Question

In: Operations Management

A. How effective was Amazon’s strategy to diversify via Amazon Go? Focus only on Amazon Go....

A. How effective was Amazon’s strategy to diversify via Amazon Go? Focus only on Amazon Go. More specifically, given the company’s resources and capabilities was diversification a risky strategy?

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Expert Solution

A Thumbs Up! Would be really helpful for me. If you have any questions, please leave a comment and I will get back to you as soon as possible.

Here I am going to describe how effective was Amazon's strategy to diversify via Amazon go along with the given the company's resources and capabilities if diversification is a risky strategy.

Amazon is very famous for delivering its products and services to people according to their needs, wants, preferences for a very long period of time. Amazon is known to be a very well reputed and famous company that is dealing with every kind of utilities a customer can ask for.

Amazon has no expanded its business by the way of Amazon go which is an online grocery stop for everyone to shop for groceries online and those groceries would be transported to them. This strategy to diversify its business via Amazon goes is absolutely appropriate and correct. Amazon is very famous for adopting changes very frequently and quickly. This has made Amazon a lot of profit from a very long period of time. Amazon go is doing really great in the market as people are opting for the Amazon go shopping for their groceries. as known as the time of pandemic is very critical and crucial for everybody. people are scared to go in the market and shop for groceries, therefore, people are opting Amazon go shopping for their grocery items and this decision of Amazon has made it on a lot of profit. The company's resources and capabilities are absolutely matched with the diversification strategy of Amazon as the company is highly capable of expanding its business by the way of diversification. The company has enough resources and is enough capable to diversify its business more. Every new startup company has a bit risky but this strategy of Amazon of diversification has proven to be the appropriate strategy for the company.


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