Amazon Goes Global 2020

Case Solution

Jing Li, Yong Li
Ivey Publishing ()

Amazon.com Inc.’s (Amazon) global expansion from 1998 to 2020 began with investments in the UK and Germany and ended with investments in the United Arab Emirates (UAE). In 2019, Amazon, as one of the world’s largest e-commerce companies, had a 15.1 percent share of the global e-commerce market with offices in 16 countries, including industrialized and emerging markets. However, the company performed unevenly in all countries. For example, Amazon was the market leader in the UK (23.3 percent market share) and Germany (48.3 percent market share) in 2019, while only 0.2 percent of the Chinese online retail market lagged far behind the market leader with a 42.7 percent market share, and in Brazil it only had a 1 percent market share, while the market leader had 23.2 percent. Amazon faced critical challenges in developing its future international strategies. Should it continue its global expansion into new markets? What should the company do with less successful markets like China and Brazil? And how should Amazon deal with the effects of an unexpected global pandemic on its international strategy? This case is an updated version of Amazon Goes Global, the old Ivey 9B14M122 product.

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