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Introduction to Operation Management and Strategy


The company I have chosen for analysis is one of my favorite companies as I mostly do online
shopping and it basically is from Amazon. It is an American company which is indulged in ecommerce
and cloud computing. It is headquartered in Seattle, Washington, United States. It was
founded in the year 1994 by Jeff Bezos who is the current CEO as well. It has the market place in
13 countries. It is termed and believed to be the most customer-centric country in the world. They
basically work on four principles which are focusing on customers rather than competitors, Firm
belief in long-term thinking, spirit for invention and priority for the operational excellence. They
not only sell consumer goods through websites but them also and sell their electronic devices.
What makes them very popular among customers is the wide range of products at reasonable and
affordable prices. Amazon prime membership ensures speedy delivery of more than 10 million
products and that too free of cost. It also ensures live and instant streaming of 1000 of videos and
movies.
What are the main changes occurred in your selected company from 2013 up to today?
(Explain at least 3 changes and refer to the information source used)
The three main changes that have occurred on Amazon from 2013 up to today are
1) Launching of the Amazon marketplace in India in June 2013.It has approached Indian markets
in the year 2012 by launching Junglee.com which just helped the customers in comparing the
prices online but did not give them liberty to buy items directly. Since its launch in 2013 in India,
it is now the biggest online store in India and it has more than 25 million products and 400 million
customers.
2) Launching of Amazon Restaurant services in the year 2015 in Seattle. This service takes food
from the restaurant and delivers it to Amazon Prime customers at Seattle. These services might be
launched in other countries too in years to come.
3) The launch of Amazon prime air in 2016.It is a drone-based system which is capable of
delivery of order within 30 minutes of order. Amazon prime air has already made its first
successful delivery in Cambridge in the United Kingdom in 2016. (www.officetimeline.com)
How have the strengths of the company evolved in this period?
Amazon prime which ensures speedy delivery of more than 10 million products at a small
membership fee. The other benefits of this service are live and instant streaming of 1000 of videos
and movies. Amazon prime is a huge success and the number of people using amazon prime
membership has risen from 25 million to 90 million from 2013 to 2017. (www.statista.com)
What do you consider to be the weaknesses of the company during this period?
Amazon generally operates online through its brick and mortar model. There are certain products
which are more sellable in the physical stores than in the online store like grocery so although it
has the privilege of being the best seller online for certain products it might be continuously losing
revenues in products like grocery and vegetable which might be sold more in physical stores.
Although Amazon has opened its first physical store in Seattle in 2015 it is a bookstore. (Greenspan
R. 2017)
How have the opportunities of the company evolved in this period?
Amazon already operates successfully in 13 countries. It has announced its entry in Australia too
in December 2017.It will start selling in Australia from April 2018. (www.learningmarketing.com)
What do you consider to be the threats to the company during this period?
Websites of competitors like eBay, Flipkart are giving tough competition to Amazon in the Asian
markets although they are small. Slowly these websites are growing and attracting customers to
Amazon by being customer friendly and price effective. Ebay is another threat to Amazon.
(Abhijeet P. 2016)
References
Officetimeline.com., (July 5, 2018). Amazon History Timeline. Retrieved from
https://www.officetimeline.com/blog/amazon-history-timeline
Statista.com., (2018) Number Of Amazon Prime Members In United States as of June 2018(in
millions). Retrieved from
https://www.statista.com/statistics/546894/number-of-amazon-prime-paying-members/
Greenspan R., (2017). Amazon.Com Inc. SWOFT Analysis & Recommendations. Retrieved from
http://panmore.com/amazon-com-inc-swot-analysis-recommendations
Abhijeet P., (October 6 2016). Amazon SWOT Analysis 2016. Retrieved from
https://www.cheshnotes.com/2016/10/amazon-swot-analysis-2016/
Learningmarketing.net., (September 11,2018). Amazon SWOT Analysis 2017. Retrieved from
http://www.learnmarketing.net/amazon_swot_analysis.html

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