If Amazon Were a Start Up Company

Amazon is a new online retailer that allows its customer to purchase new and or used goods from wholesalers, companies and other customers at affordable prices. As a start up company, a S.W.O.T. analysis is essential in developing effective business strategies to penetrate the market and gain market shares.

A strength of Amazon is its ability to build a customer base around the globe. With the use of online retailing, Amazon is able to offer its service across the globe in multiple languages. Because of this, Amazon is able to keep expenses down due to not having high overhead cost of owning a large retail store front.

Another strength of Amazon, is its efficient logistics system. Amazon is able to offer standard and expedited mailing services for little to no cost by affiliating itself with world wide well known postal services such as UPS and the United State Postal Serve. These companies allow Amazon to deliver goods to customer at an exceptional rates.

A weakness of Amazon is its product guarantee. Because Amazon is used as a middle man to connect suppliers with buyers, there is no guarantee that products being sold to customers are exactly as advertised. This can be problematic and build negative publicity. Another weakness for Amazon is that it does not have any store fronts. Instead of customers being able to gain instant gratification from being able to touch and see goods right away, customers must pay and wait for items they have yet to see in person.

An opportunity of Amazon is that it can acquire small business that sell products that their customers would be interested in purchasing. Amazon can also can make strategic alliances with large companies that sell products that are already being sold on their site to guarantee products quality. Lastly, Amazon can take advantage of new technological products such as creating an app. With this, customers are able to buy and sell products instantly through hand held devices.

A threats to Amazon as...