Question

If there are alternatives available, why would firms that compete with Amazon in some businesses use Amazon anyway?

Answer 1

A healthy competition in the market does not make one Firm inferior to that of the other just because of its relatively smaller scale of operations. It is rather the ethical culture, the customer service levels, the efforts that the Organization takes towards maintaining Corporate relations and other stakeholder’s concerns, that create Goodwill for such an Organization in a given market.

Moreover, even if alternatives are available, using Amazon anyway shall help these organizations to gauge where they are lagging behind in terms of their services offered in the market. Using of Amazon shall further help these competing Firms to understand the forte of Amazon in a better manner through their experiences with Amazon. It is to be noted that learning happens in various forms. To withstand the competition in the market, it is rather essential to understand what the consumers want in the market or what new would these consumers look forward to welcome. It is also important to examine the reasons as to why Amazon is able to gain such a considerable market share. To study all of this and to pose as a strong competitor for Amazon, besides appreciating and taking a cue from the services rendered by Amazon, thus the utility of Amazon in some or the other, shall be desirable for the Firms so competing with it.