1. Final Business Model and Strategic Plan
Michelle McLarty
BUS/475
May 4, 2015
Victor DeJesus

2. Executive Summary
Amazon.com, Inc., global online retailer has dominated their industry as a top
leader for many years. At Amazon.com, Inc., strangulated security techniques have
been viewed in the past as insensitive. As a result, customers and investors have
demanded an immediate response for Amazon to tighten its reigns on their security
program. The cyber team specialist is monitoring the internal and external environment,
the idea emerged to provide state-of-the-art security system platform to avoid the loss of
data from their past. Amazon has identified the issues, defined the objectives,
analyzed the infrastructure, implemented strategy control, created measurements and
improved total quality management. This strategic planning involves the incremental
upgrading towards a next-to- perfect process of a biometric security service.
The problem is how to protect globally customer data, detect potential risks and
mitigate plans for computing. Therefore, the objective is to increase customer loyalty,
pledge to their mission statement and protect shareholders investment while continuing
growth. Strategic management realized to remain competitive and retain customers’
loyalty these three choices of securing data could be the key to remaining as a top
global online retailer:
1. Provide operational excellence by examining creating measurable objectives
for employees to execute efficiently
2. Prevent reoccurrence of future loss of data from circulating by tracking and
monitoring sales transactions, including alerting and blocking fraudulent
activities

3. 3. Avoid low shares of stocks by instituting policies and procedures to facilitate
strategy execution with elements in place with standardized approaches
4. Implement best-cost provider strategy introducing product differentiation and
meet the demand of the consumer market, meeting customer value (Crafting
and Executing Strategy, 2012).
Furthermore, Amazon.com, Inc., oversees global sales transactions worth
millions of dollars, providing online products to customers worldwide. Therefore,
Amazon’s strategic management continues to reinforce their value and supply chain
management. In addition, Amazon thrives to maintain their image by incorporating best
practices to obtain and retain consumers, meeting customer value with low-cost and
quality products, successfully with operating excellence.
The process for securing their database is as follows:
 Develop additional strategic plans for the internal and external
environment by forecasting scenarios and using digital dashboards to
access immediately the data
 Top management will meet with employees for suggestions and ideas to
improve functional units productivity, cross-training and motivation for
performance management
 Introduce a three-month free trial for new subscribers to attract new
customers who can provide word of mouth boosting marketing efforts

4.  Add a minimal security transaction fee for securing customer database by
surveying how much the customer would agree to pay based on types of
security levels
 Utilize the Balance Scorecard measurement to meet short and long-term
objectives and use benchmarking for total quality management programs
 Monitor the SWOTT for adaptation and improved operations for
positioning
Finally, implementing the mentioned security techniques will eliminate a loss of
customer data with monitoring and updating of the cyber security system. The
customer will enjoy the friendly avatar biometrics, and the investors will continue to
contribute to the success of Amazon’s mega retail position in the industry. Most
importantly, the avatar eco-friendly designed cyber system will generate financial
growth, develop competencies of employees, deliver customer value, and improved
internal processes. Amazon’s ability to reinforce their technological services will meet
the objectives of providing growth and low-cost products with a competitive advantage
abroad and domestically.

5. Introduction
When a company climbs to the top of the mountain, they must expect changes to
occur in the internal and external environment. Strategic control must be at the helm to
guide the company through an unpredictable bumpy ride or storm. No matter how great
systems seem to perform or appear to be free from chaos and clutter, careful monitoring
and tracking of transactions must be continuous by top management. Evidently,
Amazon.com has embarked on this journey as they quickly discovered that one faulty
wire or screw in their network can send waves of a shock to their company’s image. It
took a moment, but this mega online retail giant formulated a solid business model and
strategic plan to fuse the short breakdown in their security system. Strategic managers
re-examined their mission statement, developed SWOTT analysis, scrutinized the
balanced scorecard measurements, updated communication plans, and came up with a
design to reinforce their existence in the global marketplace. Amazon.com thrives to
remain at a competitive advantage in the US market and abroad, investing advanced
technology to meet their short-term and long-term objectives to satisfy customers and
shareholders with future-oriented growth and security.
Mission Statement
Amazon.com ability to remain competitive and keep the confidence of consumers
by reformulating their mission for a stronger strategic position while securing the
database. Similarly, altercations with Walmart and Barnes and Noble have made a
slight “spot” on their image. As a result, management and decided to implement a plan

6. to remain unique in their operations and products in their mission statement (Strategic
Management, 2013, p, 23). Amazon.com has a fundamental practice of using
advanced technology to satisfy the needs of their customers as listed in their mission
statement. Amazon continues to introduce new processes to improve their business to
make the Internet experience less sophisticated and secure for ordering their products.
With the ability to maintain a large inventory, Amazon.com traffic on their website seem
“endless” as their road map shows effective marketing strategies to satisfy their
customers.
On the other hand, technology has a downside for employees who monitor
networks with slowdowns in processes and loss of vital customer information. As a
result, Amazon.com investors and shareholders become discouraged, and other
rivalries take advantage. For instance, Amazon.com experienced a loss in performance
because of cloud computing and stretching their website services in other countries
(Amazon.com, Inc. SWOT Analysis, 2014). Moreover, Amazon.com delays in service
did not go unnoticed by major customers in the business sector. Therefore, the
animated friendly facial recognition monitored by Amazon.com cyber security team will
be a priority. Namely, orders will be secured, and consumers entertained by a friendly
panda known as “Rollie” to remind consumers of the mission statement.
Hence, their statement “to be Earth’s [sic] most customer-centric company,
where customers can find and discover anything they might want to buy online, and
endeavors to offer its customers the lowest possible prices” (Amazon.com, 2015).
Amazon continues to offer its customers the lowest possible prices as part of the
ordering process (Amazon.com, 2015). So Amazon.com continues to analyze

7. conditions and forces to satisfy customers and shareholders by maximizing the
consumer experience while surfing on their website.
Vision
Amazon.com has a long-term objective to inform the public about their goals and
missions. Their business goal is to continue growth and profitability. In addition,
maintaining a diversification of supply to meet the demands of the consumer.
Amazon.com commitment to communicate changes in the firm’s internal and external
environment to keep a stable working environment that is crucial to productivity and
efficient operations. Consumers are the breadwinners in this market, so it is vital to
make risky decisions in order to serve the primary principals and customers who
demand great service and low prices for brands. Amazon’s strategic management must
not lose focus of the mission statement. So, they continue to build the philosophy of
their operations to remain as one of the top producers in their industry (Strategic
Management, 2013, p. 24).
Values
By meeting the demands of consumers in the market, Amazon.com has become
the leader by satisfying their customers who are online with a mega volume of products
with a secure website. For instance, customer values were met as specific products are
available with a comfortable set price, unlike many brick and mortar locations that may
have a limited shelf space. Also, it is important that Amazon scrutinize their operations
with an internal analysis. Specifically, technology makes the process easier as it
improves production and efficiency to maintain a value chain. For instance, consumers

8. can download books on Kindle, videos and games that would otherwise be delivered.
Amazon’s value statement outlines to remain “green” as an online eco-friendly retailer.
For instance, Amazon.com uses easy-to-use recyclable packaging and has no interest
in plastic materials (Amazon.com, 2015).
Strategic Decision
Amazon.com utilizes their overall strategic management to employ workers with
the same outlook for the company. It can keep focused on providing the most valuable
services to meet the needs of the customer by investing capital management to remain
profitable. By remaining unique in their operations, Amazon.com continues to keep
affordable prices and ample supply of goods to reach their customers deadlines.
Customer Needs and Competitive Advantage
Amazon continues to improve processes by investing in R&D (Research and
Development) to provide the best secured ordering website on the Internet. Customers
will feel more valued as the company continues to research the external environment to
prevent hacking and fraudulent websites. Surveys will be distributed online
anonymously to make notations for purchasing managers to order the products to meet
the consumers’ specifications and preference. In addition, Kindle versions will be
updated for better reading experience along with modern applications for the Fire
mobile phone. Most of all, management will receive “real time” quantitative data on
“electronic scorecards” and “digital dashboards” to monitor the overall performance. As
a result, Strategic Management Business Units (SMBU) covering operations, marketing,
technology and sales divisions are involved. Amazon will contribute to informative

9. decision-making by managers as a team, remaining highly competitive in their industry
(Crafting and Executing Strategy, 2012).
Strengths Weaknesses
Product differentiation strategy at a
competitive advantage
Electronic hardware (Kindle) for
downloading and streamlining e-books
High inventory turnover
Avoiding lawsuits for patent infringement
cases regarding products and services
Outage of Relational Database Services
(cloud), and EC2 web service because of
improper routing of traffic to networks
Loss of customer data and inability to
respond, eventually resolved
Opportunities Threats / Trends
Growth in online retail purchases, cloud
computing, advertising business, and low-
cost tablet pricing boosting demand
Social changes for women contribute to
employment increases demand for
purchases online website
Political factors such as collection of
sales tax on products purchased online
on website
Competition of rivalries for electronic
readers or substitutes at a low cost
Fluctuation in foreign exchange and trade
Monitoring external environment for
technological capabilities in host
countries
Product Differentiation
Amazon is ranked at the top of global brands as the largest online electronic
retailer in the global market. Revenues for the company exceeded $74 million in 2013
(Amazon.com, Inc., 2014). Strategic management includes product differentiation
allowing Amazon to market within various countries, breaking down barriers. For
instance, the firm had managed to invest in cloud computing and Kindle e-reader to
download and streamline videos. Kindles is a very popular hardware and a core part of
their operations. In addition, Amazon’s high inventory ratio allows them to control costs
and provide low-cost savings to customers.
New Product

10. As well as, Amazon is flexible in its strategic management as it positions the firm
in competitive situations. The firm faces lawsuits, but the derailment of this mega
electronic supplier of online does not halt its customers with ordering of products online
(Amazon.com, Inc., 2014). Also, the firm has been scrutinized for not securing their
database. As a result, the cyber security team has invested in animated avatar that
guides the customer in the purchasing process. The new cyber security system
secured with an avatar known as “Rollie,” part of the database management system that
secures the site with facial and voice recognition. Chiefly, this is an excellent
sophisticated and reliable system. Furthermore, this system is equivalent to the security
systems in financial enterprises. Thus, Amazon has completed their goal to meet the
demands of improving their databases and met all objectives to control the loss of
customer data.
Leverage Capitalization
For one reason, Amazon’s plan for the new division Cybersecurity and
Technology is pivotal in strategic management; it drives down transaction costs as the
website is seamless. Also, Amazon has upgraded its customer interface and demand
management providing an equity in leverage capitalization with top quality human
resources, such as analysts with technological leadership (Strategic Management,
2013). Amazon’s implementation of new processes and procedures provided cross-
training to meet objectives of the new division, to streamline orders and database daily.
For instance, customers’ information is assigned an encrypted key for authorized
personnel, preventing loss data from circulating. As a result, investors are not rattled by
the possibilities of lower shares of their stock that will affect the company’s image. Also,

11. the cost of capital becomes lower (if all other things are equal) as Amazon’s stock
increases in value with a good earnings price (Strategic Management, 2013).
With networks liable for customer information, Amazon.com new division is
focused on developing a strategic objective that matches its mission statement. The
vision and values for Amazon.com along with their SWOTT geared towards increasing
customer loyalty. Protecting customer data by detecting potential risks and mitigation
plans is now an essential part of the services employed by Amazon.
Amazon.com, Inc.
Balance Scorecard Measurements
Strategy
Financial
Objective
Initiatives Metric Target
Year
1
Increase profit
margin within six
months of set-up.
Increase return on
investment for cyber
security system,
ROI, Earnings Per Share
(EPS)
3%
Increase
positioning in the
marketplace
Profitability, efficiency,
solvency ratios
Dun & Bradstreet Key
Business Ratios
5%
Discontinue
excess inventory
Renew and seek
contracts with suppliers
of products in demand
(Hall, 2008)
Monitor customer’s online
orders of particular brands
20%
Customer
Develop Customer
Relationship
Training of employees Performance management 80%
Improve
productivity in
service areas
Reaction time to inbound
calls
Performance management 95%
Manage
complexity of too
many internal
contacts
Assign groups to regions Supervise calls during peak
time
80%
Internal Business
Process
Reduce loss of
data
Monitor transactions,
avoid outsourcing, track
Network database and
performance management
80%

12. security flaws
Increase Efficiency
and cost-benefit of
services
Online surveys of
customer satisfaction
Monitor chat rooms and
forums
80%
Increase Internet
and Wireless
Connections
Global website
excellence, online sales
and marketing, customer
able to connect to
servers, use of social
media (Strategic
Management, 2013)
Gather and analyze data
security system
80%
Learn and
Growth
Increase market
needs
Gather and access
information from
marketing department
Demographics, Four Ps
(promotion, placement,
pricing, product)
90%
Increase
competencies of
employees in six
months
Outsource, collect
surveys and suggestions
using numbering system,
ranking 1=low and
5=highest
Research contractors skills
and abilities, access
employee evaluations
90%
Increase training
and research
updated and
improved
technology
Monitor external
environment and attend
seminars and trade
shows
Suppliers, vendors,
competitors, word-of-mouth,
concrete sources
75%
Financial Objective
Amazon.com continues to meet the interest of their shareholders. The new
service will add value to the strategic management by delivering a cost-effective
network. With high expectations, Amazon will reach the financial short-term objective to
increase profits within the period of six months. Also, the focus is to establish Amazon
in a high position as a newcomer to security systems. The financial sector is part of
Amazon’s long-term objective to achieve their goals. Most of all, Amazon will increase
customers’ loyalty and expectations to secure global computer transactions. As a
result, profits will exceed expectations as customers will understand the need for a

13. complex secured system as the costs of goods is at a low-cost, offsetting any minimal
fees. Customers recognize that Amazon responded to their concerns of security by
implementing a worldwide system. As a top leader in online retail, Amazon used
creativity, and innovation to roll-out the new service by continuing to examine the
external environment. Besides, Amazon is careful when making ethical decisions to
improve their cyber security brand (Strategic Management, 2013).
Customer Objective
Above all, consumers are the pivotal part of Amazon’s mission, vision and value
with a commitment to serve each of their customers needs. Namely, training
employees by empowering them to perform and meet reasonable timeframes are
recorded in the balance scorecard measurements. Furthermore, this short-term
objective will improve productivity, as customer specialists equipped with the right tools
such as effective communication. Processes will be understandable as the Internet will
be used to reduce misinformation. Most of all, Amazon’s objective to reduce the
number of customers being passed around by assigning regions to particular group
members within the customer service area, reducing chaos and unnecessary waiting.
The performance management will reduce these complexities as process issues will be
reduced. Furthermore, communications will be clear and valid because employees will
be informed. According to the University of Phoenix Week Four overview (2015),
questions that usually lingered such as who, when, how related to process issues will
have more predictability, as to the type of performance management expected by
employees. As a result, the employee’s confidence level will rise which leads to
incentives, and motivation to increase their performance. Furthermore, customers will
remain part of Amazon’s network as their values are met.

14. Internal Business Process
Similarity, operational excellence is a crucial to the maintenance of Amazon’s
internal business process. Performance management plays a role in determining
security breach by unethical employees. Employees will receive feedback from any
fraudulent activities, and policies and regulations will be reinforced to contribute to the
company’s goals. Social media is a magnet for hackers; therefore, special units will
receive notification of any irregular activities on customer’s transactions. Surveys from
customers will guide the implementation of additional updates to the secured system, as
needed. Overall, the internal business process is a vector that caters to the demands of
the customer, including investors by providing solutions to issues, using effective
business management (Strategic Management, 2013).
Learn and Growth
Fortunately, this mega giant online retailer’s ability to increase market needs, will
produce exceptional security services to monitor the global environment. Because
outsourcing will “free” Amazon’s employees to concentrate on core competencies, this
will improve their learning ability, contributing to their growth. For example, customer
service agents need to address the issues of customers, therefore, during peak periods
temporary workers can assist with filings of materials. In addition, once short-term
objectives are met employees can receive training on updated security issues by cross-
training on fundamental issues. Most of all, evaluations will be used to measure the
level of activities attained by way of employees to improve or reward for excellence
(Strategic Management, 2013).

15. Strategies and Tactics
Information Technology
Amazon implemented premise control as an approach for strategic control. The
advanced technology allowed Amazon to become security savvy. They reallocated
funds into the long-term objectives to protect shareholders and customers interest.
Financial milestones are implemented to control too much waste, much less insufficient
funds to maintain performances as outlined in the balanced scorecard. For instance,
the balance scorecard measurements have a financial objective to increase its profit
margin. This objective is part of the strategy to meet the Year 1 target of 3% of Return
on Investment (ROI) and Earning Per Share (EPS) as part of the metric. As a result,
special alert control allows the firm to make immediate changes to their security system
in the event of another disastrous security occurs in the new system.
In particular, advanced technology is an asset, Amazon newly implemented the
system will boost their Reported Annual Balance Sheet. Therefore, the cyber security
system will be an asset that increases the positioning of the retailer that currently shows
the December 2014 balance sheet as $5,802,000 (“As reported annual balance sheet”
2015). Furthermore, Amazon has an exceptional crisis team that developed policies
and procedures for unknown events. Pearce (2013) stated special alert control
strengthens operational levels by tracking transactions and the external environment for
changes that demand an urgent review of the firm’s strategy.
In addition, strategic surveillance contributed to Amazon securing ClusterK [sic]
(a software company) to assist with the process of lowering the cost of computing

16. volume for customers at a minimal cost (Henderson, 2015). Most of all, the acquisition
will provide Amazon with a cost-benefit of services as surveys will be the yardstick to
meet customers’ values. Evidently, Amazon’s external monitoring of the environment
provided them with a competitive advantage among other rivalries.
Marketing Promotion
In addition, marketing promotes the operation excellence of Amazon’s ability to
measure network database and performance management. Managers use benchmarks
to meet the target as part of the strategy. Therefore, marketing is crucial to the control
of the strategic plan. For instance, business re-engineering is necessary as many
workers from various business units that contribute to the operations of research and
development for products and services (Crafting and Executing, 2012). Besides, the
company’s performance management will be improved, boosting the Learn and Growth
objective, resulting in promoting the operational excellence that is a financial gain for the
company.
Furthermore, strategic control involves premise control that analyzes the
performance of other companies as industry factors, and the environmental factors to
reject or accept the strategic assumptions and predictions of management (Strategic
Management, 2013). For instance, Amazon adjusted its premises by identifying the
needs of unsatisfied customers, based on the prior loss of data. They made a strategic
decision to implement a well-funded cyber security system that added value to the firm’s
online ordering service. In addition, the marketing efforts for this promotion has led to
the company’s monitoring of the services, for recognizing flaws and defects from the
internal and external environment. Besides, the benchmarking used by Amazon to

17. differentiate the cyber security system with an avatar biometrics feature, is a perfect fit
for the user interface. Pearce (2013) strategy-critical activities provide a competitive
advantage for company benchmarking. Amazon’s image promotes a well-structured
technology security system, meeting financial, customer, internal processes, and
learning and growth objectives for the future.
Ethics and Social Responsibility
With Amazon as a global online retailer spreading their wings into the Asian
market ethics in the various cultures should be examined. Strategic management
obtains feedback from their supply chain and value chain management to ensure
processes and procedures are beneficial. Also, Amazon is recognized for their
importance of sustainability in such developing economies of excellence in diversity,
economic, social and environmental settings by commentary and on the website
(Crafting and Executing, 2012). For instance, the online retailer profits increases from
the delivery of products involves green gas emissions that require regulation of activities
on a global level. Chiefly, Asia will dominant in ordering products in the marketplace
(IBIS World Global, 2015). Amazon will decrease its fuel consumption in order to meet
the legal and regulatory issues faced by this developing economy. In addition, social
responsibility is a major part of the firm’s mission statement to continue committing to
the community by providing less carbon footprints. Also, Amazon encourages their
suppliers and employees to participate in charities and other volunteering events, and
efficiently monitoring changes in the external environment for technological capabilities
in host countries.

18. (Graph of Revenue Outlook- IBIS World Global, 2015)
Conclusion
To sum it up, Amazon has revived its security system with a well-developed
strategic management plan. Leaders have taken the initiative to restructure, redesign
and reengineer their security system to prevent further loss of customer information
over the worldwide web. As more global customers order products from Amazon’s
online services, management will continue to invest in research and development, this

19. is imperative to achieving a competitive position in the marketplace. Amazon has
addressed their flaws from prior loss of customer data with their avatar biometric
advanced system. Overall, the strategy has allowed Amazon to regain its image,
improve their internal process, meet objectives, and capitalize on advanced
technological methods to craft and execute efficient strategies and tactics. Amazon
could be a benchmark for others in the industry.

20. References
Amazon.com, Inc. SWOT Analysis. (2014). Amazon.com, Inc. SWOT Analysis, 1-11.
Amazon.com, Inc. As reported annual balance sheet. (2015, May). Company
Financials. Retrieved from
http://www.mergentonline.com.contentproxy.phoenix.edu/companyfinancials.php
?compnumber=91098
Hall, D. (2008). Five Ways to Increase Profit Margins. Retrieved from
http://www.bloomberg.com/bw/stories/2008-08-21/five-ways-to-increase-profit-
margins
Henderson, N. (2015, May). Amazon acquires ClusterK [sic] to help users spot cloud
savings. Retrieved from http://www.thewhir.com/web-hosting-news/amazon-
acquires-clusterk-help-users-spot-cloud-savings
http://www.amazon.com/Careers-Homepage/b?ie=UTF8&node=239364011
IBIS World Global. (2015). [Graph of Revenue Outlook] Industry Outlook. Retrieved
from
http://clients1.ibisworld.com.contentproxy.phoenix.edu/reports/gl/industry/industry
outlook.aspx?entid=1660
Pearce, J. A. II. (2013). Strategic management: Planning for domestic and global
competition (13th ed.). New York, NY: McGraw-Hill.

21. Thompson, A. A., Gamble, J. E., & Strickland, A. J. (2012). Crafting and executing
strategy: The quest for competitive advantage (18th ed.). New York, NY:
McGraw-Hill.
University of Phoenix. (2015). Week Four overview: Implementing a Performance
Management System. Retrieved from University of Phoenix, GEN480-
Interdisciplinary Capstone course website.
Final Strategic Plan and Presentation
Content and Organization
70 Percent
Percent
Earned:
Comments:
Michelle McLarty 70% You met all of
the key
elements of this
assignment and
discussed the
major discussion
points in a
professional
manner.
Your paper’s
content was
superb in quality
and I truly
enjoyed reading
it.
All key elements of the assignment are covered
in a substantive way.
 4,200 -5,250 Words combined work
 APA Format
 Major discussion points are stated and
researched
 Paper has an introduction, body, and
conclusion
 Citations are clearly stated and relevant
 Certificate of Originality provided
The content is comprehensive, accurate, and/or
persuasive.
The paper develops a central theme or idea,
directed toward the appropriate audience.
The paper links theory to relevant examples of
current experience and industry practice and
uses the vocabulary of the theory correctly.

22. Major points are stated clearly; are supported by
specific details, examples, or analysis; and are
organized logically.
 Proposed business conceptualized
 SWOTT analysis included
 Balanced scorecard includes 3 objectives
for each perspective
 Strategies and tactics to realize the
strategic objectives
 Three methods to control strategic plan
 Recommendations to address legal, ethical,
and regulatory issues
 Marketing and Technology Strategies
 Include executive summary as stated in
syllabus
The introduction provides sufficient background
on the topic and previews major points.
The conclusion is logical, flows from the body of
the paper, and reviews the major points.
Readability and Style
20 Percent
Percent
Earned
Comments:
20% I was very
pleased with the
structure and
content of your
paper.
Paragraph transitions are present and logical
and maintain the flow throughout the paper.
The tone is appropriate to the content and
assignment.
Sentences are complete, clear, and concise.
Sentences are well-constructed, with
consistently strong, varied sentences.
Sentence transitions are present and maintain
the flow of thought.
Mechanics
10 Percent
Percent
Earned
Comments:
10% Your paper met

23. The paper, including the title page, reference
page, tables, and appendices, follow APA
guidelines for format.
all the APA
guidelines for
this assignment.
Citations of original works within the body of the
paper follow APA guidelines.
The paper is laid out with effective use of
headings, font styles, and white space.
Rules of grammar, usage, and punctuation are
followed.
Spelling is correct.
Total 100
Percent
Percent
Earned
Comments:
100% 100% Michelle,
Your paper is
well written and
laid down in
professional
manner. Your
discussion
points are well
stated and
painted a good
strategy.
Good strategies
are as good as
their
implementation
and having a
clear path laid
out about how
your strategy
will be
implemented is
imperative.
Your paper
provided me
with all the
elements

24. required to
make a decision
about an
organization.
Thank you for
all your hard
work.
Points Possible
9
Percent
Earned x
Points
Possible
9