Amazon .com is a retailing company that currently operates with a revenue of $ 45 billion (Keller 2011). The company offers online services and the number of customers checking in per year is about 130 million. The stock shares are traded at the rate of $3.30. and there is a high expectation to increase the number of subscribers by higher percentages. However, the shares can only be traded for the period of 1year and above this is because the profits of the stock grow at a slow pace of between 0.91 to 0.98(Keller 2011). The slow growth pace of both shares and subscribers is articulated for two major reasons. One there is stiff competition from other competitors such as Apple, and Barnes & Noble services which offer substitute services, and the second reason is the economic fluctuations influencing the pricing of shares. The information provided above about the share growth rate is very useful. This is because it will assist the investors to make their decisions on whether to invest or not in Amazon shares. In addition, the investors who want to invest their capital and are not in a hurry of getting quick returns on dividends would invest in Amazon shares.
Amazon has the promise to keep high growth prospects which will translate to the multiplication of market share to customers.
Amazon.com Plans to launch a new product that is the Kindly
Amazon.com to increase stock security and stabilize the company shares.
To counteract, the competition and to increase stock security, the company has moved so first by introducing a new product that has since proved to be the most reliable. This strategy will translate to a long life span as it will quick rate of capital turnover (Piker 223). For instance, the amazon stock of e-books will only need to take 25 days on the shelves compared to the 110 days of the other competitors. This translate to four times faster than the competitor’s rate of turnover. Moreover, this will mean that there will be more stock traded on the sides of Barnes & Noble competitors, as their capital will be channeled into the inventory sector. On the other hand, the company has the upper hand in forging more steps as it had earlier invested in better technology, which will assist the company has clear and deep know-how on how to beat their rivals. This will be in terms of product improvement(Piker 223).
In addition to the Amazon strategy, which is to influence more shares by from customers through the promise by the company to keep high growth prospects which will translate to the multiplication of market share. Nonetheless, the leveraging position taken by the company will mean a profitable move as there is surety in the security of the customers’ capital. This will be possible as the position can be translated to a spot position depending on the future anticipation and the market changes(Asseraf 60). This will also save the company from looking for more securities to ascertain their customers’ surety about the market plan.
Finally, the amazon company is likely to succeed. This is because the branding measurements incorporate both past business progress and recent calculated improvements to help the company surgeon. On logical grounds, the brand has a high chance to sell and compete in the current world of technology since the purpose of the company, is to improve its shares and be among the giant shareholders. Moreover, there is flexibility and constancy (Keller 2011). For instance, the consistency is seen at the point where the shares move at slow but fewer fluctuations recorded and on the flexibility, the adoption of new technology to help take out the other competitors and to see the emotions of customers worn.
Asseraf, Yoel, and Aviv Shoham. “3 The impact of strategic orientations on export marketing strategy: new classification and typology.” Research Handbook on Export Marketing (2014): 60.
Büyüközkan, Gülçin, Esin Mukul, and Deniz Uztürk. “MARKETING STRATEGY SELECTION FOR LOGISTICS COMPANIES.” LM-SCM 2016 XIV. INTERNATIONAL LOGISTICS AND SUPPLY CHAIN CONGRESS. 2016.
Keller, Kevin Lane, M. G. Parameswaran, and Isaac Jacob. Strategic brand management: Building, measuring, and managing brand equity. Pearson Education India, 2011.
Pike, Steven, and Stephen J. Page. “Destination Marketing Organizations and destination marketing: A narrative analysis of the literature.” Tourism Management 41 (2014): 202-227.