AMAZON VS WALMART

Analysis of Amazon vs. Walmart:

Strengths:
As the company that runs at providing good and services sector, Amazon and Walmart have a lot
of strengths. Amazon dominates the market by online market, and many people called as the
master of internet. Amazon sells everything on the earth, especially for Books and CDs.
Amazon want their customer more efficient in the buying process, so they make a motto which is
“affluent urbanites who would rather click with their mouse than push around the cart.” In the
future, Amazon has more than 70% strength to dominate the market, because now a days people
in the whole world, use the internet as their daily needs.
Walmart dominates the market by physical stores in the convenient locations plus a well-
established online presence allows it to offer customers more ways to buy online. They build the
motto “Pay with Cash” and “anytime anywhere”. They made the combination of online and
offline shopping, which customer can buy online and have purchases shipped to their homes or
they can buy items online and pick them up at a Walmart store. For the item that a local store
carries, they can pick up the same day.

Weaknesses:
The weakness of Walmart and amazon are the bad battle shop because they are compete the price
of the product that cutting down the price by each other. And about the book price war was
causing collateral damage across the entire book industry. “When your product is treated as a
loss leaders, its lower its perceived value.” In the long run, that’s not great for either the
company that publish the books or the retailer who sell them.

Opportunities
The opportunity for Amazon and Walmart are they can expand their market easily. Through the
Internet connectivity, they can hit the global market. They can dominate the global market by
providing good. They made the combination of online and offline shopping, which customer can
buy online and have purchases shipped to their homes or they can buy items online and pick
them up at a store.

Threats:
The threats for Amazon and Walmart are the price. Price remains a central competitive weapon
as Amazon and Walmart battle online. But In the long run, cutting down the price makes more
damage that the price can turn whole product categories into unattractive, low margin
commodities. Customer thinks that buying online or offline is about much more than just getting
the best price, they require not only the lowest price but also the best customer value such as
selection of products, speeds, shopping experiences, etc.