Introduction
Today, I will present Amazon Construction as a prospective project with great potential for investors and senior management. Amazon is a well-established brand with an established reputation that is constantly developing its products and services. One of the novelty segments presented by the company is Amazon Constructions.
It is a project aiming to enhance the sustainability of the construction business and introduce a variety of aesthetic materials and ready-made objects. The project will produce guest houses, garden areas, other small assembly constructions, and building materials. According to the Amazon report (2023), the chosen project fits Amazon’s capabilities by establishing increased sustainability and contributing to transparent business development.
Customer-Centered Mission and Product Alignment
Our company strives to be more customer-centered, and the new project perfectly fits into this mission. By selling low-cost sustainable resources, one can easily build anything from furniture to a house. This means that Amazon Constructions will contribute to the client-centric approach by presenting products and services suitable for any buyer with any taste (Lima et al., 2023). Such actions are defined by the customer segment from the business model canvas (BMC). The target audience is manufacturers, construction companies, and individuals.
Sustainability and Market Opportunities
Our new product will impact the company’s mission in several ways. Primarily, it will promote sustainability by offering customers ecological materials at low costs compared to its competitors due to Amazon’s private wood resources. In addition, the constructions and other objects on sale will be adjusted to clients’ needs and desires.
One of the significant opportunities for Amazon is a positive perspective on online retail sales in the U.S. (Amazon Report, 2023). This signifies that by introducing Amazon Construction, people can acquire its products online, facilitating the seller-customer relationship. As a result, it projects profitability because it attracts more clients interested in sustainability.
Economic Profitability and Revenue Growth
The project’s economic profitability is also vital for overall performance. Amazon’s return on investment (ROI) was measured at 6.51% in 2023 (Amazon return on investment 2010-2023, n. d.). It is three times lower than five years ago; however, the change does not seem too drastic due to inflation. Hence, it signifies that the introduction of Amazon Construction may boost ROI and attract more investors.
Since Amazon Construction is expected to be a sustainable branch of Amazon and offer reasonable customer prices, its revenue will grow progressively. It is conditioned by the fact that the company has its wood, which will reduce expenses on raw materials (Amazon Report, 2023). In addition, Amazon’s revenue last year was $513 billion, which was one and a half times bigger than in 2020 (Amazon.com, Inc., n. d.).
It is conditioned by the rapid growth of online commerce that started trending since the pandemic hit the country. E-commerce keeps increasing its scope, and Amazon Construction will surely implement this sales channel. Hence, the revenue gain will likely increase by one and a half times upon the project’s realization.
Conclusion
In conclusion, Amazon Constructions is a prospective project for the company since it reflects its mission and corresponds to the proposed values. This organization will be profitable in terms of improving customer experience, sustainability growth, and increased revenue for Amazon. Major investors will likely be interested in the project due to its pursuit of sustainable development and maximizing profit from its resources. Considering the factors affecting Amazon Construction, its profitability and revenue will grow rapidly.
References
Amazon report. (2023). Marketline. Web.
Amazon return on investment 2010-2023. (n. d.). Macrotrends. Web.
Amazon.com, Inc. (n. d.). Yahoo! Finance. Web.
Lima, M. F. B., Souza, A. N., Teixeira, D. E. (2023). A SWOT analysis of AWH project implementation in the Brazilian Amazon as perceived by affordable housing stakeholders. Forests, 14(3), 594. Web.