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As a marketing student, you are required to do a case study using SWOT and PESTLE analysis as these analysing tools have grown in demand at a rapid pace. To let you know, SWOT and PESTLE analysis is usually done to know the planning and executing capabilities of a company. SWOT stands for Strength, Weaknesses, Opportunities, and Threats, whereas PEST includes Political factors, Economic factors, Social Factors, and Technological factors. By using one of these techniques or both of these, many universities ask students to conduct their case study on different famous companies and Amazon being one of them. In case you are stuck with amazon SWOT analysis or amazon PESTEL analysis, or both; then this blog will be of some help to you hopefully.
A Brief about Amazon
Located in Seattle, Washington, American multinational technology company named, Amazon Company; was instituted long back in the year 1994 and a year later, in 1995, it was launched with the focus of being the No.1 customer- centric company in the entire world. Amazon is considered to have the most amazing build-up effective customer service, inclusive of the most effective inventory and shipping empire.
Amazon is guided by chief four principles, namely, the obsession of the customer, passion towards smooth operations, commitment towards excellent operations, without focusing much on the competitors. While doing Amazon SWOT and PESTEL Analysis, you consider these pointers.
If we talk about facts, Amazon has for about 310 million active users and 100 million subscribers worldwide. Today, the company is considered to be the leading online retailers all over the globe, courtesy the fact that it has bagged a wide array of achievements, eye-popping profits, and ample of successful launches.
Hold on! That’s not all. As we all know the darkness of COVID-19 is still not over, and probably 2020 is a grim time for conducting a SWOT analysis for most businesses, but Amazon is an exception. The reason why I am saying so is because of the numbers that I will share. To let you all, know, Amazon gained $570 billion in market capitalization during the pandemic months. Yes, that’s what you read! While many businesses face lash during these dark times, Amazon tied up its seat belts and is closing in on its tech rivals Microsoft and Apple, with a total market capitalization of $1.49 trillion. The reason behind it is the fact that lockdown probed people to shift to shop online for things they would usually have bought offline from their nearby retail shops.
Amazon SWOT Analysis
When we talk about Amazon SWOT Analysis, we are on the go to reveal what factors helped the largest online retailer make use of its competitive benefits to become a dominant player in the retail market online. SWOT Analysis basically identifies all the key strengths, weaknesses, opportunities and threats, which shake the organisation. S we have said earlier, SWOT analysis is purely a framework that talks about the chief strengths, weaknesses, opportunities and the threats linked with a company. To be more precise, when a SWOT analysis is conducted for a company, it helps in getting to know the impact of internal or the external factors on the feasibility or practicability of the company. All-in-all, this is an effective tool that helps in identifying the risks involved in a company.
Below is the table that depicts the Amazon SWOT Analysis
Why is the SWOT Analysis used? Do you answer to this question? Well, let us tell you. Businesses determine both the negative and positive aspects of the execution and then make use of the research with the help of shepherding and applying SWOT analysis. Based on the situation and current standing of the company, many firms make use of this technique often. This analysis not only helps in analysing and assessing the current state of the businesses but also helps in overcoming obstacles and helps in making use of enthralling countermeasures to prevent factors.
Amazon Pestle Analysis
PESTLE Analysis is basically a framework that is majorly taken into consideration by the marketers to monitor and assess the macro-environmental factors that are connected to any organisation. To be more precise, the results that are acquired from PESTLE Analysis are usually taken into account to identify the threats and weakness in SWOT analysis of a company. PESTEL is an acronym for Political, Economic, Social, Technological Environmental and Legal condition. Amazon Pestle Analysis is indicated in the below table:
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