strategies and consumer behavior for amazon company

 strategies and consumer behavior for amazon company

A company is regarded as successful when it achieves profit maximization objective and meeting of the shareholder’s wealth maximization objectives. Profit maximization focuses on minimizing the inputs costs and maximizing on the final out, while shareholders’ wealth maximization objective focuses on how the management invest in projects. The objectives require the managers to invest in a project that has the potential of yielding a positive net present value. The other key element that gauges the success of the organization is its commitment to corporate social responsibility initiatives and how it serves its target customer. An example of a successful company in the world is Amazon(Ellen & Kyoo, 2011). The company specializes in e-commerce, which entails selling the product online. The company is the leading e-commerce business globally. Other examples of e-commerce business they include eBay, Alibaba, among others. The understanding of the concept of marketing strategy and consumer behavior is vital since it contributes to devising the best strategies to be embraced by a company to succeed as a going concern in a competitive environment. These strategies are essential since they offer the right direction towards the attainment of strategic objectives, which affects the whole operations. The understanding of consumer behavior is imperative since it enables the organization to devise the best marketing strategy, thus preventing market failure as well as the negative word of mouth among consumers. The organization is therefore required to analyses the changing consumer needs and wants, taste and preference, etc. This is imperative since it enables the companies to come up with the right product packages that serve serve the customer needs effectively(Sureerat & Praprukbaramee, 2015). Embarking the concept of marketing strategies and consumer behavior has been a key driver towards the improvement of the and productivity of the amazon company

Productivity from marketing conceit focuses on transformations of the resources into final products. The final products are the one which is offered for sale to the consumers. The organization is expected to produce quality products and offer quality services tailored to the needs of the consumers in a competitive environment. The organization is also expected to devise marketing strategies tailored towards creating awareness of the products and services offered by the organizations (Kim & Mun, 2017). Amazon has been embracing the best marketing strategies to create awareness of its products in the marketplace. The marketing strategies they have embraced include both generic and non-generic strategies. Embracing marketing strategies has contributed has enabled the company to be proactive and not reactive. The reactiveness of the organization is usually measured on how they handle prevailing situations or contingencies. Proactive strategies are imperative since it enables the organization to handle the situation in the right manner (Zhang & Jiang, 2014). For example, increasing change of consumer tastes and preference organization, which are proactive while embark on formulating strategies such as cost leadership and product differentiation to survive the stiff competition. Proactive reinvention hence is imperative since it enables the organization to survive the stiff

The success of companies such as Amazon has been triggered by its marketing strategies and how it adapts to the external environment. The external environment for the organization usually poses both threats and opportunities to the organizations. The organization is usually to capitalize on opportunities and counteract with threats such as the threat of new entrants, rivalry among existing players, etc. this is essential since it contributes towards organization prosperity as a going concern. The organization hence should embark on research to identify the market need and wants (Zhang & Jiang, 2014). The research will assist the organization in establishing the gap that exists in the market place. This will offer an opportunity for the organization to come up with new products and services for its target market. The research will enable the company to establish the prevailing needs and to change customers’ need and wants. This will contributes towards the company producing more customized and better products that will serve the needs of the consumers (Zhang & Jiang, 2014). The offering quality products is vital since it contributes towards the broadening of the market share for the organization. This contributes to the improvement of the organization’s productivity and performance. Research is imperative since it a reinvention of new processes and products for the organization, thus enabling the organization to succeed. Amazon has heavily invested in research; this has enabled the company to come with customized products that serve the needs of the consumer effectively. Product usually acquires meaning to the consumers when they serve their expected needs and, more so, exceeds their expectations (Manrai, 2018). The labeling, branding, and packaging also play a critical role in determining the meaning of the product that the consumers acquire from the organization. the product, therefore, acquire meaning based on the belief attached to the products by the consumers, and also culture plays an integral role in determining the meaning of the product acquired. The acquisition of the meaning of products is vital to the organization since it contributes toward the broadening of the market share, which is associated with improvement of the overall productivity for the organization in the competitive environment. There is a potential negative consequence that is linked to marketing attempts tailored towards encouraging purchases of products that consumers do not acquire (Manrai, 2018). This is because it will result in the company investing heavily to create awareness of these products. The investment will not match the generated sales volume from the products. This will affect the profitability and liquidity positions for the companies. The marketing attempts will result in draining the profit margins for the company, thus affecting the liquidity position, which gauges the ability of the company to honor its obligation when they fall due. Marketing for purchase of the products that the consumers do not require can result in the shifting of the consumers to competing firms in the marketplace. This can lead to the organization’s liquidation as a going concern. Marketers focus on satisfying the needs of the consumers. This usually results in consumer satisfaction with the organization’s products (Priyadharsini, 2011). Marketers hence cannot create a need for the consumers; that why they will engage in research to establish the consumer’s needs. This hence offers an opportunity to the marketer to devise best strategies tailored towards serving these needs. An effective serving of the consumer needs usually results in increasing the sales volumes for the organization, thus enabling the organization to succeed in the competitive environment.