Question

 

DQ1 – Retail Tales

 

1- What is your favorite retailer?

2- What type of retailer is it, and what specific kind within that type (check Chapter 2 for specifics on this one!)?

3- Why do you like this retailer?

4- Who are the 3 biggest competitors for your favorite retailer?

5- What specifically would one of those competitors have to do to get you to shop there instead? You do need to come up with a specific and detailed strategy here.

 

Answer 1

1. Amazon is the favourite retailer in the current market. It is a multinational conglomerate which is headquartered in Seattle and houses more than 8 lakh employees all over the world. It is considered as one among the Big Four technology companies of the world. It is also referred to as ‘one of the most influential economic and cultural forces in the world’. In the wake of rising technological world, Amazon plays a key role in the retail segment

2. Amazon is a major e-commerce retailer that has a focus on e-commerce, cloud computing, Digital streaming and Artificial Intelligence. It is the world’s largest online marketplace, the biggest cloud computing platform and the major Artificial Intelligence service provider on the basis of revenue and market capitalization. It is also the largest internet firm by revenue earned in the world. The firm sells all the products including electronics, furniture, toys, jewellery etc and the introduction of new media specific mechanisms has been instrumental in extending various additional services like music, films, e-reading etc.

3. The following are the reasons for preferring Amazon as the favourite retailer

· It sells varied products like electronics, kitchenware, furniture, toys, jewellery etc

· Almost all the products are sold at reduced prices which is advantageous to the consumer.

· It has a reach to almost all the locations across the globe which helps the consumer in getting access to its services at almost all locations across the globe

· It has a high speed and reliable delivery mechanism which could help the consumers to get the access to products at the earliest.

· Thus, affordability, reliability and accessibility are the major reasons why this firm is being preferred.

4. According to the statistics, the three bigger competitors for Amazon in the technology market are Google, Apple and Facebook in accordance with the revenue generation and competitiveness. But these companies are not directly related to the specific market competition undertaken by Amazon. In this regard, the major competitors are e-commerce giants like Flipkart, Snapdeal and e-bay.

5.The following are the strategies that a fellow competitor like Flipkart could do to attract the consumer base of Amazon

· Provide better delivery services at lower shipping and delivery charges.

· Provide more product base and innovative product groups to attract new consumer base

· Provide sector specific discount strategies in accordance with location specific festivals and affairs so as to attract the region-based consumers.

· It could provide with age specific products so as to attract all categories of the consumers.