Refer to the Week 2 - Required Learning Activities: Strategic Management: Concepts and Cases, Ch. 4: Cost Advantage Strategic Management: Concepts and Cases, Ch. 11: Competitive Strategy Refer to the...

Running Head: STRATEGIC MANAGEMENT OF AMAZON    1
STRATEGIC MANAGEMENT OF AMAZON         9
STRATEGIC MANAGEMENT OF AMAZON
Table of Contents
Establishing Long-Term Goals and Objectives    3
Formulation of Strategy    3
Potential Market that Amazon will Pursue    3
Specific Value Amazon will Offer in Pursued Markets    3

Required Resources and Capabilities    4
Amazon’s Sustenance of Value and Competitive Advantage    4
Business Management Strategy    5
Cost and Differentiation Advantages    5
Use of Corporate Strategy    5
Use of Vertical Integration    5
Use of Strategic Alliances    6
Competitive Advantage of Amazon    6
Organizational Chart    7
References    8

Establishing Long-Term Goals and Objectives
Formulation of Strategy
    As a part of Amazon’s long-term goals and objective, the company will use the strategy of multiple stream of service providing to cater the interest of the customers from different segment of the market (Zhu & Liu, 2018). The different service streams will generate loyal customer bases in different sections, which would require the company to benefit from different customer bases at different point of time. This is because new features and offers will be brought in specific service streams, reducing the need of frequent updating of business patterns, offered commodities, as the customer bases are not unified, instead de-centralized (Chen, Schutz, Kazman & Matthes, 2016). Amazon’s long-term goal would be to increase its customer base, so that a very amount of regular revenue is earned by the company.
Potential Market that Amazon will Pursue
    Considering Amazon’s current presence in the developed and developing countries, it can be expected that the company will aim at retaining its markets and would try to enter the tier 2 cities and town of country markets both in USA and in the international market to reach bigger customer bases (Zhu & Liu, 2018). The high popularity of the brand name of Amazon has given the company the customers of majority of the big cities; however, the tier 2 cities and town of different countries are not explored. As Amazon operates based on internet communication, the reaching of the tier 2 citizens as potential customers will be easy (Adner, Chen & Zhu, 2016).
Specific Value Amazon will Offer in Pursued Markets
    In the pursued markets in which Amazon will try to gather momentum, the offering of local and imported items will be sold under the reputed brand of the company. As stated by Laudon and Traver (2018), the offering of local products will cater the attention of the daily requirements, while the international range of products brought in through import will help satisfying the demands of the customers, which would give any company value for its wider offering range and promise of higher quality. In addition, Amazon will also use its excellent delivery services to the new market, which will be valued highly, as its delivery service will be a benchmark for the locals.
Required Resources and Capabilities
    In order to enter the persuaded markets, Amazon will need monetary investments for licensing,...