Sample Management Paper on Retail Domain

Amazons Current Domain Conditions

Since the establishment of the company, Amazon has over the years shown significant commitment to improving its services in different parts of the globe. Considerably, the firm has been successful in implementing different strategies including internationalization, diversification of its activities and enhancing the use of technology to improve efficiency (Molla & Rey, 2017). However, with the continued change in market dynamics, the company has experienced several challenges that not only limit their competitiveness in the e-commerce industry but also reduces their efficiency in offering quality services.

Environmental Factors

Although Amazon mainly engages in online business, most of its operations are influenced by the natural environment. For instance, the company depends on different logistics institutions to help in delivering its commodities to several geographical locations. In events such as flood and earthquakes, amazon’s access to customers would be limited. Equally, most customers are becoming increasingly concerned about the ingredients used to make different products as well as their overall quality. As such, they become very selective on the types of products they purchase. For easy management of these trends, the company promotes and stocks ecological friendly goods and also informs their clients on the specifics of these products to help them make informed decisions.

Relevant Economic Factors

Amazon also has different economic factors that hinder its different domains including changing global conditions, the purchasing power of its customers, changing inflation rates and a possible recession in other markets around the globe. As an international market, the company has implemented strategies to help its limit the effects of these developments through methods like diversifying the types of products it offers, offering discounts to customers and also offering free shipping on specific conditions.

Competition and Threat of New Entrants and Rivalry

The entity faces a high competition from new and existing institutions in the industry in both local and international markets. Some of the competitors include Alibaba, Walmart, Priceline, eBay, Otto, best buy bay and target (Leiferman, 2018). Equally, the industry has seen a lot of new entrants over the last decade that has not only introduced different and more efficient operative model but also initiated the use of more advanced technologies than pioneer companies such as Amazon.

Access to Supplies and Labor

Over the years, the entity has developed a great network with various suppliers in different parts of the world, and it can, therefore, access them very easily. These suppliers help the company in stocking its inventory with various commodities that will give a customer a range of products to select (Kim, 2017). Moreover, the company also has easy access to the labour market due to its proper working environment. It employs both skilled and unskilled workers to work in its different departments to help in ensuring that the company’s daily operations are carried out smoothly and efficiently.

Access To Buyers/Customers

The access of Amazon to buyers is primarily determined by its marketing strategies and its ability to penetrate new markets. Notably, the company has over the years enhanced its activities in the industry through advertising in different media. It has also laid down different strategies to ensure that its customers receive quality products that meet their tastes and preferences. Lastly, the company has segmented its clients into various groups to help it understand their needs more effectively.

Substitute Products/ Services

Its close competitors such as Walmart offer Amazon substitute products and services. Since the company does not sell everything unique to customers, it faces a high level of substitution as clients may opt to seek similar services from other e-commerce institutions such as Alibaba. Equally, an increasing global population opts to physically visit the retail store to certify the quality of the products.



Kim, E. (2017). As Amazon’s dominance grows, suppliers are forced to play by its rules. Retrieved April 1, 2019, from

Leiferman, I. (2018). These Startups Could Give Amazon’s Retail Competitors An Edge. Retrieved April 1, 2019, from

Molla, R., & Rey, J. D. (2017). Amazon’s epic 20-year run as a public company, explained in five charts. Retrieved April 1, 2019, from