1.

Introduction

Amazon, Inc., founded by Jeff Bezos in 1994, has evolved from a modest online bookstore to a colossal
multinational technology company. It dominates multiple sectors, including e-commerce, cloud
computing, digital streaming, and artificial intelligence. This report will explore Amazon’s business
strategies, compare its performance with key competitors, and analyze the effectiveness of its business
improvements.

2. Status of Existing Situation/Problem (Status Before)

Before its significant strategic initiatives, Amazon faced intense competition in both retail and technology
sectors. The company struggled with:

Logistical constraints: Handling the vast logistics of global e-commerce operations.

Market competition: Stiff competition from established brick-and-mortar retailers and other e-
commerce platforms.

Regulatory challenges: Navigating various international trade and tax laws.

3. Competitors to Make Comparison Report

For this analysis, the chosen competitors are:

Walmart: The world’s largest retailer, known for its extensive physical store presence and recent
aggressive push into e-commerce.

Alibaba: A Chinese multinational that specializes in e-commerce, retail, internet, and technology, often
seen as the Amazon of the East.

Financial Comparison (as of last fiscal year):

Amazon: Revenue - $386 billion, Operating Income - $22.9 billion, Market Cap - $1.6 trillion.

Walmart: Revenue - $559 billion, Operating Income - $20.6 billion, Market Cap - $400 billion.

Alibaba: Revenue - $109 billion, Operating Income - $22 billion, Market Cap - $570 billion.

4. Analyze Methods/Competitors

Business Models and Operations:

Amazon: Uses a mix of AI and human labor to optimize its supply chain and customer service, focusing
on customer loyalty through Amazon Prime.

Walmart: Leverages its large physical footprint to offer omnichannel retailing, integrating online and
offline shopping experiences.

Alibaba: Excels in digital payments and e-commerce, utilizing a vast network of third-party sellers and a
strong online presence in Asia.

Strengths and Weaknesses:

Amazon: Strengths include a vast product assortment and a strong technological backbone. A weakness
is reliance on third-party sellers, which sometimes leads to quality control issues.

Walmart: Strengths include a robust supply chain and customer base due to its physical stores.
Weaknesses involve less agility in e-commerce compared to Amazon.

Alibaba: Has a stronghold in Asian markets but faces challenges in global expansion due to regulatory
and competitive pressures.
5. Find Best Practice in View of Business, Financial Aspect, Etc.

Amazon: Best practices include the integration of AI in logistics and the success of the Amazon Prime
subscription model.

Walmart: Has excelled in integrating its large physical presence with its growing online platform,
enhancing customer reach and service.

Alibaba: Effective use of big data and customer analytics to enhance user engagement and sales.

6. Find Out What Was Done by These Companies to Improve

Amazon introduced advanced robotics in its warehouses and expanded its cloud infrastructure,
significantly reducing operational costs and improving delivery times.

Walmart acquired several smaller online retailers and invested heavily in its online platforms, rapidly
growing its digital user base.

Alibaba expanded into digital media and entertainment, creating new revenue streams beyond e-
commerce.

7. Status After These Improvements

Post-implementation of strategic improvements:

Amazon has seen a marked increase in market share and customer base, solidifying its position as a
leader in both retail and cloud computing.

Walmart has successfully increased its online sales and is slowly closing the gap with Amazon in the e-
commerce sector.

Alibaba continues to dominate in Asia, although it is exploring more international markets.

8. Conclusion

The comparison shows that while Amazon leads in innovation and market capitalization, competitors like
Walmart and Alibaba are not far behind in adapting to new market dynamics. Amazon’s continuous
investment in technology and global infrastructure makes it a formidable player, but it must remain
vigilant of rising competition. Future strategies should focus on enhancing customer experience and
expanding into emerging markets