Amazon Swot Analysis

1414 Words6 Pages
SWOT ANALYSIS, Inc is the world’s largest online retailer. It started as an online bookstore, but soon diversified, selling DVDs, video, MP3 downloads, electronics, furniture, food, toys and other commodities. On the September 2011, Amazon introduced the Kindle Fire tablet computer to compete Apple, Google, and Samsung in the consumer electronics field. In addition, Amazon is also major provider of cloud-computing service. -------Wikipedia Strength | Weakness | 1 Cheaper product price2 Easier for vertical comparison3 Considerate service on consumers | 1 Faulty shipping problem2 Lacking interaction with customers3 Limited information about products | Opportunity | Weakness | 1 Development of cloud computing 2 Exploit the potential of new markets 3 Long-term growth anticipation | 1Policy conflict with Global management2 Fierce competitive markets3 Declining consumer buying desire | Strengths Cheaper product price Compare with practical store, Amazon, which just provide a virtual business stage online, can save more costs, especially rentals and advertisement fees. For one thing, Amazon is just a website rather than shopping mall, which needs to utilize wide space to run business and hire a plenty of staff to do routine works. This business model may be the core competitive force of Amazon. For another, this model can omit some unnecessary fees in supply chain. The shipping costs are a good example. Amazon just need to transfer products from manufactures to its warehouse, after order online, products will ship to customers directly. While traditional shopping style may be need to pay more fees for transportation management system. Therefore, Amazon has shown more competitive advantages in providing cheaper product. Easier for vertical comparison Amazon never loses passion on

More about Amazon Swot Analysis

Open Document