Part Two
Sustaining Success
The blue ocean is a place that would indicate clarity, adequate space, and few players. In fact, the delivery is beyond promise; thus, individuality is revealed. That is, the competitors might quote and copy your can never be like you. The is no comparison in determining the prices for services or products due to the existence of conceptual thoughts. However, the space in blue oceans reveals that is if there is no self-disruption, then the competitors will disrupt. Amazon reveals to understand that, forces of nature might be its disruption. Hence, the company ensures that it does not remain in its comfort zone. The company does not want to be convinced that everything is under control hence, it does not sing on past success but focuses on future achievements. Therefore, to achieve this, Amazon sets the rules of the games in the space. Hence does not follow what competitors are doing in the industry. In fact, the CEO identifies and operates above the blue line. Hence Jeff believes in not on how superior the company is from rest but how different it is from its competitors.
Also, Amazon waves the flag of victory. This is achieved by making sure that the company cannot be ignored. According to Snap Agency (2018), E-commerce requires long-tail content enriched with keywords that add the visibility of a search engine page. In fact, this could be adjusted through a lengthy description of products. Therefore, Amazon has made it possible to merge the content with the design. For instance, buttons such as “Buy Now” and “Add to Cart,” are given more priority compared to products in Amazon (Snap Agency, 2018). Such merging could be viewed to be seamless but guarantees attraction on Amazon pages thus, converting the relevant traffics of the web. Besides, Amazon’s diversification has driven continues relevance and reach. For instance, the company is currently dealing with products in books, music, beauty and health, electronics, clothing, and grocery.
Most importantly, Amazon has been aligned to its mission of being more centric on customers in the world. To achieve the latter, the company has been aware that the most effective way to reach its customers is through social media. Therefore, the company has invested in social media as a tool that would powerfully enhance quality in customer services (Snap Agency, 2018). Besides, Amazon has worked with social media teams to help grow and refine its social presence; thus, building a passionate and loyal solid foundation of followers who advocate its brands.
Future Prospects
Having discovered that there is no space other definable space above the blue ocean, Amazon is determined to continually implement blue ocean strategies. Hence, the company has adopted new strategies that are speculated to help achieve its mission in the future. These strategies include Kindle solution to E-reading, Computing based Cloud, Delivery through Drone, and Amazon Prime. Hopefully, the ambitious projects by Amazon for the future would make the company to be presumed to own the internet. The company intends to operate under cashier-free stores. Hence, Amazon does seem to entertain long moments due to queuing at grocery stores. In fact, this behaviour is speculated to soon end courtesy of Amazon. As a result, in 2018 the company launched Amazon Go convincing stores that are cashier-less for the public in Seattle.
In addition to 2018, the company added new cashier-less stores in Seattle that currently are roaring trade. Besides, plan to set outlets in major cities in the United States are in place; thus, Chicago, San Francisco, and New York are included (Coughlin, 2019). With the company partnering with Hyundai in South Korea, Amazon intends to establish the most effective cashier-free store department on the planet. The latter is intended to further the idea to expand the convincing stores of Amazon Go chain. Currently, Amazon is featuring the delivery drones and customer services as well as other human staffs in the retail space of cutting-edge. Through this, the company is made to be technologically advanced in the world as far as the shopping space is concerned. The World Foods chain enables Amazon to deliver food sold online. With the cashier-free stores, the concept of service delivery of groceries could be made more efficient (Coughlin, 2019). Hence, the means to shop for food, as well as other items, could be transformed.
Strategic Management and Planning Application
Amazon’s strategic management and planning have influenced the company‘s innovation approaches. Hence, the firm applies Porter’s model as its generic strategy to define its competitive advantage. The company’s intensive strategy is responsible for its expansion and growth. Having to provide its services in E-commerce externally from the United States proves, Amazon’s, plans for global growth in business. By employment of generic approaches for competition, the company conquers in the international E-commerce market. However, Porter’s management strategy guarantees the company to maintain its innovative deals low prices in products and services (Smithson, 2017). Despite this, Amazon is still in a position to maintain the quality of services and products delivered in the market.
The use of cost leadership by the company has eased operations. Of course, the generic strategy advocates for the reduced cost of operations. Hence, the company applies advanced networking and computing technologies to attain its efficiency in operations at a maximum level. The latter results in reduced costs. Reflecting on E-commerce nature, Amazon gains from the automation process. Hence, the process is applied in scheduling, purchase among other processes in operation. Through the use of cost leadership concept, Amazon benefits by minimal costs on its services as well as online retail.
The company allocates its improvement of IT infrastructure through a cost leadership approach. Therefore, Amazon invests heavily in development and research to achieve optimal performance in its resources of Information Technology. In addition to IT, Smithson (2017) says the strategy of cost leadership aims to lower the level of prices hence the approach impacts the market mix of the company. However, a competitive advantage is boosted by supporting the fulfillment of the company’s vision and mission statement. Particularly, the latter is achieved concerning online retail international leadership and growth.
Ethics and Sustainability Effects
For precious years, Amazon has been observing social responsibility as a global company. In fact, the company is committed to operating within ethical and lawful manners. As a result, the company has engaged with suppliers who are respecting the rights of humans as well as providing safety to humanity. Through competent workplaces, the company has guaranteed promotion of the future, one that is sustainable. Such ethics have impacted the supply chain of the company. Hence, Amazon products have brought value to the environment and humans. According to Amazon.com (2020), suppliers have been able to build and support the company’s standards. Need to impact ethics and sustainability in the company has resulted in formal benchmarking.
Therefore, Amazon interacts with multilateral groups as well as industries and operates to constantly adjust the assessed risks and programs. Besides, Amazon has been driven to adapt to the principles and guidelines of the United Nations regarding human rights and business. However, due to coordination with rules from the International Labour Organization, Amazon has ensured that the rights of workers in the company are observed. However, the company has established more commitments to combat human trafficking due to diligence in the supply chain and standards observed from the Global Human Rights. In fact, the value of the chain of Amazon does not tolerate any form of forced labour, prison labour, or even bonded labour (Amazon.com, 2020). As a result, the company has raised awareness through partnerships and training f employees. Despite employing hundreds of thousands of workers across the world, the company has discovered the relevance of humanity as well as social responsibility. Therefore, the team responsible for social issues updates and reviews human trafficking issues regularly on behalf of the company. The latter has led to the implementation of initiatives that prevent human trafficking. Perhaps, it would be accurate to say that ethical issues and sustainability of the company have enabled Amazon partners with various firms across the world.
Conclusion
Generally, Amazon has been among the global retail companies in E-commerce. However, the company has in the previous years operated in a unique space Hence, its ability to remain in the blue ocean has been achieved through innovative strategies that guarantee its operation with individuality. Blue ocean space is not permanent thus, Amazon does it very best to avoid being caught in a comfort zone.