Question

create a business plan that reflects the existing structure of Amazon. at least 2-3 paragraphs.

Financial Plan

B. Contingency Plan

What will you do if you can’t follow through with your primary plan?

How are you preparing for an emergency in your business?

How will the business function if something happens to one of the key members of the management team?

Answer 1

. Financial plan

The financial plan of Amazon focuses on increasing its revenue from the previous fiscal year. The financial strategy of Amazon focuses on improving market share by expanding its target market and service diversity. As per the final quarter of 2018, the operating income of Amazon is $7.3 billion which is almost 5.8% higher than the previous quarter. The largest source of Amazon’s revenue is its online shopping facility. Amazon Inc needs to improve its revenue by reaching to a maximum number of customers. Amazon can attain this by improving its service quality and expanding the number of physical stores. Moreover, it needs to promote Amazon prime which can boost revenue earning.

Contingency plan

Amazon Inc needs to set up a steady contingency plan to counter future operational issues. Effective ways for Amazon to develop a contingency plan are- the establishment of the contingency policy statement, analyze current business impact, identification of preventive measures, development of contingency strategy, the arrangement of training to cop up contingency strategy and execution of a contingency plan.

An alternative contingency plan should be ready if the first one fails to perform accordingly. Moreover, market share and revenue should be increased at high growth to counter the possibility of a business emergency. Furthermore, an alternative source of revenue must be found out for an emergency. Apart from financial readiness, the company should also be ready for the absence of any member of the management team. The subordinate of that managerial staff must be responsible to paly the part of that management member. Thus, subordinates of the management team should be provided sufficient training to handle the emergency situation.