Chapter 8: Looking at International Strategies

amz-intl

 

Amazon’s International Strategies

If Amazon can successfully expand into international markets the sky is the limit. Amazon domestic and international growth were neck and neck at 38% in 2011, but since then their growth has slowed substantially in international markets. The top international markets for Amazon are Germany, United Kingdom, and Japan. In 2013, Amazon still saw growth in Germany and the United Kingdom, but had a 2% reduction in Japan. If Amazon stated that Japan decrease was due to the language barrier and digital content. If Amazon wants to be a big time global player, they will need to invest infrastructure to make Amazon user friendly and better than competitors. International completion is fierce. Rakuten is a thriving marketplace that dominates Asian markets. Rakuten continues to make acquisitions to position themselves in a favorable spot. They even bought their way into the US market by purchasing buy.com. Once Amazon reaches it threshold in the US, they can only look to foreign markets for growth. You can bet that they will continue to push with a global strategy, but they are learning that it will not be as easy as the US.

Sources

Amazon Faces Serious International Competition, From Japan
Amazon’s international growth slows

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