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1. In Business to Business marketing and transactions what role does Amazon play?

2. Describe Business to Business functions and activities performed by Amazon.


3. Describe Amazon's role and effect on specific industries, for example publishing.
Answer 1.
Amazon has become a giant and ranks under ten in the Fortune 500 companies. It not only caters to
the retails customers but also felicitates B2B business transactions through its platforms.

Amazon has come up with a platform known as Amazon Business where small and large
businesses can buy and sell from each other, earlier the B2B business was a cumbersome and
tough call and to market B2B sophisticated methods such as trade magazines were used. With the
help of Amazon Business potential B2B buyers and sellers can meet each other on its platform and
thus very much eliminating the requirement of marketing activities done by a seller.

Amazon has also reduced the role of multiple intermediaries through its B2B platform and has made
the transactions much easier and convenient. Modern day buyer and seller also finds this method
convenient and are attracted to this model of business.

Answer 2.
The B2B functions and activities performed by Amazon are mentioned below:

 Providing B2B buyers and sellers a platform where they can sell and purchase.
 Sophisticated software and technical support is also provided by Amazon to its B2B
service customers.
 Pricing, selection and convenience has played a great role in making this service
attractive this platform is managed by the tech team of Amazon.
 Shipping services to fulfil the B2B transactions are also being provided by Amazon
for a pre-defined fee.
 Amazon also shows advertisements for the sellers which are registered on its B2B
platform meaning they are doing marketing activities as well.
Answer 3.
Since Amazon first started selling books the one industry which saw a major change was publishing
industry. Amazon has changed the way in which the books business was done. Earlier there were
number of titles which were unavailable in market and people had to visit shop to shop in order to
find that one book but after Amazon’s entry in this sector customers choose to buy books from here
as it is easy convenient and much cheaper.

There were number of titles whose demand was very low and publishers assuming no demand of
those titles have stopped publishing those books but after Amazon and its sophisticated software the
publishers can know the exact forecasted demand of specific titles and choose to print titles they
were not doing earlier.

Amazon has brought a positive change on the publishing industry though the way in which this
business was done is definitely changed.
Apparel industry has also seen changes as people prefer buying products online as its
comparatively cheap and convenient.

The another industry which has seen a positive change by Amazon coming in market is Smartphone
industry, now the product launches are done on amazon and there are several models available in
the market which are exclusively available online on Amazon. Amazon has changed the way of
doing business for many industries.

Amazon

Evaluate the pros and cons of e-commerce supply chain and how it different from conventional supply
chain. (Note: you need to justify the pros and cons in detail)

E-commerce , also known as electronic commerce or internet commerce, refers to the buying and
selling of goods or services using the internet, and the transfer of money and data to execute these
transactions

E-commerce has narrowed down the supply chain. The intermediaries have been deducted. Buyers


directly reach to sellers. This has affected in cost and time of the purchase. On the other
E-business is short for “Electronic business.” As an overarching term, it refers to any method of
utilizing digital information and communication technologies to support or streamline business
processes – from preparation to implementation.
Advantages:
Revenues. Companies that have adopted e-business have a faster product development cycle,
enabling them to respond quickly to market needs. They take advantage of being market leaders to
increase revenues before their competitors can enter the market.
 Quicker and easier communications.
 Strengthened marketing capabilities and reach.
 Increased hours of operation (a web-site provides 24-hour seven day information
to existing and potential customers).
 Access to broader information through research.
 Reducing the cost of doing business by lowering transaction costs and increasing
efficient methods for payment, such stationery and postage costs.
 The opportunities to adopt new business models and develop tailored customer
support.
Disadvantages:
But it isn’t all good news. E-business does have certain disadvantages when compared to the
traditional way of doing business. Some of the limitations of e-business are as follows :
 Limitation: the main disadvantage of E-Business is lack of growth in some sectors
i.e. food. Consumer prefers to look the food products physically before buying.
 Costly maintenance: substantial recourses are required to setup online business
which requires computer upgrade, personnel trainings, and website upgrade. This
can be a disadvantage for some organization.
 Security concern: The security concerns also lead to privacy issue. There are many
examples of contact lists and personal details were hacked or exposed due to
weak E-Business system security.

Founded on 1994 seattel,USA :


Amazon is known for its disruption of well-established industries through technological innovation
and mass scale. It is the world's largest e-commerce marketplace, AI assistant provider, and cloud
computing platform as measured by revenue and market capitalization. Amazon is the largest
Internet company by revenue in the world. It is the second largest private employer in the United
States and one of the world's most valuable companies. Amazon is the second largest technology
company by revenue.

Amazon was founded by Jeff Bezos on July 5, 1994, in Bellevue, Washington. The company initially
started as an online marketplace for books but later expanded to sell electronics, software, video
games, apparel, furniture, food, toys, and jewelry. In 2015, Amazon surpassed Walmart as the most
valuable retailer in the United States by market capitalization. In 2017, Amazon acquired Whole
Foods Market for $13.4 billion, which vastly increased Amazon's presence as a brick-and-mortar
retailer. In 2018, Bezos announced that its two-day delivery service, Amazon Prime, had surpassed
100 million subscribers worldwide.

1999:Amazon Auction Zshops :


In September 1999, Amazon launched zShops (zee shops) through which an individual to mega-
conglomerate to small manufacturer could set up a shop to sell products online, just as Amazon had
been doing for a few years then.
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Why did Amazon create most of its own technology from scratch in 1994-1997? (approx. ¼ page)
2. Discuss two main parts of society that drive and accelerate advancements in science and
technology and the reasons why, that Amazon was then able to take advantage of? (approx. ½ to 1
page)
3. What are three major technology advancements that made it possible for Amazon to succeed in
starting up the industry of online business? (approx. ½ to 1 page)
4. How has Amazon’s growth and evolution impacted society and technology? (approx. ½ to 1 page)
1.The Amazon creates most of its own technology from scratch in 1994-1997 because they have the
focus on price of the product, selection of the product and availability of the products, which needs
customized system that works in the real time basis. The scratch programming allows the young
people to integrate creativity in the process. It allows develop the young employees to best use of
technology in later centuries. It is block based visual programming which is easier to understand. It
can be used by all ages group of people. It is widely used in overseas counties with availability in
over 40 languages.

2. Two main parts of society that drive and accelerate advancements in science and technology are
as follows:

1. Educational Institutes – Educational institutes are the key players in the driven of advancements
in science and technology. This is because they have the curiosity to research the beliefs or facts
prevailing in the society so that they can be better understandable as well as benefits the society.
They need equipment’s for the research so the advancement in the equipment’s are also there.

2. Government – Government is working on the ways to make the society live better than earlier.
They facilitate the science and technology development by the fund’s allocation. They work on the
sustainable development of the society which needs science of facts as well as technology to reduce
the cost of development.

Amazon was then able to take advantage of because they were the first in the e-commerce industry
which uses the technology i.e. internet for the growth of the commerce sector and their own
business. They customized their systems earlier. They started using the technology and developed
their own technology for the business.

3. The three major technology advancements that made it possible for Amazon to succeed in
starting up the industry of online business are as follows:

1. Use of internet to provide real value for their customers. The Amazon was the first and early
player in the e-commerce business. When the use of internet made public, they started using it for
their business purposes.

2. Development of own technology from the scratch programming. This helps in the specifically
utilizing the technology for their own business purpose as it was used across the countries in 40
different languages.
3. Use of the customized system to better serve their customers. The customized system is used
which specially developed for some specific organizations for the specific purposes to be solved.

4. Amazon’s growth and evolution impacted society and technology in the way that it becomes the
first preference over the long period of time. They changed the way of shopping by the people from
traditional to technological. This enhances the usage of the technology for their needs. They created
the economic impact on the society as they provide jobs or investment in the other sectors of the
industry for the growth. They use the technology for the business purpose so the technological
enhancement is done by creating more real time programming development as well as embedded
development. The customization process influences the development of customization software’s for
the different sectors of the industry. The technological education would be impacted in the positive
as number of technology oriented courses become available for the study purpose as well as used
as skills during jobs.

1. What is competition like in the grocery retail industry? Which of the five competitive forces is
strongest? Which is or are weakest? What competitive forces seem to have the greatest effect on
industry attractiveness and the potential profitability of new entrants?
Competition in the grocery industry is high, but Amazon’s acquisition of Whole Foods has already
had a significant impact on the market. The competitive forces in the newly evolving market for
grocery retail industry are moderate to relatively high. The threat of new entry is low, due to the
amount of initial capital it takes to enter and become a contender. The threat of rivalry is the
strongest force. The threat of substitution is relatively low. In regards to substitutions, you have
places like fast food chains, normal restaurants or making their own food.

Because food is a necessity in life and grocery stores are the cheapest place to buy in bulk, the
threat of substitution is low. This is the lowest of the forces There are a high number of competitors
who share the grocery retail industry, offering similar products, further customer loyalty can be either
strong or nonexistent. Major grocers must fight to occupy market share in this industry. The
competitive forces that have the greatest effect on industry attractiveness is the threat of new entry.
As mentioned above, the capital, supply chain capabilities, ability to procure product is extremely
high and therefore makes the industry extremely unattractive to any company without the
aforementioned qualities or capabilities.

2. What does your strategic group map of the U.S. grocery retail industry look like? Is Whole Foods
Market suitably positioned? Why or why or why not?
At this point in time Whole Foods is positioned well in the grocery industry with high quality products
and a good brand reputation. They match the size of industry leaders such as Harris Teeter, and
Farm Fresh, and Publix and have a reputation for quality product, wide product offering and a good
brand reputation. With this being said they are priced higher than other major grocers in this space,
they are able to operate this way because they offer differentiated higher quality product than
competitors.

3. What do you see as the key drivers of change in the U.S. grocery retail industry? Based on these
drivers, trace Amazon, Inc.’s evolution in the U.S. retail grocery industry. Is the Amazon Inc. / Whole
Foods Market combination potentially disruptive? Why or why not?
Some key drivers in the U.S grocery retail industry are the convenience it can bring to the customers
buying products and the quality of freshness they can keep in location for a period of time. As
technology is progressing, society is becoming more reliant on things being done for them quicker,
more efficiently and using less energy. Amazon is excelling in this in regards to the overnight
deliveries and the promising future of drone delivery. Soon, for these different grocery stores to build
a competitive advantage over one another, they must be able to start delivering groceries to
customers in a similar way.

For quality of freshness, these grocery chains need a way to keep their food at the highest quality of
freshness for longer periods of time. This will become easier once drones start coming into play, but
things like a more improved supply chain operation will have to be executed as well.
4. What key factors may determine the success of the Amazon, Inc. combination with Whole Foods
Market?
There are several factors that will determine the success of these two companies. The most
dominant factor is Whole Foods understanding and expertise in logistics. The acquisition allows
Whole Foods to cut down on existing supply chain costs by offering a physical location in
conjunction with their existing online web presence. Amazon’s impact is significant enough that other
major grocery retailers must consider cutting costs to remain competitive.

Amazon has significant leverage with their suppliers, so they can continue to disrupt the traditional
grocery shopping experience by offering a wide variety in a physical store location, see the product
offering for themselves instead of letting someone else serve as their shopper, this is still a market
for certain food products to be purchased online. Amazon and Whole Foods needs to evaluate what
products are suited to an online platform and continue to innovate in this digital direction.

There is a growing demand for organic products. While Amazon and Whole Foods already offers a
wide variety of organic products, as consumers continue to trend towards those foods/lifestyle, they
should continue to turn the majority of their product offering organic.Jeff Bezos and Amazon should
continue to evaluate the competitors they share the industry with, looking to siphon off any
successful strategies/techniques that other industry leaders are employing.
1. What is competition like in the grocery retail industry? Which of the five competitive forces is
strongest? Which is or are weakest? What competitive forces seem to have the greatest effect on
industry attractiveness and the potential profitability of new entrants?
Competition in the grocery industry is high, but Amazon’s acquisition of Whole Foods has already had a
significant impact on the market. The competitive forces in the newly evolving market for grocery retail
industry are moderate to relatively high. The threat of new entry is low, due to the amount of initial
capital it takes to enter and become a contender. The threat of rivalry is the strongest force. The threat
of substitution is relatively low. In regards to substitutions, you have places like fast food chains, normal
restaurants or making their own food.
Because food is a necessity in life and grocery stores are the cheapest place to buy in bulk, the threat of
substitution is low. This is the lowest of the forces There are a high number of competitors who share the
grocery retail industry, offering similar products, further customer loyalty can be either strong or
nonexistent. Major grocers must fight to occupy market share in this industry. The competitive forces
that have the greatest effect on industry attractiveness is the threat of new entry. As mentioned above,
the capital, supply chain capabilities, ability to procure product is extremely high and therefore makes
the industry extremely unattractive to any company without the aforementioned qualities or
capabilities.
2. What does your strategic group map of the U.S. grocery retail industry look like? Is Whole Foods
Market suitably positioned? Why or why or why not?

At this point in time Whole Foods is positioned well in the grocery industry with high quality products
and a good brand reputation. They match the size of industry leaders such as Harris Teeter, and Farm
Fresh, and Publix and have a reputation for quality product, wide product offering and a good brand
reputation. With this being said they are priced higher than other major grocers in this space, they are
able to operate this way because they offer differentiated higher quality product than competitors.
3. What do you see as the key drivers of change in the U.S. grocery retail industry? Based on these
drivers, trace Amazon, Inc.’s evolution in the U.S. retail grocery industry. Is the Amazon Inc. / Whole
Foods Market combination potentially disruptive? Why or why not?
Some key drivers in the U.S grocery retail industry are the convenience it can bring to the customers
buying products and the quality of freshness they can keep in location for a period of time. As
technology is progressing, society is becoming more reliant on things being done for them quicker, more
efficiently and using less energy. Amazon is excelling in this in regards to the overnight deliveries and
the promising future of drone delivery. Soon, for these different grocery stores to build a competitive
advantage over one another, they must be able to start delivering groceries to customers in a similar
way.
For quality of freshness, these grocery chains need a way to keep their food at the highest quality of
freshness for longer periods of time. This will become easier once drones start coming into play, but
things like a more improved supply chain operation will have to be executed as well.
4. What key factors may determine the success of the Amazon, Inc. combination with Whole Foods
Market?
There are several factors that will determine the success of these two companies. The most
dominant factor is Whole Foods understanding and expertise in logistics. The acquisition allows
Whole Foods to cut down on existing supply chain costs by offering a physical location in
conjunction with their existing online web presence. Amazon’s impact is significant enough that other
major grocery retailers must consider cutting costs to remain competitive.
Amazon has significant leverage with their suppliers, so they can continue to disrupt the traditional
grocery shopping experience by offering a wide variety in a physical store location, see the product
offering for themselves instead of letting someone else serve as their shopper, this is still a market
for certain food products to be purchased online. Amazon and Whole Foods needs to evaluate what
products are suited to an online platform and continue to innovate in this digital direction.
There is a growing demand for organic products. While Amazon and Whole Foods already offers a
wide variety of organic products, as consumers continue to trend towards those foods/lifestyle, they
should continue to turn the majority of their product offering organic.Jeff Bezos and Amazon should
continue to evaluate the competitors they share the industry with, looking to siphon off any
successful strategies/techniques that other industry leaders are employing.
5. What recommendations would you make to Jeff Bezos, CEO and founder of Amazon, Inc. to improve
Whole Foods Markets’ competitiveness in the market while mitigating any current and future risks?
Web improvement and innovation:
a. Web design: If we look at the current design of the website, it looks very monotonous and simple. It
lacks main color tone and thus it is not appealing for the customers. Thus the web site should be
redesigned and more dynamic and appealing layout and features must be added.
b. Web language: The main language of the website is English but if we notice than the Amazon Inc
caters the customers of almost 191 countries, thus while entering in the website, the language option
should be provided to the customers for their ease of operating it.
Customers services:
Trust is the biggest issue when it comes to hosts and guests. A review system is being developed by
Amazon in which all customers who order product from their website will have the option of rating each
other. But this is also hampered as they can rate or review themselves and thus the rivals can take the
advantage of it. This will also lead to ignoring the real and authentic reviews. A greater focus should be
given to review system by Amazon. Some kind of OTP system can be introduced to authenticate the
review and if any of the host is having more than specified negative review should be removed from the
list.
Legitimize the business:
The biggest issue related to Amazon among the local government is the impact of Amazon on the supply.
The biggest threats for this kind of phenomenon are related to those who have multiple orders placed
with Amazon which are termed as “commercial users”. In order to control these “commercial users’
some kind of coordination must be held between the Amazon and the government. This is more expected
from Amazon as it aims at providing affordable prices and lower than other e-commerce websites.
Improve safety for orders being delivered:
Amazon should concentrate on delivering packages more safely and should also give some protection to
their payment details that are being shared with Amazon for placing orders. So that customers can
enjoy hassle free order placements and can feel safe for their payment details.
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Answer 1:
Rivalry among the sellers:
Amazon competes against strong competitors. Higher aggressiveness of the firms, higher availability
of the substitutes and lower customer loyalty are the strong forces that make the competition within
the industry more intense. Amazon.com Inc. directly competes against major companies like
Walmart, which has an expanding e-commerce website. Amazon also experiences the strong force
of substitutes because of the high availability of products being supplied by them. Walmart’s physical
or brick-and-mortar stores are substitutes to Amazon’s online retail service. Lower loyalty of the
customers corresponds to low barriers for consumers to shift from one retailer to another, or from
one company to a substitute provider.
Threat of new entrants
Amazon.com Inc. experiences the weak intensity of the threat of new entry as the new entrants is
required to bear a high cost of brand awareness and development in the given scenario of
competition which is sometimes impossible for the new firms as customers tends to use services of
only those retailers on whom they have developed a faith. Moreover, new entrants fail to achieve
economies of scale.
Bargaining power of suppliers:
Amazon experiences the moderate intensity of the bargaining power of suppliers. The small
population empowers suppliers to impose a strong force on Amazon.com Inc.’s e-commerce
business. For example, changes in prices of equipment from a small number of large suppliers could
directly impact the company’s online retail operational costs. However, the moderate forward
integration limits suppliers’ effect on Amazon. Moderate forward integration equates to a moderate
degree of control that suppliers have in the sale of their products to firms like Amazon. Moreover, the
moderate size of most equipment manufacturers limits their influence on the company.
Bargaining power of buyers:
Customers, in today’s environment, have high quality of information and they immediately shift to the
substitute product if they get advantage from them. These forces act as a strong force for the
bargaining power of the buyers.

Bargaining power of substitutes:


Higher availability of the substitute product and lower cost of these products acts as a strong force
for bargaining power of the substitute. Customer’s focus immediately gets shifted on these products
and hence, they intend to buy such product.

What is Amazons Business-Level Strategies of Competitors


The business level strategy of Amazon can be seen as the extreme cost leadership. The company
operates on a very sleek profit margin and the main reasons for its success rely on the economies of
scale, innovative business processes and regular diversification of the business. There are many 4
guiding principles of Amazon's business strategy-

The focus on customers rather than on competition

Innovation and inventions

Operational excellence

Long-term focus.

Amazon's Marketing Strategy


The main pillars of Amazon’s marketing strategies are as below:-

1.       Having the largest assortment of products

2.       Implementation of simple and user-friendly interface

3.       Easy scaling from small to large

4.       Utilizing the partner product and resources

5.       Effective utilization of current communication systems.

6.       Implementation of universal behaviors and mentalities

The marketing strategy of the company combines a series of targeted online marketing channels, for
example, sponsored search, television advertising, associates program, online advertising, social
advertising, and many other marketing initiatives.

Amazon's Financial Strategy


The man focus of the company to invest in the growth and thus the success of the company mainly
depends on the growth investment, searching and looking for new markets and opportunities. The
company is regularly investing in cloud computing, video streaming, tablets, e-books, voice-activated
technology, new social network. The main reason for the success of the company is from the
investment in diversified markets, emerging economies and latest technology

What is Amazons corporate profile and the corporate strategy? What is Amazons business level
strategy? What is Amazons business level strtegies of competitors?

Amazon Inc., an American based company incorporated on 28 May 1996 offers a wide range of
products and services through its website and dedicated application. It is an e-commerce
organization which have presence in 16 countries and 4 continents. It operates trough three
segments Amazon Web Service (AWS), International and North America.

The corporate strategy of Amazon can be described as “concentric diversification” which means
leveraging on technological capabilities to push market penetration and following cost leadership
strategy for business success. Amazon offers maximum value to its customers by adopting this
strategy where customer can get qualitative product in competing price hence increasing more
footprint in the market.
Business level strategy of Amazon is that it has broadened the base products over time. Amazon
was initially offering book sharing services, CDs and DVD sharing service. Gradually it broadened its
product and include consumer product in its kitty. It is the largest online shopping company in the
world. It offered from fashion to electronics, furniture to books etc. Amazon has diversified itself into
online Video and Audio streaming through Amazon Prime. It also offered Amazon Web Service
(AWS) which is a cloud-based enterprise solution.

None of the competitors of Amazon has such scale and intensity in its operation. It has competitors
in segments but not on consolidated level. It enjoys the unique position in the market that is the
reason Amazon is the second most valuable company in the world after Apple. Competitors of
Amazon has individual business level strategy on their segment like it compete with Netflix for
Amazon Prime. Here strategy of Netflix is to create content with global presence and it produces the
show with local partners. In Amazon prime video, Amazon only shared the content in its platform it
does not produce it. In the same way different business level strategy, it has to face with the
competitors.

Amazon's Swot Analysis


Amazon's Strategy Execution
Amazons Strategic Control
Amazons Future Prospects

Ans: Amazon is the world's biggest online retailer and is, in fact, a pioneer in the web-based retailing
space. Despite the fact that it began as an online bookshop, its accomplishment in its endeavor
pushed it to differentiate into moving whatever can be sold on the web. Further, Amazon has
likewise extended all-inclusive and now works the world over through a mix of confined gateways
and globalized conveyance and coordination’s stages. The manner by which Amazon has utilized
innovation as a wellspring of the upper hand and received the rewards of the economies of scale
notwithstanding utilizing the collaborations between its interior assets and outside drivers has
produced numerous opponents who mean to impersonate and better its plan of action.

Amazon's conventional corporate methodology can be portrayed as concentric broadening. This


procedure depends on utilizing mechanical abilities for business achievement and following a cost,
initiative system went for offering the most extreme incentive for its clients at the least cost
notwithstanding folding its business over the clients wherein they observe Amazon be the go-to entry
for their web-based shopping needs.

In reality, this procedure has satisfied well as can be seen from the way that it is the world's biggest
online retailer and has reliably been the pioneer in the market portions in which it works. Having said
that, it should likewise be noticed that cost initiative can pursue the theory of consistent losses
wherein firms following this technique find that they can't support development or increment
productivity once the "low-hanging organic product" are culled.

Amazon's methodology is driven by its wellsprings of upper hand wherein it is center around
innovation, completing the advantages of economies of scale, and utilizing the efficiencies from the
cooperative energies between its outside drivers and inward assets have been the foundations of its
plan of action. Further, Amazon utilizes Big Data Analytics as a device to delineate conduct. In
reality, Big Data has been grasped to such a degree by the organization that it is presently in a
situation to showcase this as administration advertising.

Any individual who has shopped on Amazon experiences a rundown of prescribed items that are
picked by the perusing history and the mapping of their buys with that of likely buys later on. This
has implied that Amazon can detect and intuit what buyers need and tailor its procedures likewise.
As referenced all through this article, Amazon utilizes innovation without limitations, which isn't
astonishing thinking of it as is after each of the web-based organization.

Amazon does not believe in stocking items that intrigue to the requirement for "moment satisfaction"
wherein shoppers make rash buys and who are eager and need handy solutions. For example,
aside from its motion pictures and other advanced things, the other product offerings are all not in
the classification of those that give this satisfaction to the clients. Amazon's present system is
likewise worked around the accommodation angle wherein clients require not to go to a physical
bookshop or even trust that their buys will touch base after some time as it has presented same day
conveyance in numerous nations and is notwithstanding toying with utilizing Drones for close quick
conveyance. Aside from that, its emphasis on non-retail product offerings, for example, cloud-based
administrations implies that it is tending to the issue of separation and also its overreliance on cost
authority.

Amazon's significant distinction would give more noteworthy incentive to clients by a blend of
uncommon comfort, moment access, and complete determination. These distinctions would have
been adequate to assemble an upper hand yet Jeff had one more thought. He chose to include a
first important difference — Low Prices. Amazon would give both esteem and low cost

Social Factors
Amazon acquainting more routes than any other time in recent memory by receiving your items
without leaving the sofa, they've experienced harsh criticism. Their venture into the basic supply
industry, empowering clients to get basic supplies to their doorstep inside hours may adversely
affect the prosperity of the customer since they don't need to wander outside for sustenance any
longer. But this is the thing that clients need: access to a great many items with the capacity to get
them the same day. That is the thing that makes Amazon so incredible. Their classes are regularly
extending, and their transportation is ordinarily top-notch. Also, Amazon offers free and brisk
transportation for Prime participation supporters. Internet shopping is favored for the more youthful
age but on the other hand, it's less demanding for the elderly who experience issues strolling or
driving. This isn't the perfect actuality for North America, but at the same time, it's creating in nations
abroad too.

Technological factors
Amazon is an innovative organization, so these elements can incredibly affect their benefits. They
depend vigorously on fluctuating degrees of innovation to circulate their items to clients. They're
trying different things with new and innovative routes for clients to get their bundles. In 2017,
Amazon started testing their new activity: drone deliveries. It's not as simple as it sounds. They
should conform to government controls to permit the utilization of automatons along these lines. But,
a noteworthy hindrance is a way these automatons can really convey these bundles to the client.

The thought is there. The usage is very far away, in the event that it ever makes it off the ground (the
play on words expected). In any case, it shows that Amazon is thinking about new techniques for
transportation, plainly showing their innovativeness and machine learning. All things considered, if
this somehow happened to become possibly the most important factor, it could tear occupations
from significantly more individuals, since the automatons will convey all the diligent work.

They likewise utilize computerized innovation to construct connections. Amazon messages clients
with suggestions to purchase items they've deserted. How this functions: Once you agree to accept
a record, Amazon may send you data about buys you took a gander at however didn't purchase.
They'll likewise make reference to comparative items that may hit the stamp alternate items missed.
Essentially, they're trusting that you'll purchase items other individuals have.
Amazon initiated its business as an Online Bookstore seller but soon it expanded its business into
numerous other product offerings and became one of the major organizations to offer merchandise
online. Now, Amazon is recognized as the World’s largest- commerce company. The manner in
which Amazon has utilized innovation as a source of advantage and received the benefits of the
economies of scale along with utilizing the collaborations between its internal assets and outer
drivers has spawned many competitors who intend to impersonate and better its plan of action.

The corporate strategy of Amazon can is described as concentric expansion. This methodology
depends on utilizing innovative technological abilities for business achievement and following a cost
administration strategy aimed for offering the greatest value for its clients at the most reduced cost.
Amazon has maintained its business around customers that find Amazon as one of the best online
portals for e-commerce shopping.

The particular measures were taken by Amazon in quest of this strategy incorporate heavy discounts
for its consistent customers through the Amazon Prime program. The prime members can avoid
delivery charges that lower the price much further. This strategy guarantees a smooth and seamless
customer experience.

In addition, Amazon also uses Big Data Analytics as a tool to outline customer behavior. To be sure,
Big Data has been grasped to such a degree by the organization that it is presently in a situation to
market this as another offering. Any individual who has shopped on Amazon experiences a rundown
of prescribed items that are picked by the browsing history and the mapping of their purchases with
that of likely buys in future. This has implied that Amazon can detect and intuit what buyers need
and tailor its methodologies accordingly. Amazon utilizes technological innovation that makes it one
of the smartest internet-based organizations.

Having said that, it must be noticed that Amazon's latest strategy is focused around the convenience
angle wherein clients require no tot go to a physical bookshop or even sit tight for their buys to touch
base after some time as it has presented same day delivery in numerous countries and is also
thinking of utilizing Drones for instant delivery. Aside from that, its emphasis on non-retail product
offerings, for example,cloud-based administrations implies that it is tending to the issue of
differentiation and in addition its overreliance on cost initiative.

- RECOMMENDED COURSE OF ACTION (and implementation plan) From your previous


discussion of the strategic alternatives available to the firm, you will now choose one course of
action you recommend to the firm and explain how the firm should proceed in implementing your
recommendation.

ANSWER-

recommendation would be-

In order to achieve their targets within three years (60 billion) . Demonstrate a better expertise of
customers portfolio • And penetrate the market The developed expertise of Amazon is highly needed
. Penetrating the market online is an indirect way to advertise for the offline stores with a trade off
situation . Since the new India’s foreign direct-investment policy in 2016, India’s government allowed
Amazon 100% foreign direct investment in the business-to- consumer online marketplace.

Amazon have an opportunity to use Future Group’s product portfolio and its understanding of the
local consumer Growth of the Indian economy, changing demographics, increased disposable
income, focus on technology Significant retail industry growth, from $204 b to $600 b between 2000
– 2014 and expected growth of up to $1,3 trillion by 2020 Fast growth of the online retail industry,
from $500 m to $2 b between 2009 – 2014 that expects to double by 2020 Brick and mortar retailers
are looking for opportunities to enter online channel Direct investment policy restrict foreign
companies operations Business related cooperative strategy Corporate related cooperative strategy
International cooperative strategy

Swot analysis for Amazon

Brief description of a company:

Amazon is an American E-commerce (online retailer) and Cloud computing company with
headquarters in seattle in America. It primarily sells products over its online marketplace and offers
many other products and services through its subsidiaries. It is one of the biggest retailers at global
level and steadily growing every year.

Revenue source of Amazon is from cloud computing business and online retailer business. SWOT
analysis is strategic framework through which top management identify the internal and external
factors which can impact company performance in long term. Strength and weakness is internal
factor however opportunity and threat is the external factor which cannot be controlled by company.
Below is the SWOT analysis of Amazon.

Strength
 Unique and robust business model
 Customer at the core approach
 Strong wing of logistics and supply
chain network Weakness
 Cost leadership  No retail outlet (absence of
 Product group classification physical outlet)
 Large third party seller  Unsuccessful new product - Kindle

Opportunity
 Acquisition of E-commerce Threat
company  Local competition
 Opportunity to open retail outlet in  Entry barrier into business is not
Asia and emerging economy high
country  Data security and hacking
STRENGTH:
Unique and robust business model: Operating model of “Direct-to-consumer online model” is strategic
business model which help them to reduce the intermediaries cost to reach the product to customer.
This also help in increasing inventory turns so working capital would be low. Model operates through
online mode so it is easy to access for any customer from any location. Operating model is similar
across the geography which brings efficient management of logistics network.
Customer at the core approach: Amazon adopted a “customer at a Core” approach. This help
company to understand customer need thorough interactive user interface. This approach plays a
vital role in building a technology based system which would be highly customer friendly and meet all
selling needs to customer. Customer centric features- such as “Your Account”, “notification” ,“status
of your shipment” , etc. helped not only to convert the customer however created a strong customer
relationship database internally to improve the existing customer experience.
Strong wing of logistics and supply chain network: Amazon set a fulfillment center with strategic
partners. This caused to create a deep, strong and structured delivery network. This model helps in
creating a free delivery concept for customer.    
Large number of third party seller: This is the win-win deal for both, Amazon and retailer. Amazon
provided an opportunity to retailer to be a part of Amazon growth journey wherein sellers can sale
the product. High volume of traffic at amazon website grabbed the attention of third party seller so it
led to increase in third party base in Amazon bucket.
WEAKNESS:
No retail outlet (absence of physical Outlet): At present, Amazon is not in the physical out let like other
retailers. Amazon can have an opportunity to open a store where customer can visit and see the
product quality before buying it.
Unsuccessful new product – Kindle : Amazon launches a unique product called kindle for the people
who like reading. The concept was highly appreciable however it was highly acceptable by
customer. The product failed to create a flagship product in a market.
OPPORTUNITY –
Acquisition of new E-commerce company: Amazon need to see acquisition as a key strategy for
growth of business. It will not only grow business however ensure the expansion of business in
different geography. Acquisition move will be beneficial in terms of making a strong and giant
presence in the market. From the product categories point of view, it will help to expand the existing
business line and can grab more customer.
Opportunity to open retail outlet in Asia and emerging economy country: Amazon is growing company
however considering the customer need based on different geography, Amazon has an opportunity
to open in outlet in Asian country wherein customer will have an experience of touch and feel factor.
They can understand the quality of the product as well. This will help in eradicating the thought about
quality of product and start believing in online product purchasing.
THREAT:
Local competition: In-spite of having cost leadership, Amazon have a local completion from
Snapdeal and Flipkart in India. They are strong in understanding local customer needs which impact
on customer buying pattern. They are taking the customers away from Amazon. It is a hard for Big
giant- Amazon to make a profit in local market.

Entry barrier into business is not high: Barrier to enter into online market is not high so it creates
tough competition and price war. It ultimately results in shrinking profit margins which create a
question on sustainability of the player into market.
Data security and hacking: Through online mode, consumers are entering the data. This data
includes mode of payment and banking details of consumer. Data security may cause major concern
for customer. Amazon need to move in order to allay concerns of customer and make them
guaranteed that payment is secured.
Ans: Amazon is the world's biggest online retailer and is, in fact, a pioneer in the web-based retailing
space. Despite the fact that it began as an online bookshop, its accomplishment in its endeavor
pushed it to differentiate into moving whatever can be sold on the web. Further, Amazon has
likewise extended all-inclusive and now works the world over through a mix of confined gateways
and globalized conveyance and coordination’s stages. The manner by which Amazon has utilized
innovation as a wellspring of the upper hand and received the rewards of the economies of scale
notwithstanding utilizing the collaborations between its interior assets and outside drivers has
produced numerous opponents who mean to impersonate and better its plan of action.

Amazon's conventional corporate methodology can be portrayed as concentric broadening. This


procedure depends on utilizing mechanical abilities for business achievement and following a cost,
initiative system went for offering the most extreme incentive for its clients at the least cost
notwithstanding folding its business over the clients wherein they observe Amazon be the go-to entry
for their web-based shopping needs.

In reality, this procedure has satisfied well as can be seen from the way that it is the world's biggest
online retailer and has reliably been the pioneer in the market portions in which it works. Having said
that, it should likewise be noticed that cost initiative can pursue the theory of consistent losses
wherein firms following this technique find that they can't support development or increment
productivity once the "low-hanging organic product" are culled.

Amazon's methodology is driven by its wellsprings of upper hand wherein it is center around
innovation, completing the advantages of economies of scale, and utilizing the efficiencies from the
cooperative energies between its outside drivers and inward assets have been the foundations of its
plan of action. Further, Amazon utilizes Big Data Analytics as a device to delineate conduct. In
reality, Big Data has been grasped to such a degree by the organization that it is presently in a
situation to showcase this as administration advertising.

Any individual who has shopped on Amazon experiences a rundown of prescribed items that are
picked by the perusing history and the mapping of their buys with that of likely buys later on. This
has implied that Amazon can detect and intuit what buyers need and tailor its procedures likewise.
As referenced all through this article, Amazon utilizes innovation without limitations, which isn't
astonishing thinking of it as is after each of the web-based organization.

Amazon does not believe in stocking items that intrigue to the requirement for "moment satisfaction"
wherein shoppers make rash buys and who are eager and need handy solutions. For example,
aside from its motion pictures and other advanced things, the other product offerings are all not in
the classification of those that give this satisfaction to the clients. Amazon's present system is
likewise worked around the accommodation angle wherein clients require not to go to a physical
bookshop or even trust that their buys will touch base after some time as it has presented same day
conveyance in numerous nations and is notwithstanding toying with utilizing Drones for close quick
conveyance. Aside from that, its emphasis on non-retail product offerings, for example, cloud-based
administrations implies that it is tending to the issue of separation and also its overreliance on cost
authority.

Amazon's significant distinction would give more noteworthy incentive to clients by a blend of
uncommon comfort, moment access, and complete determination. These distinctions would have
been adequate to assemble an upper hand yet Jeff had one more thought. He chose to include a
first important difference — Low Prices. Amazon would give both esteem and low cost

Social Factors
Amazon acquainting more routes than any other time in recent memory by receiving your items
without leaving the sofa, they've experienced harsh criticism. Their venture into the basic supply
industry, empowering clients to get basic supplies to their doorstep inside hours may adversely
affect the prosperity of the customer since they don't need to wander outside for sustenance any
longer. But this is the thing that clients need: access to a great many items with the capacity to get
them the same day. That is the thing that makes Amazon so incredible. Their classes are regularly
extending, and their transportation is ordinarily top-notch. Also, Amazon offers free and brisk
transportation for Prime participation supporters. Internet shopping is favored for the more youthful
age but on the other hand, it's less demanding for the elderly who experience issues strolling or
driving. This isn't the perfect actuality for North America, but at the same time, it's creating in nations
abroad too.

Technological factors
Amazon is an innovative organization, so these elements can incredibly affect their benefits. They
depend vigorously on fluctuating degrees of innovation to circulate their items to clients. They're
trying different things with new and innovative routes for clients to get their bundles. In 2017,
Amazon started testing their new activity: drone deliveries. It's not as simple as it sounds. They
should conform to government controls to permit the utilization of automatons along these lines. But,
a noteworthy hindrance is a way these automatons can really convey these bundles to the client.

The thought is there. The usage is very far away, in the event that it ever makes it off the ground (the
play on words expected). In any case, it shows that Amazon is thinking about new techniques for
transportation, plainly showing their innovativeness and machine learning. All things considered, if
this somehow happened to become possibly the most important factor, it could tear occupations
from significantly more individuals, since the automatons will convey all the diligent work.

They likewise utilize computerized innovation to construct connections. Amazon messages clients
with suggestions to purchase items they've deserted. How this functions: Once you agree to accept
a record, Amazon may send you data about buys you took a gander at however didn't purchase.
They'll likewise make reference to comparative items that may hit the stamp alternate items missed.
Essentially, they're trusting that you'll purchase items other individuals have.

Amazon initiated its business as an Online Bookstore seller but soon it expanded its business into
numerous other product offerings and became one of the major organizations to offer merchandise
online. Now, Amazon is recognized as the World’s largest- commerce company. The manner in
which Amazon has utilized innovation as a source of advantage and received the benefits of the
economies of scale along with utilizing the collaborations between its internal assets and outer
drivers has spawned many competitors who intend to impersonate and better its plan of action.

The corporate strategy of Amazon can is described as concentric expansion. This methodology
depends on utilizing innovative technological abilities for business achievement and following a cost
administration strategy aimed for offering the greatest value for its clients at the most reduced cost.
Amazon has maintained its business around customers that find Amazon as one of the best online
portals for e-commerce shopping.

The particular measures were taken by Amazon in quest of this strategy incorporate heavy discounts
for its consistent customers through the Amazon Prime program. The prime members can avoid
delivery charges that lower the price much further. This strategy guarantees a smooth and seamless
customer experience.

In addition, Amazon also uses Big Data Analytics as a tool to outline customer behavior. To be sure,
Big Data has been grasped to such a degree by the organization that it is presently in a situation to
market this as another offering. Any individual who has shopped on Amazon experiences a rundown
of prescribed items that are picked by the browsing history and the mapping of their purchases with
that of likely buys in future. This has implied that Amazon can detect and intuit what buyers need
and tailor its methodologies accordingly. Amazon utilizes technological innovation that makes it one
of the smartest internet-based organizations.

Having said that, it must be noticed that Amazon's latest strategy is focused around the convenience
angle wherein clients require no tot go to a physical bookshop or even sit tight for their buys to touch
base after some time as it has presented same day delivery in numerous countries and is also
thinking of utilizing Drones for instant delivery. Aside from that, its emphasis on non-retail product
offerings, for example,cloud-based administrations implies that it is tending to the issue of
differentiation and in addition its overreliance on cost initiative.

Examine the recent history and current activities of Amazon.


Explain where alliances or mergers or acquisitions have been important to Amazon.
Briefly describe any key alliances, mergers, or acquisitions and explain how they relate to the
strategic direction of Amazon.

Amazon has implemented and new brick and mortar store in New York to provide an enriching
experience to its customer by entering the store and buying the books.

Amazon was previously only dealing in online books as well as e-books but since 2015. Amazon has
entered the means to market by opening a store in New York. By targeting on the tourist as well as
the royal Shoppers who directly experience and ability in shopping in person.

Amazon's main go to market strategy includes that day off physical shopping that is given by some
store. By actually looking at the book while shopping them is one of the best feelings for a book
buyer.

Amazon's Retail store is very profitable and generating good profit for the Amazon. This book store
also provide a physical identity for the company in the eyes of the customer which directly improve
the overall brand image between the society as well as the customer.

Company is dealing in brick and mortar store since 2015 in Seattle. After setting up their First
Source company plant out to take 13 more stores in United States of America. By setting up multiple
stores company has started traditional book store which is directly related to people as well as the
society it is located in.

Amazon Book Stores are doing very good and their generating expected revenues from the stores.
Customers are also happy to see their books in physical form rather than ordering online. By
implementing different task to the organisational structure of Amazon brick and mortar stores,
amazon has successfully started a traditional system.

3 business strategy with which Amazon can improve the brand value are as follows

• Creating an on ground ad campaign

By creating an on ground campaign just I hate the store in Seattle as well as other cities of United
States Amazon can easily create and maintain strong brand identity by going into the people and
telling them about the book store they open as well as advertising their brand.
• Getting direct interaction with customers

By providing direct services to customers Amazon brick and mortar store would be very helpful in
interacting with them. Interaction would leave a positive impact on the customers and provide a
positive brand image as well.

• Improve corporate culture

In house culture in the brick and mortar store of Amazon good leave a direct effect on the customers
who are shopping inside the complex. By maintaining good cultural diversity as well as working
environment Amazon can easily build a clean brand image among its customers.

From selling online to coming on the offline store was the main need for Amazon. Amazon has
successfully analyse the offline market and created it store in various major cities of United States of
America. Maintaining a strong brand identity among its customers Amazon has easily get the
credibility and became a mainstream provider of books.

Company started a new inventory system specifically for their stores and forecasting the need of
available books for the customers. By improving the overall supply chain management for the
specific set of stores company implemented the amazons online strategies in their stores which help
them creating a better environment for the management system. By increasing the number of
adopted data from the service as well as providing coupons in exchange to filling up the service for
the amazon.com, amazon has successfully implemented the customer understanding as well as
data management.

By listening to the voice of the customer using different surveys as well as providing platform to its
employees to be on a ground store for interacting with the customers is one of the main strategies of
Amazon to be in the mainstream market.

Be specific changes made Amazon as one of the most promising books provider as the brick and
mortar store industry.

This specific innovation of Amazon has disrupted the Barnes and nobles market, as the direct
competition was Barnes and nobles as well as other Book Stores which are directly dealing in books
in the mainstream market. As the Amazon came into the light it's huge inventory as well as book
selling system turns offline from online and this specific provision of books created a very efficient
system.

The system has successfully adopted the new environment and disrupted the business of other
market competitors by a large margin.
How can you describe Jeff Bezo's leadership style?
Bezos vision of conducting work is unique and as per the employees, Bezos is very much focused
on the strength and the risk factor against any decision taken for the purpose of the organization.

Jeff Bezo’s follows a remarkable philosophy in the work style, Bezos never sits idle, and he always
deals to bring the creativity to work to perform even better. The objectives, strategies, and planning
are quite well designed by him for AMAZON. He has the deepest sense of work and has the inbuilt
qualities for maintaining a good leadership in the organization. The organization's growths generally
come from the better workforce and good leadership qualities. As per the employees, he maintains
such an encouraging and motivating environment which the employees love and shows the
eagerness to work better and in this way he manages to get the quality work in the organization. He
listens and appreciates to all and gives employees that space to showcase their creativity and ideas
to perform the work which they liked very much.   

What is Amazons Business-Level Strategies of Competitors


The business level strategy of Amazon can be seen as the extreme cost leadership. The company
operates on a very sleek profit margin and the main reasons for its success rely on the economies of
scale, innovative business processes and regular diversification of the business. There are many 4
guiding principles of Amazon's business strategy-

The focus on customers rather than on competition

Innovation and inventions

Operational excellence

Long-term focus.

Amazon's Marketing Strategy


The main pillars of Amazon’s marketing strategies are as below:-

1.       Having the largest assortment of products

2.       Implementation of simple and user-friendly interface

3.       Easy scaling from small to large

4.       Utilizing the partner product and resources

5.       Effective utilization of current communication systems.

6.       Implementation of universal behaviors and mentalities

The marketing strategy of the company combines a series of targeted online marketing channels, for
example, sponsored search, television advertising, associates program, online advertising, social
advertising, and many other marketing initiatives.
Amazon's Financial Strategy
The man focus of the company to invest in the growth and thus the success of the company mainly
depends on the growth investment, searching and looking for new markets and opportunities. The
company is regularly investing in cloud computing, video streaming, tablets, e-books, voice-activated
technology, new social network. The main reason for the success of the company is from the
investment in diversified markets, emerging economies and latest technology

Analysis of Amazon – Functional Strategies. Articulate ways to coordinate use of financial &
human resources and other functional areas to meet organizational goals & objectives.
A. Marketing – Finance – Operations – Purchasing – Human Resources – Information
Systems
B. How well are the functional strategies aligned?

Amazon's methodology for functional strategies is the utilization of advanced digital marketing or
advertising.

In order to understand how Amazon uses its financial, human resources and other functional areas
to meet organizational goals, refer below points:-

1) Their business development depends on taking part in online advertisements and suggestions
that we go over while surfing on the web

2) Their client-driven methodology keeps them in front of the opposition

3) A simple process makes it straightforward for the client to encounter the easy to use the platform

4) They have Leveraged their organization internally, so as to keep up client information to gather
knowledge about behavioral insights.

5) Creating new ideas & thoughts, for instance, Amazon prime or Alexa to pull in clients or grasp
innovation to give better products and service has made Amazon first-class player in the advanced
market

6) Amazon's business system depends on one essential objective that will be join forces with
merchants all around the world so as to be a piece of each and everything buy connecting with
advanced innovation has made them powerful
Explain the various ways an organization (e.g. Daraz) might improve their web presence.

The improvement in the web presence of a company can be undertaken as follows-

 Create a website that is device friendly,meaning the website which can be


compatible on both laptops and mobile devices.
 Create the user interface which is interactive,accessible and easy to navigate.
 Join multiple social media platforms that are popular and use them to connect with
the audiences
 Create fan groups to increase the participation of the people in it and for spreading
the word around.
 Use ads from facebook,google,instagram etc to increase the reach of the website
 Use email marketing,youtube ads etc improve web presence
 Use analytics to identify the target segments and direct the messages to them
Daraz:

CRM helps to collect the data of the customers and help those customers to get proper service. For
any online business, maintaining customer relationship is the key to success. Amazon has its own
CRM software to capture customer data and to provide their customers exactly what they want . To
let the potential customer, know about the business, every business must need to do marketing.
Daraz is doing a fantastic job managing its relationship with its customers. As the leading E-
commerce brand, Daraz goes beyond to do marketing for creating a brand identity. Through Daraz’s
campaigns, it has earned popularity than any other e- commerce brands. As I joined in marketing
department, I was directly related with two of its campaigns. Daraz arranged «Daraz Fashion Week»
for the first time with the launching of a lavish fashion show event.

As an e-commerce brand, this show was first fashion show ever by any e-commerce brand. ICE
TODAY covered the whole event and made an after movie. Moreover, they have their own issue
focusing the event. The luxurious show mainly arranged to pull the focus of the customers to Daraz’s
Fashion category.

Another biggest campaign of Daraz has arranged on this November which was the reflection of
Black Friday and named as «Fatafati Friday». It was a 10-day long campaign where customers
availed mega deals, flash sales, and 99tk deals. The total sales were more than 6 million Euros.
Moreover, on October Daraz also celebrated Daraz 10.10 mega sale whose concept was takenfrom
the big giant Alibaba.

These campaigns are the most basic and popular way of marketing. Daraz has various ways of
generating leads to make customers attracted. Social Media. Since 80% women are prone to use
social media more than males, it is most ideal to target social sites to do marketing to the females .

Different groups have different traceable links which Daraz used to track the sales coming from the
groups. On campaigns they were given voucher codes to get discounts on certain amount of
purchase from Daraz. My basic job was to let them know about the campaigns and offers going on
Daraz.

You are supposed to prepare the Use Case Diagram for Daraz.pk
Step 1: Prepare the list of relevant actors and actions
Step 2: Prepare System View Use case Diagram
The following are the use cases of daras.pk relating to customer:

 Register
 Login
 search product
 view product
 order product
 view shopping cart
 Update info
 Profile
 Checkout
The following are the use cases of daras.pk relating to bank:

 verify card
The following are the use cases of daras.pk relating to admin:

 add product
 remove product
 update product
 add category
 remove catagory
 update category
 Manage Customers
The following are the use cases of daras.pk relating to shipping clerk:

 verify payment
 ship product

From the above mentioned company name what you have to do in assignment:
1-Daraz.pk history,background/introduction
2- Which business model is practice in Daraz.pk?
Such as
(B2B,B2C,C2C,D2C & C2B)
3- Online number of modules for there business
4- Number countries where brands are being offered.
5- Which is stands out as competitive advantage strategy among competitors
6- Essence of online business
7- Recommendations
8- Conclusion

1- Daraz was supported as an internet fashion merchant in Islamic Republic of Pakistan in 2012 by
Muneeb Maayr (Founder) & Farees sovereign (Co-Founder) whereas Muneeb Maayr was acting at
Rocket web. Daraz's initial funding and work came from Rocket web however was later modified to a
general marketplace strategy and business model in 2015 once it conjointly launched operations in
Asian nation and Burma.
In Gregorian calendar month 2015, Daraz secured fifty million euros in its Series B funding so as to
expand operations in Asian nation, Burma and Islamic Republic of Pakistan. CDC Group, a state-
owned Development Finance establishment (DFI) within the Great Britain, endowed €20 million
aboard a €30 million investment from Daraz's existing majority shareowner, Asia web Holdings.
In July 2016, Daraz cluster nonheritable Kaymu, a consumer-to-consumer on-line marketplace in
South Asia. With this acquisition it began operations in Nepal and Sri Lanka.
In might 2018, Daraz cluster declared that it had been nonheritable by Alibaba cluster for associate
unrevealed quantity. This was 2 years when Alibaba's acquisition of Lazada cluster, that was
conjointly a startup by Rocket web within the South-East Asian market. Alibaba cluster conjointly
runs Singapore's Redmart, and owns stakes in Japan's Rakuten and Indonesia's Tokopedia.
Daraz Group's 5 markets (Bangladesh, Myanmar, Nepal, Islamic Republic of Pakistan and Sri
Lanka) cowl over 460 million individuals, of whom hr area unit below the age of thirty five. so as to
change the supply scheme and to boost the delivery standards, Daraz has engineered its own
supply company, Daraz categorical (DEX), all told 5 markets.

Daraz is an internet marketplace and supply company that operates in markets of South Asia and
geographical region. it absolutely was supported in 2012 as an internet fashion e-commerce
marketplace in Islamic Republic of Pakistan by Muneeb Maayr (Founder) & Farees sovereign (Co-
Founder) at the German based mostly venture builder, Rocket web. Daraz cluster operates e-
commerce platforms and supply service in Asian nation, Myanmar, Nepal, Islamic Republic of
Pakistan and Sri Lanka. Bjarke Mikkelsen is that the current CEO of Daraz. In might 2018, Daraz
cluster was nonheritable by the Chinese e-commerce company Alibaba cluster from the German
working capital company, Rocket web.

2- Daraz.pk use B2C business model because they have tie-ups with several suppliers and some
their products are private labels which they directly sell to their potential customers via online
website.
3- Shopping addict tracking and monitoring tracking modues they use to retain their customers for
the longer period of time. Daraz.pk basically tries to study the purchasing pattern with their loyalty
program which helps the company in getting to know which customer is purchasing which thing in
high numbers along with the time duration and total value of money which helps them doing all
analysis and then coming to the conclusion for any decision making.
4- Daraz.pk do their offerings to Bangladesh, Myanmar, Nepal, Pakistan and Sri Lanka.
5- One of the most important challenges visaged by the e-commerce trade is fulfilment. that's
creating timely deliveries. however what if a client misses a delivery? in fact, it'd be inconvenient for
him unless he was doing it deliberately, however it'd be additional inconvenient and unfriendly for the
business as a result of deliveries incur prices and once a client misses a delivery, this value doubles.
It is maybe to minimise such deliveries that AliBaba Group-backed Pakistan’s largest on-line looking
store Daraz has launched Daraz pick-up points across the country to facilitate customers.
Customers UN agency have placed orders on-line on Daraz are ready to collect their orders at these
pick-up points.

This growth within the business includes forty seven Daraz hubs across the country, and ten Daraz
Dukaans in metropolis have taken on an extra operate whereby customers will choose to collect
their orders from these locations rather than having them delivered to their homes.

This gives them the flexibleness to select up their order at any given time of the day that may well be
before work, when work or whenever they need. however the service is restricted to postpaid orders
solely. that's to mention solely those customers area unit eligible for this service that pay on-line after
they place the order, limiting the scope of the service as a result of a majority of the orders area unit
paid in money.

A major chunk of Pakistani population is unbanked and undigitised, feat them with no choices to
form on-line payments. And for those who have bank cards or digital wallets to form these payments,
security of payments remains a priority.
Consequently, a majority of Pakistani shoppers choose to pay in money to the dispatch guy
delivering their consignment. concerning 90pc of e-commerce payments in Islamic Republic of
Pakistan area unit cash-on-delivery (CoD) and Daraz is not any completely different. A bulk of
payments in money aren’t smart for associate e-commerce business. It affects their money flows.
shoppers would miss deliveries as a result of riders would return from time to time once no one was
reception to receive the order. although the delivery was incomprehensible , the corporate incurred
the fees to deliver that product and would need to deliver it once more, acquisition additional
charges. however the payment would solely be received once the patron receives the merchandise
as a result of he selected CoD.

For Daraz, introducing these pick-up points could be a good business strategy. It encourages users
to pay on-line, whereas conjointly minimising deliveries and saving a number of the prices related to
it. Not solely will the digital payments improve cash-flows, pick-ups by customers from these
locations conjointly ease away the pains related to the supply.

Daraz conjointly plans to activate additional Daraz pick-up points before its national holiday sale
event. And for all the CoDs, home delivery remains associate possibility. “Over subsequent six
months, we tend to aim to partner with 100s of stores across the country to form it even additional
convenient for our customers to select up their order,” aforementioned Daraz Head of Localisation
Kassim Shroff.

In 2018, the web platform launched Daraz hubs in nineteen cities together with metropolis, Lahore,
capital of Pakistan and every one different major cities to assist customers place orders and come
product with the help of Daraz representatives UN agency area unit gift at the Daraz-owned brick-
and-mortar stores. The agents conjointly facilitate make sure that client queries and problems area
unit resolved quickly.

6- Essence of online business:-


24 Hour availableness
The internet is usually offered and might showcase your business all day long. this allows your
prospective customers to seek out your product and services at any time of the day and from any
location. If you run a retail business, your on-line store are going to be accessible on a twenty four
hour basis and customers will handily build their purchases whenever they have to. this can be a key
advantage over offline looking wherever you've got to attend till business hours.
Brand Building
A strong on-line presence permits you to create your whole and gain the credibleness that you
simply got to attract a lot of customers. in conjunction with creating your business promptly
accessible, on-line presence additionally provides your customers a straightforward thanks to
establish a lot of regarding what you've got to supply.
Positive Image
Interacting together with your customers and obtaining feedback from them through on-line reviews
furthermore as frequently change your on-line posts can produce a positive image for your business.
this kind of image will increase the probability of prospective customers doing business with you and
boosting your sales.
Larger Audience
The web provides you access to a way larger audience that has folks inside your location and on the
far side. This exposes your on-line business to even a lot of opportunities and offers you the
possibility to work on a world level.
Positive Reviews
A credible business that values its clients will anticipate to positive reviews that may end in client
loyalty and a broader customer base. Customers typically use reviews to form their getting call and
it’s vital to order quality client service.
Effective selling
Online presence makes it easier for you to promote your business and sell your product. A properly
designed and informative web site with well written content permits customers to form hep getting
decisions. the net provides a selling platform that offers you a price effective thanks to reach a wider
audience than standard selling techniques.
Accessibility
It is essential for each little and huge businesses to maximise on the advantages of getting a
powerful internet presence. Aspects like dynamic search algorithms and social networks ar powerful
within the method of constructing it easier for patrons to find totally different businesses on-line. A
business that doesn't have an internet business is considered non-existent within the fashionable
and competitive business surroundings.
Customers get info through search engines and also the web is AN unequalled supply of knowledge.
you've got the choice of hiring professionals United Nations agency will assist you establish an
internet presence supported their data of things starting from latest algorithms to look engine codes.
selling your business on-line constitutes your web site, SEO and strategic use of social media.

7- Recommendations:- Daraz.pk should is not using many opportunities which is that they can
expand their operation in many asian countries as well as to other continent countries which will help
in gaining more potential customers and their audience will become more wider and strong. Even the
presence of the company will also become very strong.
8- Conclusion:- Though overall the offering of the company is very strong and now this company has
taken over by the giant eccomerce leader of asia named as alibaba which has wider distribution
network and will help in stregthening the image of the brand in the whole world.

Write 8 different features of daraz.pk

 It is an industry of Apparel and Fashion.


 Contains over 300 brands.
 Contains over 500000 products.
 Ranks #1,917 in the world.
 Targets educated people.
 Delivers in almost 200 countries with courier service
 No political influence.
 Opeartes in South Asia and Southeast Asian markets.
Imtiaz, a venture of Mr. Hakim Khan Abbasi began operations in the year 1955. His primeval idea
was to kick off a small store which could provide general items of daily use to their customers. Over
the years as business grew, Mr. Imtiaz Hussain envisioned of making Imtiaz Super Store, a store
which would help make peoples life better. He had a vision to serve people by helping them save
money in their day today shopping; a vision to strive and conquer their customer's with love.
Currently the Supermarket has three Stores, five warehouses and a packaging unit and this
elaborate network is controlled from the Head office located at Karachi, Pakistan. Keeping pace with
growth in Retail Sector in Pakistan, company is about to inaugurate a new Supermarket that be
biggest one among all three existing super Markets.
In recent years, Imtiaz Group has achieved growth through an aggressive strategy for opening new
stores. While Supermarket sales are a major driver for this strategy, the company's warehouses had
become burdened by poor inventory visibility and control and limited data that compromised its
decision making.
As an expanding business they required a modern IT platform that could consolidate their Retail and
warehousing operations and foster the planned pace of growth.
Imtiaz group had previously invested in a Retail Software from a local company, but the system
failed to ease their retail & warehousing operational needs. Inaccurate view of inventory in their
warehouses and ill planned changes to inventory and transactions was a key concern. Poor
reporting capability of their legacy system was another pain point that made it very difficult to operate
the business.
In Supermarket landscape, itemized view of inventory was required to ascertain pilferage which was
a herculean task. Stock data was being stored at different locations leading to constant discrepancy
in stock level.
Company wanted to take advantage of the latest retail technology in order to offer its customers the
most efficient and streamlined purchasing experience, with a focus on fast, effective, and efficient
service to each customer. For this, Imtiaz also required an integrated solution that would facilitate
control on their stores and showrooms.
Q-1 What are the challenges being faced by Imtiaz supermarket?
Q-2 Did these challenges effect customer satisfaction? Explain how with examples
Q-3 What could be possible solutions for these challenges? What do you recommend being an
entrepreneur?
Q-4 what sort of benefits would it bring to Imtiaz Super Market?
1. The challenges being faced by Imtiaz supermarket are:
 Lack of IT software to keep records of all inventory and transactions.
 Unorganized inventory data.
 Poor positioning of products in the supermarket.
2. Yes, the above-discussed challenges affect customer satisfaction, since
 The unorganized placing of products - There is no accurate data related to the
inventory in the supermarket. So, the proper placing of products would also be
difficult. This could make consumers confused.
For eg-. Customer A is looking for Colgate toothpaste but he is confused regarding its availability
since there is no division of departments.
 Unanswered customer's query - A customer may feel dissatisfied if his queries are not
answered properly.
For eg-. Customer A is asking the salesperson if Colgate is available or not, but the salesperson
himself is unaware of it.
 Poor relationship with the customers - An unsatisfied and poor management inventory
management, reduces the possibility of a better relationship with customers.
For eg.- Customer A is not satisfied with the service of the supermarket, which would affect his
relationship with Mr. Imtiaz.
3. My recommendations would be:
 Implementing IT software should be a priority
 The salesperson should do proper analysis about the availability of products
 Customers should give access to only those sections of the market that is organized
4. If the above recommendations are implemented, it would bring the following benefits to Imtiaz
Super Market,
 Proper management of inventory due to the implementation of IT software.
 Customer satisfaction
 A good relationship with customers

Imtiaz, a venture of Mr. Hakim Khan Abbasi began operations in the year 1955. His primeval idea
was to kick off a small store which could provide general items of daily use to their customers. Over
the years as business grew, Mr. Imtiaz Hussain envisioned of making Imtiaz Super Store, a store
which would help make peoples life better. He had a vision to serve people by helping them save
money in their day today shopping; a vision to strive and conquer their customer's with love.
Currently the Supermarket has three Stores, five warehouses and a packaging unit and this
elaborate network is controlled from the Head office located at Karachi, Pakistan. Keeping pace with
growth in Retail Sector in Pakistan, company is about to inaugurate a new Supermarket that be
biggest one among all three existing super Markets.
In recent years, Imtiaz Group has achieved growth through an aggressive strategy for opening new
stores. While Supermarket sales are a major driver for this strategy, the company's warehouses had
become burdened by poor inventory visibility and control and limited data that compromised its
decision making.
As an expanding business they required a modern IT platform that could consolidate their Retail and
warehousing operations and foster the planned pace of growth.
Imtiaz group had previously invested in a Retail Software from a local company, but the system
failed to ease their retail & warehousing operational needs. Inaccurate view of inventory in their
warehouses and ill planned changes to inventory and transactions was a key concern. Poor
reporting capability of their legacy system was another pain point that made it very difficult to operate
the business.
In Supermarket landscape, itemized view of inventory was required to ascertain pilferage which was
a herculean task. Stock data was being stored at different locations leading to constant discrepancy
in stock level.
Company wanted to take advantage of the latest retail technology in order to offer its customers the
most efficient and streamlined purchasing experience, with a focus on fast, effective, and efficient
service to each customer. For this, Imtiaz also required an integrated solution that would facilitate
control on their stores and showrooms.
Q1 What are the challenges being faced by Imtiaz supermarket?
Q2 Did these challenges effect customer satisfaction? Explain how with examples
Q3 What could be possible solutions for these challenges? What do you recommend being an
entrepreneur?
Q4 what sort of benefits would it bring to Imtiaz Super Market?

Q1 What are the challenges being faced by Imtiaz supermarket?


Ans-The major challenge faced by the supermarket is the visibility of the warehouse inventory
because of limited data availability and a robust system which compromised its decision-making
ability. They needed an error-free IT platform and an efficient supply chain which would eliminate the
warehousing and supply worries.
Q2 Did these challenges affect customer satisfaction? Explain how with examples.
Ans- In the above article, they haven't mentioned about it directly, however, due to inadequate
inventory in the general scenario, it would certainly hamper customer satisfaction. For example,
inaccurate inventory may result in a shortage of essential goods, this would create a negative
customer experience in case the required essential goods are out of stock most of the times. The
dissatisfied customer may turn to a competitor brand for shopping which would result in revenue and
goodwill loss for Imtiaz.
Q3-What could be possible solutions for these challenges? What do you recommend being an
entrepreneur?
Ans- Imtiaz can opt for a specialized supply chain service provider along with the use of tired party
warehousing. These specialised service providers would take care of the warehousing, inventory
and supply needs of the supermarket chain ensuring the challenges are minimised and providing
Imtiaz with the flexibility to focus on other parameters of business like brand promotion, positioning,
market penetration etc.
Q4 What sort of benefits would it bring to Imtiaz Super Market?
Ans- Imitiaz supermarket's inventory flow will be smoother thereby eliminating the issue of over and
understocking of goods. Availability of essential goods on any given time would make customers
happy and would refer other customers through word of mouth publicity. it will also relieve him of the
additional task fo monitoring the warehousing activities and could rather focus on productive work.
With help of a good supply chain and warehousing services Imitiaz can rest assured about the retail
chain's background activities functioning smoothly and would give him access to the necessary
systems integrated by the third-party logistics and warehousing provider to keep track of the
functions.
Today and back then
But it wasn’t always so. Today, let’s turn back the clock and
peek at Amazon’s S-1 document it filed in 1997. What did
Amazon look like back then, and if you could go back in time,
could you convince yourself to bet the house on the tiny
company?
Perhaps, but we’re looking backward for more reason than
curiosity. Instead, just as it’s interesting to read pitch decks
from companies that have since become behemoths, it’s worth
our time to examine the S-1 documents of the now-giants.
What can we see in their numbers that might help us better
understand later offerings?
To that end, let’s go back a few decades, to the year in which
the first Harry Potter book was published, and Metallica
released Reload.
1997
Before Alexa, Prime, and reasonably quick internet,
Amazon filed to go public.
Back then, Amazon was a simpler entity. Its S-1 is plain about
what it did back then: “Amazon.com is the leading online
retailer of books.” To underscore that “leading” status, Amazon
included some metrics in the following paragraph so small that
they feel quaint by today’s standards: “Average daily visits (not
“hits”) have grown from approximately 2,200 in December
1995 to approximately 80,000 in March 1997[.]”
The company explained its market by detailing the scale of the
book market. To wit:
The worldwide book industry is large, growing and relatively fragmented. According to
Euromonitor, U.S. book sales were estimated to be approximately $26 billion in 1996 and
are expected to grow to approximately $30 billion in 2000, while worldwide book sales
were estimated at approximately $82 billion in 1996 and are expected to grow to
approximately $90 billion in 2000.

Notably, Amazon’s quarterly revenue is now larger than the


United States’ book industry was per year back in those days.
Back in 1997, Amazon was tiny, with just 256 employees listed
at the end of its most-recently completed quarter. That figure,
however, was up from 11 in the fourth quarter of 1995. But
despite its modest employee scale, and its tailored industry
focus, Amazon successfully went public at a young age.
How? Let’s take a look at the numbers.
Efficient growth
While many companies spent dot-com money on comically
silly things, when Amazon went public it was a surprisingly
efficient shop. Here, in screenshot form, are its performance
notes from its S-1:
In case the format isn’t suited for reading, we can translate a
little bit.
In 1996, Amazon grew its revenue from $511,000 to $15.75
million, or about 2,982 percent. Returning to our point
concerning efficiency, Amazon did lose more money in 1996
than it did in 1995. Its losses grew from $303,000 to $5.78
million.
But when we stack that next to a modern rule, say, the Rule of
40 — that a company’s growth rate plus its profit margin
should equal 40 — Amazon was destroying benchmarks. And
during its period of hyper-growth to boot.
That Amazon was so not-unprofitable at its then-young age at
that particular pace of growth is impressive. The company was
certainly riding a secular shift in the economy toward digital
commerce, but the company, at the time of its IPO, was in
solid shape.
Even more so, Amazon’s growth was hardly seasonal. As you
can see in the above set of statistics, Amazon grew its
revenue from $4.17 million in the third quarter of 1996 to $8.47
million in the fourth quarter of that year. But the first quarter of
1997 effectively doubled the holiday quarter’s tally with $16
million in top line.

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