Implications Of Amazon’s Structure And Strategy

Implications Of Amazon’s Structure And Strategy

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Implications Of Amazon’s Structure And Strategy

Werther presented Amazon.com as a virtual organization in which structure drives strategy. Do you agree with his view? Why or why not? What might be the implications of Amazon’s structure and strategy for future organizations? Explain.

Student Tyler Replied-

Hello Class,

It is common knowledge that Amazon changed the way most people shop. From an online bookstore to the most powerful retailer in the world, Amazon created a new business model which shifted the power dynamics of retailers. Not only did Amazon change strategy and structure but also forced all other retailers to do the same or face a future such as Sears. In the example of Amazon, it is clear that structure drives strategy, and the results demonstrate the viability of this approach. Werther (1999) asserts that Amazon found success due to structure being upstream of strategy where the structure was conducive to the needs of the business. It could be argued that this was a consequence of foresight from information discovered by entering a market with a concept and an extraordinary amount of vision. Amazon saw the potential that was demonstrated by a customer base’s willingness to purchase books online and transitioned this idea into the largest retailer in the world. A strategy may be the result of structure but the structure should be created with the customer in mind and the understanding of what is important and meaningful for that customer base.

YOUR ANSWER BELOW – NO MORE THAN 150 WORDS WITH A NARRATIVE REFERENCE! IT HAS TO BE A NARRATIVE REFFERENCE!!

Student Victor Replied-

Hello class,

I agreed with Werther presentation of Amazon.com being a virtual organization wherein structure drives strategy. Meyer (2019, p. 1) pointed out that Amazon.com Inc.’s organizational structure do embrace extensive control when it comes to global e-commerce operations. She believes an organizational or corporate structure set up the design and system of interactions among the employees of any firm. For example, Amazon’s corporate structure ascertains how managers direct and influence operational activities in various business areas. As a leading online retail business, Amazon.com must have an organizational structure that adequately supports its new markets. An evolving corporate structure also benefits Amazon as the company brings in more products and slowly diversifies its business. The design of this structure complements the technological foundation of the business. Such complementation makes Amazon’s corporate structure a determining factor in the company’s ability to withstand the effects of competitors, and Amazon’s organizational structure enables managerial control. She also suggested that the implications of Amazon’s structure and strategy for future organizations would cause organizational structure to have a limited flexibility and responsiveness. Their dominance of the global function-based groups and global hierarchy characteristics would slows the capacity of Amazon to rapidly respond to new issues and problems encountered in the e-commerce business.

DO YOU AGREE OR DISAGREE WITH WHAT THE STUDENT SAID-

YOUR ANSWER BELOW – NO MORE THAN 150 WORDS WITH A NARRATIVE REFERENCE! IT HAS TO BE A NARRATIVE REFFERENCE!!

Student Corina Replied-

Hello Class,

The decentralized structure of Amazon enables the corporation to be adaptable and sensitive to market changes. The organization’s structure is geared to achieve its customer-centric strategic goals. Amazon maintains separate retail websites for each country and region to offer a customized shopping experience. Amazon’s success demonstrates that companies must emphasize customer requirements. The company’s organizational structure allows for rapid expansion to meet consumer demand.

I concur with Werther (1999) that structure, not strategy, governs Amazon virtual organization. Amazon’s source of competitive advantage is its structure. The decentralized structure of the organization promotes its adaptability and response to market developments. Amazon is now the market leader in e-commerce because it offers its customers the best experience imaginable. The company’s objective is to prioritize the customer experience and to develop continuously. Therefore, Amazon has established itself as a major player in the e-commerce business. Amazon’s organizational structure and business strategy illustrate the necessity for future organizations to be flexible and quick to react to market changes. To stay ahead of the competition, they must also prioritize the consumer experience and innovate continually.

Amazon’s success demonstrates the importance of being able to scale quickly to meet consumer demand. According to Werther (1999), in certain instances, such as Amazon, the correct structure created strategic opportunities. If firms are unable to rapidly scale their operations, it will likely be difficult for them to compete with Amazon and other rapidly developing companies.

YOUR ANSWER BELOW – NO MORE THAN 150 WORDS WITH A NARRATIVE REFERENCE! IT HAS TO BE A NARRATIVE REFFERENCE!!

RUBRIC
Excellent Quality 95-100%	Introduction 45-41 points The background and significance of the problem and a clear statement of the research purpose is provided. The search history is mentioned.		Literature Support 91-84  points The background and significance of the problem and a clear statement of the research purpose is provided. The search history is mentioned.			Methodology 58-53 points Content is well-organized with headings for each slide and bulleted lists to group related material as needed. Use of font, color, graphics, effects, etc. to enhance readability and presentation content is excellent. Length requirements of 10 slides/pages or less is met.
Average Score 50-85%	40-38 points More depth/detail for the background and significance is needed, or the research detail is not clear. No search history information is provided.		83-76  points Review of relevant theoretical literature is evident, but there is little integration of studies into concepts related to problem. Review is partially focused and organized. Supporting and opposing research are included. Summary of information presented is included. Conclusion may not contain a biblical integration.			52-49  points Content is somewhat organized, but no structure is apparent. The use of font, color, graphics, effects, etc. is occasionally detracting to the presentation content. Length requirements may not be met.
Poor Quality 0-45%	37-1 points The background and/or significance are missing. No search history information is provided.		75-1 points Review of relevant theoretical literature is evident, but there is no integration of studies into concepts related to problem. Review is partially focused and organized. Supporting and opposing research are not included in the summary of information presented. Conclusion does not contain a biblical integration.			48-1 points There is no clear or logical organizational structure. No logical sequence is apparent. The use of font, color, graphics, effects etc. is often detracting to the presentation content. Length requirements may not be met
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