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Strategy and prioritization selection

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Reference no: EM13805801

Strategy and Prioritization Selection

Cost Leadership Strategy

  • Amazon should continue selling its products at the lowest possible prices to maintain economies of scale.
  • Amazon must resume its excellent return policies and free shipping offers to preserve its consumer base.

Growth Strategy

  • Amazon can revamp its Kindle product line on a necessary periodic basis to gain a competitive edge in the tablet/e-reader industry.
  • Amazon should consider the development of products like a laptop or a smart phone as they did for tablets

Technique Analysis

Cost Leadership and Differentiation Strategy for Amazon

  • Premium products at non premium prices
    • Free Shipping offers
    • Amazon Prime program - free two day & discounted overnight shipping (Mirrow, 2005)
  • Decrease the cost of Kindle and Amazon Web Services (AWS)
  • Use Technology as an enabler in the form of AWS and Kindle
  • Kindle Fire's pricing model a differentiator in the tablet market.
  • Amazon provides on-demand resources and long term storage service as part of their cloud services

Reference no: EM13805801

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