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BUS 5114 Unit 6 Written Assignment
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A guide to assignment on SWOT analysis on Amazon with detailed explanations and references.
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Written Assignment Unit 6MBA Business Administration
University of the People
BUS 5114-01 - MIS and Technology
Dr. Charlotte Barrett
March 8, 2022
Develop a case report for the Amazon.com case using case report rubric and guidelines
Case Description
Amazon.com is a major multinational technology company that was founded by Jeff Bezos on
July 5, 1994, in Seattle, America (Sadq et al., 2018). Amazon started as an online bookstore then
expanded its business into the e-commerce industry, cloud computing, and online retail market.
The company is continuously expanding and reaching new markets. Currently, Amazon includes
live streaming, artificial intelligence, and logistics. It has many strong points one of which is
being customer-centric and this has helped Amazon to surpass its competitor Walmart to become
the most valuable retailer in the United States (Greenspan, 2019).
Strength of Amazon
As mentioned above one of its strengths is being customer-centric. It focused on bringing
products that add value to customers and at affordable prices. Secondly, Amazon has developed
a strong brand name through marketing and quality control. This is supported by a survey that
was conducted in the US that shows 89% of its buyers prefer to buy from Amazon than other e-
commerce sites (Mohsin, 2021).
Currently, Amazon has over 310 million active users and 200 million Prime subscribers
worldwide which helped the business to build one of the highest brand valuations (Jagadeesan,
2017). Another important strength is that Amazon focuses on innovation and creativity in
providing new product lines and services to its customers including drone delivery services and
the Aura Smart sleep system. This helps Amazon to differentiate its service from its competitors.
, Another crucial strength is the value chain system that Amazon has built. This value chain allows
Amazon to sell its products at a lower price, deliver quickly and lower its inventory
replenishment time. Some of its partners include Thalmic Labs, Evi Technologies, and Shoefitr.
Additionally, this helps Amazon to provide an extensive product mix for its customers.
Customers can get the products they want from a single platform.
The supply chain follows Go Global and Act Local strategy that focuses on expanding into new
markets globally and partnering with local supply chain companies (Madhav, 2022). This helps
Amazon to compete with local e-commerce competitors and also adapt to the country's culture
and norms easily. This could easily be seen in Amazon's expansion into India and partnering
with local companies.
Furthermore, Amazon works with a large number of third-party sellers that benefit from the high
traffic volume of Amazon's.com (Madhav, 2022). This will also help Amazon provide diverse
product lines for its customers. Additionally, Amazon has excellent logistics and distribution
systems that provide reliable and secure delivery of products to its customers.
Amazon has evolved into three key businesses which are Amazon Marketplace, Amazon Web
Services (AWS), and Amazon Prime (Madhav, 2022). Additionally, Amazon is engaged in a
large number of acquisitions including Whole Foods, Zappos.com and Junglee.com. This is
coupled with its moves to gain patents for several technologies such as Cloud Computing and
Artificial Intelligence (Singh, 2022).
Additionally, to help with employee retention and employee satisfaction Amazon was the first to
raise minimum pay to $15 per hour. This is higher than any of its retail competitors like
Walmart, Target, and Costco.
Weaknesses Amazon
As mentioned above Amazon has several good qualities however it has some weaknesses as
well. One of its weaknesses is that it has an imitable business model. This brings too many
competitors into the market and could force Amazon to lower its prices or share its market.
Another weakness includes repeated product failures that may be due to quality issues or not
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