Question

As COVID-19 pandemic hit the world, how do you think it will impact Amazon business as overall? Please share your analysis

Answer 1

As covid-19 pandemic hit the world, I think it will be affecting Amazon business as follows-

A. the retail business of Amazon will be negatively impacted due to lack of the physical interaction which has been advocated by various countries on across the globe and they are shutting down physical operations.

B. Covid-19 will be leading to impact on sales and overall profitability of Amazon on the negative side in the short run because various activities are shut and it is expected to affect the profitability of the Amazon.

C.the supply chain networks are shut down because of lack of movement of goods across the countries and it is also leading to negative impact on amazon's operations.

D.the cloud computing business and the online streaming business is gaining the traction because these are highly digitalised business and there is no physical interaction involved in this business so there is an increase in the overall market for this type of businesses of Amazon.

E. there has been a digital approach of Amazon in order to manage the supply chain network and they are trying to roll out the digital payment methods and digital acceptance of orders in order to maintain the stability of demand.

F. There has been an increase in cost due to preservations and other measures which has been adopted in the healthcare basis by Amazon in order to protect its system free from infections.