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Amazon.com Business

Amazon.com is an internet business that concentrates on selling its products on-line. The company has embarked to developing its technological advances that give it a competitive advantage. The company has acquired a strategic advantage through continued innovation of features that conform to customers needs economically. Technology is the primary strategy that has enhanced Amazon to compete effectively in the industry. The threats of Amazon are its competitors who have innovated technologies similar to that of Amazon. These technologies will lower the customer base of Amazon and thus, the need for Amazon to continue innovative new technologies to stay ahead of its competitors.

Amazon has acquired a competitive advantage by continuous innovation to quality products offered to customers. Invention of new user features has enhanced market competitiveness leader in the industry. The advancement in technology has made it difficult to new entrants due to capital requirement to develop the current technology thus, minimizing the threat of new entrants. Suppliers power has been minimized by the continuous innovation of new features and invention, which are easy to use have attracted buyers leading to suppliers to relying on Amazon business thus, lowering the competition for suppliers. The easy feature offered by Amazon to its buyer and the relative price to the services have attracted more buyers to its site, as these innovations and inventions coupled with competitive prices enhances the ease of buyers purchases. The rivalry in the industry is intense as the firms are trying to compete through innovation. New technologies and competitive prices increase their market and customer base. This makes the industry to be attractive.

 

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The main competitors in the industry are apple incorporation, Barnes& Noble incorporation, and Wal-Mart.com. These firms have shown considerable growth and Amazon measures their competitiveness through customer growth and market share couples with new inventions and innovation of existing product features. Amazon has embarked on business level-strategy to acquire competitive advantage through technology adnancement by continuous innovation and invention of new feature to its products that are friendly to its customers has enhanced its position in the industry. This strategy attracts customer to new user friendly features thus, increasing the market share. It is therefore, imperative for Amazon to continue innovation of its product to maintain its competitive advantage in the industry.

Amazon needs to focus on more services to offer to its customers and a continued invention of new products to its business while maintaining competitive prices that focus on the customer’s needs and preferences to maintain its market share.

 

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