Following is a detailed Porter Five Forces Model Analysis of Amazon: Technology is also a very important part of its business strategy in both segments including e-commerce and Amazon web services. Here is a porter’s five forces analysis of Amazon that discusses how the various forces are shaping competition in the retail industry and what is Amazon’s position with regard to these forces. Over the last 5 years the industry has been transforming really fast, not even giving chance to the established players to cope with the changes. On its e-retail platform as well, the brand maintains heavy focus on creating a competitive advantage by providing higher level of convenience to its customers. Currently, Amazon is the fourth most valuable public company in the world. They’re experimenting with new and creative ways for customers to receive their packages. The technological factors in the PESTLE Analysis of Amazon are mentioned below: Advancing in technology is the basic requirement for a company like Amazon, the whole online retailing market depends on the suitable use of technology. But, as Bezos explains, Amazon’s technological sophistication also now makes it possible for in-store shoppers to interact with its digital platforms in all-new manners. Nonetheless, external factors identified in this Five Forces Analysis indicate possible reduction of market share and business performance because of strong competition involving large multinational retail and technology firms. If … In 2017, Amazon began testing their new initiative: drone deliveries. Amazon’s willingness to move first, to test, and yes to fail (witness Amazon Fire the firm’s disastrous foray into smartphones) have … Amazon’s clear focus towards its vision of being consumer centric is a key success factor amidst various other critical success factors. Technological Factors that Impact Amazon.com, Inc. Technology is fast disrupting various industries across the board. Amazon.com Inc. enjoys the top position in the online retail market. PESTEL is a strategic analytical tool and the acronym stands for political, economic, social, technological, environmental and legal factors. Launched the year before Apple Inc. AAPL, +0.18% introduced the iPhone, AWS has changed technology in a similarly outsize way. Amazon You can purchase anything—anything—through Amazon with the blink of an eye and have it delivered to your doorstep the next day. They rely heavily on varying degrees of technology to distribute their products to customers. Amazon has separate retail websites for different countries such as the US, the UK, Germany, France etc. Amazon's quest for innovation and technology to achieve operational efficiency has people worried about the elimination of jobs. AWS is a leading cloud service provider. Amazon PESTEL analysis involves the analysis of potential impact of these factors on the bottom line and long-term growth prospects of the e-commerce giant. Apart from that technology and a growing world economy have also helped it find success and generate unmatched sales. They rely on various degrees of technology to deliver their products from the warehouses to the respective customers. Amazon is a technological company, so these factors can greatly impact their profits. Transportation industry is a good case to illustrate this point. Amazon's unique selling proposition or USP lies in offering a huge spectrum of diverse products under one roof and in being the world's largest online retailer. To receive their packages top position in the online retail market warehouses to the respective customers unmatched. Amazon pestel analysis involves the analysis of potential impact of these factors greatly. 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