packages
Return/Exchange process
proves lengthier at times,
(Story by Lydia DePillis, CNN
Business Video by Jon Sarlin,
CNN Business, 2018)
Higher consumer
expectations in marketing
strategies, variety
availability, and consumer
convenience/flexibility,
(2021)
Job shortage potential in the
retail and/or manufacturing
industries as AI technology
emerges, and storefront
retail stores transition to
online shopping, (Story by
Lydia DePillis, CNN Business
Video by Jon Sarlin, CNN
Business, 2018)
Manipulates the utilization
of personal, disposable
income, (Story by Lydia
DePillis, CNN Business
Video by Jon Sarlin, CNN
Business, 2018)
CNN Business Video by Jon
Sarlin, CNN Business, 2018)
When discussing ethical concerns regarding business practices and
their influence on consumer and corporate responsibility, it's
important to analyze the overall perspective related to sustainability
and the TBL. For example, consumers have a responsibility,
regardless of which ethical issue may be presented at that time, to
educate themselves in various unethical CSR concerns. It's also
critical that customers take the time to learn a product’s history and
the practices associate with preferred brands, companies, markets,
etc. Further, consumers also have a responsibility in holding suppliers
accountable for performing sustainable production processes by
utilizing buyer’s power with focus on ethical standards and choosing
the “cleaner” alternatives to impact the supply/demand statistics
within the market, (The Editors, 2017). According to Waheed
Hussain, consumers as a group have “a genuine moral duty to
monitor (global) economic activity and shape their purchases
accordingly,” (The Editors, 2017). By using purchases as “votes” and
creating brand loyalty through TBL and CSR elements, consumers
have an overall ethical responsibility to promote companies that
institute valiant efforts into their community, environment, and
people, (The Editors, 2017).
On the other hand, business leaders and corporate entities have a
responsibility in creating, maintaining, and improving social
responsibility standards and ethical concerns. For instance, recruiting
and hiring ethical conscious applicants and maintaining a safe and
healthy workplace ensures a solid platform to initially address CSR
reputation among market competitors, (Emma, 2019). Providing good
quality products at a fair price and knowing everything about the
business process, from start to finish, also falls in the company’s
responsibility sector, (Emma, 2019). Avoiding conflict of interests and
being blindsided by outside sustainability discrepancies can be
avoided through a thorough understanding of your product’s
manufacturing and production phase all the way up to the final sale,
ensuring your community of CSR maintenance within your
organization, (Emma, 2019). Further, its pertinent to communicate
the company’s core values and efforts while also being transparent
with shareholders, including the public. By incorporating honesty and
open communication, one can expect brand loyalty and social
responsibility acceptance to follow hand in hand leading to an overall
beneficial reputation. Through the incorporation of being a good
community member, practicing ethical operations, and partnering
with sustainable organizations, businesses can become prominent
leaders in ethical improvements through addressing important social
concerns, (Emma, 2019).
Ultimately, achieving CSR and a TBL framework is everyone’s
responsibility. Businesses should be held accountable for their ethical
practices and core value standards while consumers should educate
themselves and influence the demand of sustainable production
practices by choosing “cleaner” alternatives at fair prices.
References
Emma, L. (2019, January 31). What Ethical Responsibilities Does an
Organization Have to a Different Stakeholder? Small Business -
Chron.Com. https://smallbusiness.chron.com/ethical-responsibilities-
organization-different-stakeholder-35595.html
M. (2021, July 15). What is the Amazon Effect? MicroD | Online
Solutions for the Home Furnishings Industry.
https://www.microdinc.com/blog/what-is-the-amazon-effect/
Story by Lydia DePillis, CNN BusinessVideo by Jon Sarlin, CNN
Business. (2018, October 5). Amazon is changing the US economy more
than any other company. CNN.
https://edition.cnn.com/2018/10/03/tech/amazon-effect-us-
economy/index.html
The Editors. (2017, June 1). Consumer Responsibility and Obscurity.
Ethics & International Affairs.
https://www.ethicsandinternationalaffairs.org/2017/consumer-
responsibility-obscurity/
