Lugus Principle On Amazon. Com, Inc.

Amazon is extremely market-oriented. For instance, Amazon was positioned by its leader as global customer-centric company where virtually anything that people are looking for can be successfully found and ordered. The most attractive sides of Amazon‘s business strategy are low prices, vast selection, and more importantly convenience for their customers. Therefore, with these strong qualities, the company continues to grow as a world-class web commerce giant. Also, among Amazon’s advantages is its infrastructure.

(Wahba, Phil) Advantages for an Amazon Customer Amazon adds value for money for the customer. The business model of Amazon ensures that the product is available for the customer at the best possible price. The fast shipping strategies also ensure customer satisfaction. These aspects offer an excellent value proposition to the customer. Since Amazon is present globally and is successfully into business for a long time period, the strategies of Amazon are sustainable.

The Amazon vision statement is “To be Earth’s most customer-centric company, where customers can find and discover anything they might want to buy online (Amazon.com). There are three important characteristics such as Global reach, Customer prioritization, and the widest selection of products. Global reach with Amazon is to make the company globally with authority in a e-commerce retail online. Customer prioritization is the customer is the most important people and comes first in the online business. Amazon’s vision statement is to continue on increasing the product lines and keep on growing the markets.

Being the world’s leading online retailer, Amazon derives its strengths primarily from a three-pronged strategic thrust on cost leadership, differentiation, and focus. This strategy has resulted in the company reaping the gains from this course of action and has helped its shareholders derive value from the company.Amazon primarily derives its competitive advantage from leveraging IT (Information Technology) and its use of e-Commerce as a scalable and an easy to ramp up platform that ensures that the company is well ahead of its competitors.One of the key strengths of Amazon is that it enjoys top of the mind recall from consumers globally and this recognition has helped it enter new markets, which were hitherto out of bounds for many e-Commerce companies.Using superior logistics and distribution systems, the company has been able to actualize better customer fulfillment and this has resulted in Amazon deriving

Inc., n.d.). In 1994, when Amazon was founded it was running out of the founder Jeff Bezos’ garage, making $20,000 per week in profit. Recently in 2014, Amazon has acquired the title of “The Everything Store” with 154,100 full time employees working for it, and it earned $90 billion in revenue. Amazon has broadened its market by allowing sellers to sell their new and used items along with Amazon products, giving customers the option to choose a product that matches their affordability (shorr,

This situation in turn created a service differentiation for the company compared to its other competitors. First, the Amazon.com website has an attractive and customer-friendly interface. Fast and reliable delivery which allow the customers to receive their order within the same day in specific area has also been an incredible feature of the company. A no-nonsense returns policy is being implemented, too. To assist the customers in choosing their order, purchase suggestions based on their previous purchases and webpage viewing are given.

HR Planning directly links HR Management to the strategic plan of an organisation. It can be defined as: ‘process of systematically forecasting both the future demand for and supply of employees and the deployment of their skills with respect to the strategic objectives of the organization.’ (Boundless, 21 July 2015). The planning process within Amazon is specific to an extent as it is relatively about determining what will be accomplished within a certain time frame, along with the number of HR people that will be needed in order for their business objective’s to be met. Amazon accomplishes this by defining their competencies such as big economies of scale and constant high level of services provided that are required by their workers to achieve this. They build a customer strategy within the minds of their employees so they can become customer driven and are always thought to develop thought-provoking, different ideas to suit Amazon’s customers.

Thus it can be stated that Strategy, decision making process and organizational structure helps a company to gain success and to achieve the goals of the companies. As is in the case of Microsoft, the use of strategy, decision making process and organizational structure are working hand to hand and is supporting each other. This is the reason of the Microsoft Company that it has captured the market very well and is the market leader in its areas. It is because of the coordination of organizational structure, strategy and decision making process Microsoft is almost 90% of the operating system market share, MSN Messnger is the most popular IM client in the world, 60% market share, Internet Explorer is still the most used browser, 65%+ market share, Microsoft Office is still the most used Office suite, XBox is selling great and they are taking a market leader position, Hotmail is the most used web-email with 250 million users, Microsoft are a big player in web-backend market. IIS and ASP are catching up with Apache, .Net has the largest market share amongst developers.

Business model: Amazon is a company which is running subscription business that is why its key partners vary in this case Amazon key partners are logistic partners, self published and affiliates. In business which deals in subscription they target mass market for creating long relationship in the case of Amazon its create value for global consumer market, companies that need fulfillment and developers or companies. In which almost 1.3 million are active consumers, developer consumers use Amazon web service Amazon reach to its segment through websites and apps like Amazon .com, affiliates sites, application interface, built in data link . A key activity includes maintenance and software development, customer service, merchandising

:equivalent of Wal-Mart because of its reach and global footprint as well as its aggressive pricing strategies (Linden, Smith, & York, 2003). Amazon can leverage from a lot of opportunities developing economies and can guarantee the supply of of warehouse globally in order to ensure effective delivery of goods to its customers. Using the environmental scanning framework, below is the SWOT analysis of the company. Strengths in the SWOT analysis of Amazon Being the world’s leading online retailer, Amazon derives its strengths primarily from a three-pronged strategic thrust on cost leadership, differentiation, and focus (Linden, Smith, & York, 2003). This strategy has delivered the company to obtain the benefits this course of activity and has