Based on the previous research on Amazon, the following strategy execution plan has been outlined. Amazon is not into just one particular stream; it is into various different streams so one should understand and analyze all the streams that Amazon has concentrated on. (Prachi, n.d)
Key Operators of Corporate Strategy
Strategic options should run hand in hand with the operators of Corporate Strategy. For this purpose, five operators of Corporate Strategy have been identified. (Prachi, n.d)
- Define the necessity for growth
- Maintaining the strengths, best policies, strategies, resources with the firm
- Target the marketplace and use the existing strengths to conquer it
- Position the strategies, best policies with that of its best talent/resources to have competitive advantage
- Consider the longer and shorter-term goals with profitability aspects
Recognize Core Competencies and Re-Concentrate
Amazon has already proved its position to the world by staying ahead in many things like technology, cloud, e-commerce, logistics and so on. Sure, Amazon is dominant in the current market, but it should remember “having feet in two boats” is always dangerous and need skills to tackle it. Amazon should definitely expand in other areas but should first learn to tackles these streams (their main core values).
Also, failures are inevitable in any business, so we should acknowledge them and should move on to the next. For example, Amazon has failed in Tablet making business (The Kindle Fire Device), which is a non-core diversification, it should hence move on and should start concentrating for the next. In short whether a company diversify or integrate, the decision should lead to boost of the core business strength. (Prachi, n.d)
Amazon is investing more on technologies like Cloud, Drone delivery service, Artificial Intelligence and so on. It should also start concentrating on food delivery services, intra continental/country delivery and so on. It acquired Whole Foods, but it should also concentrate on Food Delivery (maybe from home to home or home to office instead of routine restaurants to home). It should start investing on Farming to make more organic food.
It should also concentrate on Internet (like Comcast whose speeds are slow but promise fast speeds), Networking (like AT&T, T-Mobile), rides (like Uber) and so on slowly grabbing the other areas as well and trying to keep up on all the diversified streams.