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Amazon (Globalization: The increasingly interconnected global patterns of…
Amazon
Globalization: The increasingly interconnected global patterns of production and consumption shaped by businesses. Globalization is about the different economies around the world becoming intertwined and interdependent.
Amazon has contributed to globalization due to its intense transportation needs. Lots of countries around the world including the United States are experiencing a strain on its various distribution channels. In terms of the global economy, this creates a larger demand for transportation mediums. Also, with more countries gaining access to the internet more deliveries will have to be made between countries for specific products that they don't already have which again contributes to globalization.
One of the other major ways that Amazon is helping meld the world's economies together is through the increase in demand for workers that it has generated. As Amazon continues to grow it will require more employees around the world but will also stimulate the job market globally.
The decline in brick-and-mortar stores spurred by Amazon is another example of how it is contributing to globalization. Due to the ease and efficiency Amazon can offer many storefronts are going out of business. As Amazon continues to grow internationally there will most likely be fewer brick-and-mortar stores which ultimately allows for a more interdependent economies, connected through transactions on the internet.
Ethics: Refers to the moral considerations a business has to make and operate on. These consideration are those that are substantial and pervasive not peripheral and isolatable.
One of the major ethical trouble spots for Amazon has been the way that it treats it employees. One amazon worker said that "to be a good Amazonian you have to become a Ambot." Jeff Bezos is known for pressuring his workers and forces them to follow his 14 principles of leadership.
Amazon also has some debatably unethical pricing practices because of how drastically it undercuts business that sell other products in order to bolster it market share.
Inflexible working schedules are one of Amazon's other major unethical practices. Lower level employees are essentially forced to give up their social lives and mothers who wish to reduce their working hours to be with their children are often warned that they are in danger of getting fired.
Culture: The background and values of stakeholders of a business which influences what they focus on and how they work.
One of the defining characteristics of Amazons corporate culture is that it is cutthroat. Jeff Bezos lives by the two pizza rule - every team or group of workers should be able to be fed by two pizzas. Amazons values efficiency and is highly geared towards success.
Amazon does not have controversy surrounding the diversity of its workforce and instead offers people jobs based on their ability. For this reason there is balance and diversity in culture, however the workers often feel pressure and overworked.
Junior employees are given a large amount of responsibility at Amazon which is another divisive component of its corporate culture. The workforce is highly motivated and focuses on empowering employees.
Change: Business manipulate their practices and input new strategies at different times and at different speeds
Amazon is looking into developing Amazon Air which is a drone delivery service. In order to appeal to some customers who value efficiency Amazon is trying to innovate its delivery system.
Amazon is constantly evaluating and expanding its market share by acquiring companies. In order to remain competitive Amazon consistently makes the decision to acquire smaller companies.
Connected to Amazon's acquisition of Whole Foods has allowed them to start selling their other products like the Amazon Alexa in the grocery stores.
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Stakeholders
Floor workers are being treated unethically which could contribute to unions and high employee turnover.
Whole Foods just became a large stakeholder of Amazon after the acquisition. It is now working with Amazon on new, innovative ways for the two businesses to partner and benefit mutually.
Small business owners are being phased out by Amazon and are scared that their brick-and-mortar stores will be overshadowed by the future of online shopping.