MANAGING STRATEGY

Managing Strategy

[Name of the institute]Managing Strategy

Features of Amazon's Strategy

The first and the most important part of the Amazon's strategy is to be customer centric. By defining this approach the founder of the organization has stated that

“There are three ways in which the organization implements this strategy of being customer centric. First we analyze what the customer needs then we analyze how to give them and finally make the desired product or services available to the customers.”

Another imperative component of the Amazon's strategy is attainment of continuous growth. To attain the growth also the organization adopts the approach of being customer centric. There are various techniques that are implied by the Amazon to attain growth. These techniques include low cost structure so that they can pass on low prices to the customers. In a summarized way the strategy of the Amazon can be described in the form of following figure:

Amazon business Strategy elements

Analysis of the Company's Internal Environment

When we talk about the internal environment then the tool that aids in analyzing this environment is the first part of the SWOT analysis that comprises of the SW factors.

Strengths

One of the greatest strengths that an organization can obtain is through managing the financial aspects of the business. Amazon is successful in maintaining strong cash flow. Moreover, the share market appreciates the organization's ability to less rely on borrowed funds to carry out their day to day operations. So, in short it can be sated that the strong cash position is one of the most important strength of Amazon (Mahajan and Srinivasan, 2012, 474).

The world in which we live today is moving at a fast pace. In this world everything is changing rapidly and the only thing that is constant is change. The main reason behind this is technological advancement and development. Technology can be referred to as another name of Amazon. Embracing latest technology is such strength of Amazon that helps the organization in attaining competitive advantage (Mahajan and Srinivasan, 2012, 474).

Another very important strength of the organization is its product line. Initially Amazon was only known to sell books to its customer. As the time passes it became the forum from where people can find shoes, music, software, games, arts and crafts and what not. It's never ending product line and its strong position makes Amazon a strong organization. So, this can be said that the diverse product line is the biggest strength of the organization (Mahajan and Srinivasan, 2012, 474).

Weaknesses Inability to maintain the identity can be quoted as the weakness of the organization. It is known worldwide that Amazon is famous for the book selling. When the organization forecasted that there would be other organizations in competition and the brand would not be able to retain its name so they decided to launch other products and launch various brands. In doing this the brand has lost its identity. Now, it is difficult for a person to recognize what actually Amazon does as they are in ...