Download as docx, pdf, or txt
Download as docx, pdf, or txt
You are on page 1of 15

IMPACT OF AMAZON’S

GLOBALISATION ON CONSUMER
BEHAVIOUR IN THE UK
Abaas Barak 10-08-2022

Course MSc Business with International Management

Module Code AT7061

Module Title Research Methods and Analytics for Business

Assignment Research proposal

Student name Abaas Barak

Student number 21042840

Word count 2160 words


Table of Contents

1. Introduction.......................................................................................................................................... 2

1.1 Problem Statement.................................................................................................................................2

1.2 Objectives of research Proposal.....................................................................................................................3

2. Literature Review.................................................................................................................................. 4

2.1 Research Gap..................................................................................................................................................5

3. Research Methodology of study............................................................................................................ 6

3.1 Research Philosophy.......................................................................................................................................6

3.2 Research strategy...........................................................................................................................................6

3.3 Data analysis..................................................................................................................................................6

3.4 Sampling method...........................................................................................................................................6

3.5 Research Approach.........................................................................................................................................7

3.6 Research Selection..........................................................................................................................................8

3.7 Ethical considerations.....................................................................................................................................9

3.8 Timetable for the research...........................................................................................................................10

5. Conclusion & Limitations..................................................................................................................... 11

6. References.......................................................................................................................................... 12

1
1. Introduction

This proposal aims to provide an overview of the methods of data collection applied on the chosen
topic: Impact of Amazon’s globalization on consumer behaviour in the UK. Also, it justifies the need
to research this topic. Globalization has proved an economic advantage to commercial enterprises,
clients, and the financial system. The destiny of globalization is conceived because of improving
interconnectedness among nations (Thompson & Hirst, 2002). The country in which the impact will
be analysed is the United Kingdom.

On July 5, 1994, Jeff Bezos launched Amazon from a storage unit in Bellevue, Washington (Guevara,
2021). It started as an internet book market and expanded to cover various items. Amazon Web
Services is one of its many subsidiaries (cloud computing). As of 2021, it is the biggest online store
and marketplace (Jopson & Garrahan, 2011).

1.1 Problem Statement

Globalisation has progressed to ensure the economic and cultural advancement of individuals.
Urbanisation is on the rise, and the global economy is becoming more integrated, which has led to
increased global connectedness (Wu et al., 2017). At the end of 2019, a new coronavirus known as
SARS-CoV-2, which was found for the first time in Wuhan, China, swept around the globe, causing an
outbreak. (Wang et al., 2020). Investors and company stakeholders are considering embracing
eCommerce platforms like Amazon due to shifting business patterns in the contemporary world.
However, Amazon's business model has undergone substantial adjustments due to globalisation. As a
result, the influence of Amazon’s globalisation on consumer behaviour is studied. This research will
provide insight into how Amazon's brand has adapted to the United Kingdom.

2
1.2 Objectives of research Proposal

The objective of the study is


• To analyse the impact of Amazon’s globalization on consumer behaviour in the UK.

 Specific Objectives
• To investigate the growth of Amazon in the recent globalization area within the UK
• To analyse the impact of globalization on the behaviour of consumers within the UK.
• To find out the performance of Amazon during and After the Pandemic.
• To inspect the economics and social benefit of Amazon and how it impacts current UK
retailers.

Research Questions:
1. Are consumers in the United Kingdom aware of Amazon’s globalization and its effects on their
shopping habits?
2. Has Amazon’s international expansion influenced consumer behaviour in the United Kingdom
during the COVID-19 period?
3. What are the possible implications for marketers and retailers within the UK regarding marketing
strategies?
Significance of the study
The objective of this study is to link globalization with Amazon and how it impacts consumer
behaviour in the UK. Figure 1 illustrates that Amazon's growth is increasing year by year. Moreover,
this study contributes significantly to analysing the impact of globalization on Amazon's strategies
before, during, and after
the pandemic, and how
consumers are affected.
This study will be
beneficial for
policymakers, society,
and online businesses.

Figure 1: Annual net sales


Amazon 2004-2021
(Amazon, 2022)

3
2. Literature Review

There are several studies on globalization and online business. Moreover, a few studies have been
discussed and highlighted in this proposal section. The important points of these studies are most
closely related to the current study, which will explain the impact of Amazon's globalisation on
consumer behaviour in the UK.

Globalization

According to Dey & Francis (2021), globalization affects the e-commerce market. Many items
previously exclusively accessible in a few markets are now available in other markets. Product and
service mobility has improved due to globalization (Shamir, 2005). It will also enhance international
competition (Fischer, 2003), lowering prices and expanding the range of options available to
customers. New technologies, such as worldwide internet and mobile phones, and government
backing for digitization, have all contributed to increasing e-commerce trade. More robust
commercial business models have supported this growth.

According to (Rosokhata et al., 2020), using digital marketing platforms like Amazon is critical for
local manufacturers in today's context. It enables them to advertise their goods rapidly and
affordably to global audiences. Also, to influence, shape, and improve their image and the image of
their goods among the target audience. According to Rikap and Lundvall (2020), tech giants are
driving a period of globalization characterized by an increase in digital services trade and a broad
shift to intangible assets.

UK consumers on Amazon globalisation in the UK.

According to Lin & Kalwani (2018), U.K. consumers were aware of Amazon's globalization in their
country. Furthermore, consumers were glad about Amazon's globalization, because they knew it was
trying to offer a broader range of products. U.K. consumers were also concerned about the quality of
the products, which made them have a positive impression on Amazon. Lin & Kalwani (2018) argued
that U.K. consumers would prefer shopping at Amazon because of globalization. Consumers can
select products they like, compare the price and quality of products, and get a wide variety of brands.
Lin & Kalwani (2018) argued that most people from the UK knew that Amazon was trying to expand
globally, and were also satisfied about it.

4
Consumer behavior

According to (Solomon, 2009, p.7), a consumer is generally considered ‘a person who identifies a
need or desire, makes a purchase, and then disposes of the product during the three stages in the
consumption process’ (Solomon, 2009, p. 7). The three stages are pre-purchase, purchase, and post-
purchase stages.

Covid-19

Zhu (2021) argued that during the COVID-19 period, Amazon's globalization led to customer loyalty.
According to Zhu (2021), Amazon was popular in the United Kingdom during the COVID-19 period.
People were also exposed to the different brands and products through the globalization of Amazon.
Since people were quarantined and could not travel, Amazon was their number one choice for
shopping because of its globalization. Moreover, Zhu (2021) argued that customer loyalty is vital in
increasing Amazon's profits. This is because customers are likelier to shop on Amazon and nowhere
else.

2.1 Research Gap

The overall analysis of different studies suggests a significant impact of globalization on Amazon's
business operations. However, due to the recent changes in eCommerce business trends, it is still
needed to examine how Amazon’s globalization adapts to consumer behaviour in the UK. Therefore,
this study will cover the data from the last two years to acquire the latest update.

5
3. Research Methodology of study 
3.1 Research Philosophy

A pragmatism research philosophy recognises that a concept is only helpful if it facilitates a particular
activity. Positivism understands several approaches to identifying and researching the long-term
viability of supply chain activities worldwide. The study of Urzedo and Chatterjee (2021) emphasises
the relevance of research questions in a positivist research philosophy. Positivism may combine
positive attitudes and interpretations in their study, depending on the nature of the research issue.
As a result, the goal of this study is to use a positivist research philosophy to examine the influence of
Amazon’s globalization strategy on consumer behaviour in the UK.

3.2 Research strategy

The research will be aligned with action research. Moreover, action research is a research approach
grounded in practical action (the action component), while simultaneously focused on generating,
informing, and building theory (the research component). (Altrichter et al., 1993). This strategy is in
line with the research, as it can be practised in both qualitative and quantitative research.

3.3 Data analysis

Both primary and secondary research will be carried out. The primary research is based on qualitative
research methods and consists of semi-structured interviews with e-commerce experts / online
consumers and web shop representatives. This means professionals from web shops and consumers
who shop online can give opinions on consumer behaviour and their own experiences. They can
reflect on the consuming habits regarding online shopping in the United Kingdom. Also, a survey will
be conducted and reached out to online consumers in the UK. Secondary research is desk research,
which consistss of studying and analysing the available literature, as well as press articles related to
the sectors of expertise on this research.

3.4 Sampling method

Regarding this study, the sample represents a population or group of individuals. The sample size has
been determined by the sample size formula (Sekaran, 2002). Furthermore, convenience sampling
will be utilized; it is the most used sample design during the exploratory phase of a research study,

6
and is arguably the most significant way to gather basic information fast and efficiently (Sekaran,
2002). The key to generalizing from a sample to a larger population is probability sampling. It involves
the important idea of random selection; each element has an equal chance of selection (Babbie,
2004, p. 180). This is considered the most effective sampling technique since every member of the
population has an equal chance of participating in the study. The study population for this
investigation can be characterized as consumers of UK retailers. LinkedIn will be used to invite the
participant.

3.5 Research Approach


This research will be explanatory, creating a causal link between variables. The focus here is on
analysing the circumstance to understand the link between Amazon’s globalization strategy impact
on consumer behaviour in the UK (Sekaran & Bougie, 2017). Moreover, the grounded theory will be
the research approach, such a tool provides information about the behaviours of groups.
Furthermore, this is critical to gain insight into how consumers in the UK have changed. As a result, it
will be conducted by analysing the data obtained during the research.

Descriptive research is yet another research type used in this study. The goal of descriptive research
is to truly reflect a person, an event, or a situation (Robson, 2002, p. 59). In contrast to explanatory
research, only the key variables (not relationships) are defined in this sort of study. In this study,
several factors relating to customers' purchasing behaviour are measured and compared. Such
illustrative comparisons can lead to valuable findings.

7
3.6 Research Selection
Table 1 Research Methods
Research Questions Data Method Instruments
1. Are consumers in the United Kingdom aware of Primary Qualitative, Survey & Semi-
Amazon’s globalization and its effects on their
Quantitative structured
shopping habits?
interviews

2. Has Amazon’s international expansion influenced Primary, Quantitative, Survey, Existing


consumer behaviour in the United Kingdom during
secondary Qualitative literature, peer
the COVID-19 period?
reviewed articles,
Statista

3. What are the possible implications for marketers Secondary Qualitative Semi-structured
and retailers within the UK regarding marketing
interviews, peer
strategies?
reviewed articles,
Existing literature

(Abbas Barak, 2022)

8
The following diagram will explain the procedure of data collection and analysis.

Figure 3: Data collection pathway


Randomly collection of Peer
reviewed journals / Articles

Excluded articles
Included articles

Details reviews of Article

Data analysis
and results

(Abbas Barak, 2022)

This study will select a sample of articles related to the main research question. All the articles will be
selected from peer-reviewed journals. After collecting the articles, the author will review the
literature and create a table and diagram of the data collected from existing surveys and annual
reports. After the review, this study will make a detailed discussion to analyse the impact of
Amazon’s globalisation on consumer behaviour in the UK with indicators. 

3.7 Ethical considerations

All ethical measures and guidelines for conducting research will be strictly followed. All participants
will be protected with anonymity and confidentiality. A consent form will be taken before carrying
out the interviews. Moreover, it will be notified that no information will be leaked. Each participant’s
input will be respected, and he/she has the right to withdraw from participating.

9
3.8 Timetable for the research

The table below shows the projected research timeline for submitting the finished dissertation by
August 31st.

Table 2: Timeline research plan


Task Start Date End date

Literature review 16 May 2022 2 June 2022

Methodology Writing 2 June 2022 16 June 2022

Data Collection 16 June 2022 3 July 2022

Data Analysis 3 July 2022 15 July 2022

Revision of the Literature 15 July 2022 25 July 2022


reviewed
Analysis and Discussion 25 July 2022 20 August 2022

Conclusion and 20 August 2022 23 August 2022


Recommendations
Reflective Statement 23 August 2022 23 August 2022

Revision 24 August 2022 26 August 2022

Submission 26 August 2022 31 August 2022

(Abbas Barak,2022)

10
5. Conclusion & Limitations

The purpose of this study is to gain insight into how the globalization strategy of Amazon has
impacted consumer behaviour in the UK. The main research question is developed and supported by
several sub-questions. The proposed research methodology will help me gain data to conduct
research on my topic. And lastly, existing literature will also be analysed to write my dissertation.

Limitations

This study is unique, and with the author's best knowledge, no single study of this kind has been
conducted. Firstly, data analysis and integration strategies are challenging to organize during the
research and must be carefully considered. Moreover, as this is a unique topic, the author can face
issues with research sample selection. Third, the critical limitation can be the lack of previous
research studies, as this topic has not been researched before. Lastly, this research faces limited
access to data, because COVID-19 is a recent pandemic, and not all data is available yet.

6. References

11
Altrichter, H, Posch, P & Somekh, B 1993, Teachers Investigate Their Work: An

Introduction to the Methods of Action


Research, Routledge, London.
Amazon. (February 3, 2022). Annual net sales revenue of Amazon from 2004 to 2021 (in billion U.S.
dollars) [Graph]. In Statista. Retrieved May 15, 2022, from
https://www.statista.com/statistics/266282/annual-net-revenue-of-amazoncom/

Babbie, S. (2004). The Practice of Social Research. Belmont: Thomson Wadsworth.

Bloomfield, J., & Fisher, M. J. (2019). Quantitative research design. Journal of the Australasian
Rehabilitation Nurses Association, 22(2), 27-30.

Dey, V., & Francis, G. (2021). Influence of Globalization on Online Business: A conceptual study with
reference to Amazon and Alibaba e-commerce site. Ushus Journal of Business Management, 20(2),
25-33.

Fischer, S. (2003). Globalization and its challenges. American Economic Review, 93(2), 1-30.

Guevara, N. (2021). Amazon's John Schoettler has helped change how we think of corporate
campuses. bizjournals. com.

Gulseven, O., Al Harmoodi, F., Al Falasi, M., & ALshomali, I. (2020). How the COVID-19

Hall, M. C., Prayag, G., Fieger, P., & Dyason, D. (2020). Beyond panic buying: consumption
displacement and COVID-19. Journal of Service Management.

Jílková, & Králová, P. (2021). Digital Consumer Behaviour and eCommerce Trends during the COVID-
19 Crisis. International Advances in Economic Research, 27(1), 83–85.
https://doi.org/10.1007/s11294-021-09817-4

Jopson, B., & Garrahan, M. (2011). Amazon urges California referendum on online tax. Financial
Times.

12
Laato, S., Islam, A. N., Farooq, A., & Dhir, A. (2020). Unusual purchasing behaviour during the early
stages of the COVID-19 pandemic: The stimulus-organism-response approach. Journal of Retailing
and Consumer Services, 57, 102224.

Landry, S. (2020, April 12). New ways we're getting groceries to people during the COVID-19 crisis.
Retrieved May 6, 2022, from https://www.aboutamazon.com/news/company- news/new-ways-
were-getting-groceries-to-people-during-the-covid-19-crisis

Lin, H.-C., & Kalwani, M. U. (2018). Culturally Contingent Electronic Word-of-Mouth Signaling and
Screening: A Comparative Study of Product Reviews in the United States and Japan. Journal of
International Marketing, 26(2), 80–102. https://doi.org/10.1509/jim.17.0016

McCausland, T. (2020). COVID-19’s Impact on Globalization and Innovation. In (Vol. 63, pp. 54-59):
Taylor & Francis.

OECD (2020), "E-commerce in the times of COVID-19", OECD Policy Responses to Coronavirus
(COVID-19), http://www.oecd.org/coronavirus/policy-responses/e- commerce-in-the-time-of-covid-
19-3a2b78e8/ Pandemic Will Affect the UN Sustainable Development Goals?. Available at SSRN
3592933.

Pantano, E., Pizzi, G., Scarpi, D., & Dennis, C. (2020). Competing during a pandemic? Retailers' ups
and downs during the COVID-19 outbreak. Journal of Business Research.

Peck, H. (2006). Resilience in the food chain: A study of business continuity management in the food
and drink industry. Final Report to the Dep. for Environment, Food and Rural Affairs, Dep. of Defence
Management & Security Analysis, Cranfield University, Shrivenham, 1-193.

Rikap, C., & Lundvall, B.-Å. (2020). Big tech, knowledge predation and the implications for
development. Innovation and Development, 1-28.

Rosokhata, A. S., Rybina, O. I., Derykolenko, A. O., & Makerska, V. (2020). Improving the classification
of digital marketing tools for the industrial goods promotion in the globalization context.

Robson, C. (2002) Real World Research (2nd edn). Oxford: Blackwell

13
Saunders, M. N. K., Lewis, P., & Thornhill, A. (2007). Research methods for business students. Harlow,
England: Financial Times/Prentice Hall. 

Sekaran, U. (2002). Research methods for business: A skill-building approach. New York: John Wiley
& Sons.

Sekaran, U., & Bougie, R. (2017). Research methods for business: A skill-building approach.
Chichester: Wiley.

Shamir, R. (2005). Without borders? Notes on globalization as a mobility regime. Sociological theory,
23(2), 197-217.

Sharma, A., & Jhamb, D. (2020). Changing consumer behaviours towards online shopping-an
impact of Covid 19. Academy of Marketing Studies Journal, 24(3), 1-10.

Shanthakumar, S. G., Seetharam, A., & Ramesh, A. (2020). Understanding the Socio-Economic
Disruption in the United States during COVID-19's Early Days. arXiv preprint arXiv:2004.05451.
Thompson, G., & Hirst, P. (2002). The future of globalization. Cooperation and Conflict, 37(3), 247-
265.

Solomon, Michael R. (2009). Consumer Behavior 4th edition. Upper Saddle River, NJ: Prentice-Hall,
Inc.

Urzedo, D. and Chatterjee, P., 2021. The Colonial Reproduction of Deforestation in the Brazilian
Amazon: Violence Against Indigenous Peoples for Land Development. Journal of Genocide
Research, 23(2), pp.302-324.

Wang, C., Horby, P. W., Hayden, F. G., & Gao, G. F. (2020). A novel coronavirus outbreak of global
health concern. The lancet, 395(10223), 470-473.

Wu, T., Perrings, C., Kinzig, A., Collins, J. P., Minteer, B. A., & Daszak, P. (2017). Economic growth,
urbanization, globalization, and the risks of emerging infectious diseases in China: A review. Ambio,
46(1), 18-29.

14

You might also like