Minor Project On E-Commerce-1 - 240502 - 131335

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A MINOR PROJECT REPORT

ON
E-Commerce
Submitted in partial fulfillment of requirement of Bachelor
of Commerce (Hons.)

B.Com(H)-II Semester
Batch 2022-2025

Under the guidance of Submitted by:


Charu Sehgal Snehil Dubey
(Assistant Professor) Enrollment No:-01525588822

JIMS ENGINEERING MANAGEMENT TECHNICAL CAMPUS

48/4 KNOWLEDGE PARK III, GREATER NOIDA-201306 (U.P)

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Acknowledgement
I would like to convey my heartfelt gratitude to Mrs. Charu Seghal for her
tremendous support and assistance in the completion of my project. I would
also like to thank our Head of Department, Mr. Sumit Aggrawal, for providing
me with this wonderful opportunity to work on a project with the topic Food
Culture during the Pandemic. The completion of the project would not have
been possible without their help and insights.

Snehil Dubey

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Contents

Topics Page No.


Introduction 8-9
Objective of the Study 10-11
Literature Review 12
History 13-14
Payment Gateways 14-15
Company Profile 16-31
Research Methodology 32-36
Analysis and Findings 36-38
Limitations 38-40
Recommendations and Conclusions 41-44
References 46

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List Of Tables
Topics Page No.
Annual Sales 20

List Of Figures

Topics Page No.


Figure 1 21
Figure 2 22
Figure 3 22
Figure 4 22
Figure 5 23
Figure 6 23
Figure 7 23

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Executive Summary

In this project we are going to study about how the e-commerce market
works, target audience, etc. I took Amazon as an example of an e-commers
platform. Amazon is the world’s largest e-commerce platform; this will help me
to explain this project in detail about why these are popular these days, what
is the business module. There are a lot of things which I have talked about in
this project.

E-commerce is a wide topic it includes multiple aspects including sales,


payment gateways, delivery networks, etc. It is very easy to access anyone
can order a product

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Introduction

E-commerce, short for electronic commerce, refers to the buying and selling
of goods and services over the internet. It involves conducting business
transactions electronically, without the need for physical presence or face-to-
face interaction between buyers and sellers. E-commerce encompasses a
wide range of activities, including online shopping, electronic payments, online
banking, online ticketing, and online auctions. It has revolutionized the way
businesses operate and how consumers shop by providing convenience,
accessibility, and global reach.

E-commerce has become increasingly popular due to several advantages it


offers, including 24/7 availability, global reach, reduced costs, streamlined
processes, and personalized shopping experiences. However, it also poses
challenges like security concerns, logistics, and competition.

There are various types of e-commerce models: -

Business-to-Consumer (B2C): This is the most common type of e-commerce,


where businesses sell products or services directly to individual consumers.
Examples include online retail stores, such as Amazon and eBay, where
consumers can purchase items online.

Business-to-Business (B2B): In B2B e-commerce, businesses sell products or


services to other businesses. This can involve wholesale transactions, supply
chain management, or procurement services. Examples include platforms like
Alibaba and ThomasNet.

Consumer-to-Consumer (C2C): C2C e-commerce involves individuals buying


and selling products or services directly with each other through online
platforms. Popular examples include classified websites like Craigslist and
online marketplaces like Etsy and eBay.

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Consumer-to-Business (C2B): C2B e-commerce occurs when individuals offer
products or services to businesses. This can involve freelancers, consultants,
or influencers providing their expertise or content to companies. For instance,
a freelance writer offering their services to a media company through an
online platform.

Business-to-Government (B2G): B2G e-commerce refers to online


transactions between businesses and government entities. It involves
businesses providing products or services to government agencies, such as
bidding for government contracts or submitting tax returns electronically.

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Objectives of the Study

The objective of the study of e-commerce, or electronic commerce, is to


understand and analyze various aspects related to online business
transactions. E-commerce refers to the buying and selling of goods and
services over the internet, and its study aims to examine the strategies,
processes, and technologies involved in conducting successful online
business.

The specific objectives of studying e-commerce may include: -

1) Understanding the digital marketplace: E-commerce studies focus on


examining the characteristics, dynamics, and trends of the digital
marketplace, including the behavior of online consumers, market
segmentation, and competition.

2) Exploring business models: Researchers and practitioners’ study


different e-commerce business models to identify successful strategies
for online companies. This includes analyzing various revenue models,
such as B2C (business-to-consumer), B2B (business-to-business),
C2C (consumer-to-consumer), and others.

3) Analyzing consumer behavior: E-commerce research aims to


understand consumer behavior in the online environment, including
factors influencing purchase decisions, trust-building mechanisms,
customer satisfaction, and loyalty.

4) Examining technology and infrastructure: The study of e-commerce


delves into the technologies, systems, and infrastructure required for
successful online operations. This includes investigating topics like
website design and usability, security and privacy measures, payment
systems, logistics, and supply chain management.

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5) Evaluating marketing and advertising strategies: E-commerce involves
unique marketing and advertising methods to reach and engage online
consumers. Researchers analyze various online marketing techniques,
such as search engine optimization (SEO), social media marketing,
email marketing, and content marketing, to determine their
effectiveness and impact.

6) Assessing legal and ethical considerations: E-commerce research also


focuses on the legal and ethical aspects of online business, such as
consumer protection laws, privacy regulations, intellectual property
rights, and cybersecurity.

7) Investigating the impact of e-commerce on society and the economy:


Scholars study the broader implications of e-commerce on society, the
economy, and traditional brick-and-mortar businesses. This includes
assessing the effects on employment, market structures, global trade,
and overall economic growth.

By studying e-commerce, researchers, businesses, and policymakers aim to


gain insights into the rapidly evolving online marketplace and develop
strategies to harness its potential for economic growth, innovation, and
improved customer experiences.

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Literature Review

IBEF, E-commerce Industry in India (April, 2023)


In this article, we can clearly see how the e-commerce industry grew in Indian
market and made its huge impact on our economy. According to this report,
the average growth of e-commerce in India is approximately 33%, there are
few advantages of ordering products from e-commerce platform like they’ll
deliver product at your door-step but there are several disadvantages of this
like we can’t check product until it will be delivered. There major revenue is
coming from urban areas.

TechTarget.com Article By Ben Lutkevich


In this article we get to know about e-commerce in details and how the e-
commerce market works, what are the advantages, disadvantages, it’s
impact, etc.

Economic Times Article


According to that Article, E-commerce helps to small business grow there
business and earn a good profit out of it with less expenses.

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History Of E-Commerce

The history of e-commerce, or electronic commerce, dates back to the early


1970s. It has evolved significantly over the years, transforming the way
people buy and sell goods and services. Here's a brief overview of the history
of e-commerce:

Early Development (1970s-1980s):


1971: The first e-commerce transaction took place when students at Stanford
University used ARPANET (a precursor to the internet) to sell marijuana to
students at the Massachusetts Institute of Technology (MIT).
1979: English inventor Michael Aldrich developed the concept of
teleshopping, which allowed real-time transaction processing over television.
1982: France launched the Minitel system, a videotex online service that
allowed users to make online purchases.

Emergence of the Internet (1990s):


1990: Tim Berners-Lee created the World Wide Web, providing a
standardized platform for information exchange and e-commerce.
1994: Online shopping gained popularity with the launch of Netscape
Navigator, one of the first web browsers with secure communication protocols.
1995: Jeff Bezos founded Amazon.com as an online bookstore, marking the
start of a major e-commerce player that would expand into various product
categories.
1995: eBay was launched as an online auction platform, enabling individuals
to buy and sell goods through online bidding.

Dot-com Boom and Bust (Late 1990s-early 2000s):


Late 1990s: The dot-com boom led to a rapid growth of e-commerce startups
and investment in online ventures.
2000: The dot-com bubble burst, leading to the closure of many e-commerce
companies that were unable to sustain their business models.

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Consolidation and Growth (Early 2000s-2010s):

Early 2000s: E-commerce companies, such as Amazon and eBay, survived


the dot-com crash and expanded their operations.
2003: Alibaba, a Chinese e-commerce company, launched its consumer-to-
consumer platform, Taobao.
2005: YouTube was founded, paving the way for video-based e-commerce
and advertising.
2009: Bitcoin, the first decentralized cryptocurrency, was introduced, enabling
new forms of online payment and e-commerce.
2014: Alibaba launched its record-breaking initial public offering (IPO) on the
New York Stock Exchange, becoming one of the largest e-commerce
companies globally.

Mobile Commerce and Omnichannel Retailing (2010s-


Present):
2010s: The widespread adoption of smartphones and mobile internet
revolutionized e-commerce, leading to the growth of mobile commerce (m-
commerce).
2014: Mobile payments gained traction with the introduction of Apple Pay.
2015: Amazon surpassed Walmart as the most valuable retailer by market
capitalization, highlighting the dominance of e-commerce in the retail industry.
2020: The COVID-19 pandemic accelerated the shift towards online shopping
as people turned to e-commerce due to lockdowns and social distancing
measures.
E-commerce continues to evolve rapidly, with advancements in technology,
logistics, and consumer behavior shaping its trajectory. It encompasses
various models, including business-to-consumer (B2C), consumer-to-
consumer (C2C), and business-to-business (B2B) transactions, and has
become an integral part of the global economy.

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Payment Gateways
A payment gateway is a merchant service that authorizes credit card or direct
payments processing for e-businesses, online retailers, bricks and clicks, or
traditional brick and mortar. The payment gateway may be provided by a bank
to its customers, but can be provided by a specialised financial service
provider as a separate service, such as a payment service provider.

A payment gateway facilitates a payment transaction by the transfer of


information between a payment portal (such as a website, mobile phone or
interactive voice response service) and the front-end processor or acquiring
bank. Payment gateways are a service that helps merchants initiate
ecommerce, in-app, and point of sale payments for a broad variety of
payment methods. The gateway is not directly involved in the money flow;
typically, it is a web server to which a merchant's website or POS system is
connected. A payment gateway often connects several acquiring banks and
payment methods under one system.

Here are some of the benefits of using a payment gateway:

• Security: Payment gateways use the latest security protocols to protect


customer data.

• Convenience: Payment gateways make it easy for customers to pay for


goods and services online.

• Scalability: Payment gateways can be scaled to accommodate the


needs of growing businesses.

• Cost-effectiveness: Payment gateways are a cost-effective way to


accept payments online.

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Payment Gateways Available in India: -

There are many payment gateways available in India, each with its own set of
features, fees, and integration options. Some of the most popular payment
gateways in India include:

• PayU is one of the most popular payment gateways in India, offering a


wide range of payment options, including credit cards, debit cards, net
banking, and UPI. PayU also offers a variety of features for merchants,
such as fraud protection, recurring billing, and marketing tools.

• Instamojo is a popular payment gateway for small businesses, offering


a simple and easy-to-use platform for accepting payments. Instamojo
also offers a variety of features for merchants, such as instant payouts
and a free plan for businesses with up to 100 transactions per month.

• CCAvenue is a well-established payment gateway that offers a wide


range of payment options and features. CCAvenue is also PCI DSS
compliant, which means that it meets the highest security standards for
online payments.

• Bill Desk is a payment gateway that specializes in recurring billing. Bill


Desk offers a variety of features for businesses that need to collect
recurring payments, such as automatic billing, subscription
management, and customer support.

• JusPay is a payment gateway that offers a variety of payment options,


including credit cards, debit cards, net banking, and UPI. JusPay also
offers a variety of features for merchants, such as fraud protection,
recurring billing, and marketing tools.

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Company Profile

Here I’m chose Amazon.com as an example for this project to study


e-commerce in deep. In this we are going to study and analyze “How this
works, what is the business model/methodology, etc.”

History: -
Amazon.com, often referred to simply as Amazon, is an American
multinational technology company that is known for its e-commerce, cloud
computing, digital streaming, and artificial intelligence services. Founded by
Jeff Bezos on July 5, 1994, Amazon started as an online marketplace for
books before expanding into various other product categories and becoming
one of the world's largest companies.

In the early years, Bezos, a former Wall Street hedge fund executive,
recognized the potential of the rapidly growing internet and saw an
opportunity to establish an online bookstore. He initially named the company
"Cadabra" but later changed it to "Amazon" to reflect the vastness of the
Amazon River and his ambitions to create the largest online store in the world.

Amazon.com was officially launched on July 16, 1995. Initially, it operated out
of Bezos' garage in Bellevue, Washington. The company gained early
success by offering an extensive selection of books at competitive prices and
providing convenient features like customer reviews and personalized
recommendations. Amazon's commitment to customer satisfaction and
efficient delivery contributed to its rapid growth.

In 1997, Amazon went public and started trading on the NASDAQ stock
exchange under the ticker symbol "AMZN." The company's initial public
offering (IPO) raised $54 million, which allowed Amazon to expand its
operations beyond books into other product categories like electronics, toys,
and home goods. Despite facing skepticism from investors and critics who

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doubted its profitability, Amazon continued to focus on customer experience
and investment in technology and infrastructure.

Throughout the late 1990s and early 2000s, Amazon expanded its offerings
and introduced new services. In 1998, it acquired the online retailer Junglee
and entered the music and video market by launching Amazon Music and
Amazon Video (formerly known as Amazon Unbox and Amazon Instant
Video). The company also introduced the Kindle e-reader in 2007,
revolutionizing the e-book industry.

Amazon's growth accelerated in the 2010s with the rise of e-commerce and
cloud computing. It launched Amazon Prime, a membership program that
offered free two-day shipping and access to streaming media, in 2005. Prime
quickly became popular, attracting millions of subscribers worldwide and
fostering customer loyalty. In addition to its retail business, Amazon diversified
into various other sectors, including Amazon Web Services (AWS), a cloud
computing platform that provided scalable and cost-effective solutions to
businesses.

Over the years, Amazon expanded internationally and established localized


versions of its website in countries around the world. It acquired several
companies to strengthen its position in different markets, such as Zappos (an
online shoe and clothing retailer), Audible (an audiobook platform), and Whole
Foods Market (a grocery store chain). Amazon also ventured into original
content production with Amazon Studios, producing TV shows and movies for
its streaming platform, Amazon Prime Video.

Today, Amazon.com is one of the most valuable companies in the world. It


offers a wide range of products and services, including e-commerce, digital
media, artificial intelligence through its virtual assistant Alexa, and even brick-
and-mortar stores under the Amazon Go, Amazon Books, and Amazon 4-star
brands. With its strong customer base, global infrastructure, and continuous
innovation, Amazon remains a dominant force in the retail and technology
sectors.
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Organizational Structure: -

Amazon follows a hierarchical organizational structure. However, please note


that organizational structures can evolve over time, so there may have been
changes since then.

At the top of the hierarchy is the Chief Executive Officer (CEO), who is the
ultimate decision-maker and responsible for setting the company's strategic
direction. The CEO of Amazon is Jeff Bezos.

Under the CEO, there are several key executives who oversee different
aspects of the business. Some of the notable positions include:

Chief Financial Officer (CFO): Responsible for managing financial operations


and strategies.
Chief Technology Officer (CTO): Oversees technological innovations and
strategies.
Chief Operating Officer (COO): Manages day-to-day operations and ensures
efficient functioning of the company.
Chief Marketing Officer (CMO): In charge of marketing and branding
initiatives.
Chief Legal Officer (CLO): Handles legal matters and ensures compliance
with regulations.
Below the executive level, Amazon is divided into various business divisions
or departments, each headed by a senior executive. Some major divisions at
Amazon include:

Amazon Web Services (AWS): Provides cloud computing services.


Amazon Prime: Manages the subscription-based service that offers benefits
like fast shipping, streaming, and exclusive deals.
Amazon Retail: Handles the company's e-commerce operations, including the
sale of various products.

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Amazon Devices: Develops and sells hardware devices such as Kindle e-
readers, Fire tablets, Echo speakers, and more.
Amazon Studios: Focuses on original content production for Amazon Prime
Video.
Amazon Logistics: Manages the company's delivery network and logistics
operations.
Within each division, there are further subdivisions and teams responsible for
specific tasks and projects. The structure may vary based on the division's
requirements and may include product teams, engineering teams, marketing
teams, and more.

It's important to note that Amazon's organizational structure has likely evolved
or may continue to evolve to adapt to its growing size and changing business
needs. For the most accurate and up-to-date information, it is recommended
to refer to Amazon's official website or recent reports on its organizational
structure.

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List of key Management Personnel: -
The following were some of the key management personnel at Amazon.
Please note that executive positions may change over time.

1. Executive Chair: Jeffrey P. Bezos

2. President and Chief Executive Officer: Andy Jassy

3. Senior Vice President and Chief Financial Officer: Brian T. Olsavsky

4. Chief Executive Officer, Amazon Web Services: Adam N. Selipsky

5. Chief Executive Officer, Worldwide Amazon Stores: Douglas J.


Herrington

6. Senior Vice President, General Counsel, and Secretary: David A.


Zapolsky

7. Vice President, Worldwide Controller: Shelley L. Reynolds

8. Senior Vice President, Global Public Policy & General Counsel: David A.
Zapolsky

9. Senior Vice President, Worldwide Consumer: Russ Grandinetti

10. Senior Vice President, Worldwide Operations: John Felton

11. Senior Vice President, Worldwide Business Development: Peter Krawiec

12. Senior Vice President, Advertising Products and Tech: Colleen Aubrey

13. Senior Vice President, Amazon Web Services Sales and Marketing: Matt
Garman

14. Chief Information Security Officer: Stephen Schmidt

15. Vice President of Software Development, Amazon Transportation: Udit


Madan

16. Senior Vice President and Distinguished Engineer, Amazon: James


Hamilton

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Annual Sales (From 2010-2022)
Table No. 1
Year Sales (in Billions of USD $)
2010 24.8
2011 34.2
2012 43.4
2013 47.4
2014 74.4
2015 107.1
2016 136.0
2017 177.9
2018 232.4
2019 280.5
2020 368.1
2021 469.8
2022 513.9
Source: - Macrotends.net

513.9
469.8

368.1

280.5
232.4
177.9
136
107.1
74.4
34.2 43.4 47.4
24.8

2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022

Sales (in Billions)

Figure 1

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Product Mix: -

Amazon has a wide product mix, including:

• Consumer electronics: Amazon sells a variety of consumer electronics,


including Kindle e-readers, Fire tablets, Echo speakers, and Fire TV
devices.

Figure 2

• Apparel and accessories: Amazon sell a variety of apparel and


accessories, including clothing, shoes, jewelry, and bags.

Figure 3

• Home and kitchen: Amazon sells a variety of home and kitchen


products, including furniture, appliances, cookware, and bedding.

Figure 4

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• Groceries: Amazon Fresh is a grocery delivery service that offers a
wide selection of fresh produce, meat, seafood, dairy, baked goods,
and more.

Figure 5

• Amazon Prime: Amazon Prime is a membership program that offers


free two-day shipping on eligible items, as well as access to Prime
Video, Prime Music, and other benefits.

Figure 6

• Amazon Web Services (AWS): AWS is a cloud computing platform that


offers a wide range of services, including computing, storage,
database, analytics, networking, and machine learning.

Figure 7

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In addition to these products, Amazon also sells a variety of other
products, including books, movies, music, toys, and games. Amazon is
constantly expanding its product mix, and it is now one of the largest
retailers in the world.

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Market Position: -

Amazon is the second largest e-commerce player in India, with a market


share of around 26%. It is behind Flipkart, which has a market share of
around 62%. Amazon has been in India since 2013 and has invested heavily
in the market, including setting up its own logistics network. It has also
focused on expanding its presence in Tier 2 and Tier 3 cities.

Amazon's strengths in India include its strong brand name, its wide selection
of products, and its competitive pricing. However, it faces challenges from
Flipkart, which has a first-mover advantage and a strong relationship with
offline retailers. Amazon is also facing competition from new entrants, such as
Meesho and Udaan.

Despite the challenges, Amazon is well-positioned to continue to grow its


business in India. The Indian e-commerce market is expected to grow at a
CAGR of 25% in the next five years. Amazon has the resources and the
experience to capitalize on this growth.

Here are some of the key factors that have contributed to Amazon's market
position in India:

• Strong brand name: Amazon is one of the most trusted brands in India.
It has a strong reputation for customer service and for offering a wide
selection of products at competitive prices.

• Wide selection of products: Amazon offers a wide selection of


products, including electronics, fashion, home & kitchen, groceries, and
more. This makes it a one-stop shop for many Indian consumers.

• Competitive pricing: Amazon offers competitive pricing on a wide range


of products. This makes it a more affordable option for many Indian
consumers than offline retailers.

• Strong focus on customer service: Amazon has a strong focus on


customer service. It offers 24/7 customer support and a 100%

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satisfaction guarantee. This has helped to build trust and loyalty among
Indian consumers.

• Investment in logistics: Amazon has invested heavily in its logistics


network in India. This has helped to improve delivery times and reduce
shipping costs. This has made Amazon more competitive with offline
retailers.

• Expansion into Tier 2 and Tier 3 cities: Amazon has expanded its
presence into Tier 2 and Tier 3 cities in India. This has helped to reach
a wider audience and grow its market share.

Despite its strengths, Amazon faces some challenges in India. These include:

• Competition from Flipkart: Flipkart is the market leader in India and has
a strong relationship with offline retailers. This gives it an advantage
over Amazon.

• Competition from new entrants: New entrants, such as Meesho and


Udaan, are also challenging Amazon's dominance in India.

• Regulatory challenges: Amazon faces regulatory challenges in India,


such as the Goods and Services Tax (GST). These challenges can
make it difficult for Amazon to operate in India.

Despite these challenges, Amazon is well-positioned to continue to grow its


business in India. The Indian e-commerce market is expected to grow at a
CAGR of 25% in the next five years. Amazon has the resources and the
experience to capitalize on this growth.

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Direct Competitors: -

The direct competitors of Amazon in India:

• Flipkart

• Snapdeal

• Paytm Mall

• Tata Cliq

• Nykaa

• Amazon is the largest e-commerce company in India, but it faces stiff


competition from these other players. Flipkart is the second-largest e-
commerce company in India, and it has been growing rapidly in recent
years. Snapdeal is another major player in the Indian e-commerce
market, and it has a strong focus on fashion and electronics. Paytm
Mall is a relatively new entrant to the Indian e-commerce market, but it
has been growing rapidly thanks to its strong ties to the Paytm
payments platform. Tata Cliq is an online marketplace operated by the
Tata Group, one of India's largest conglomerates. Nykaa is an online
retailer of beauty and personal care products.

These companies compete with Amazon on a variety of factors, including


price, selection, customer service, and convenience. Amazon has been
investing heavily in India in recent years, and it is likely to continue to do so in
order to maintain its dominance in the market. However, the other players in
the Indian e-commerce market are also investing heavily, and it is likely to be
a competitive market for the foreseeable future.

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Target Audience: -

Amazon India targets a wide range of customers, including:

• Urban and rural consumers: Amazon India has a presence in both


urban and rural areas of India. It has over 100 fulfillment centers and
over 100,000 delivery partners across the country. This allows Amazon
to reach a wide range of customers, regardless of where they live.

• Students and professionals: Amazon India offers a wide range of


products and services that are relevant to students and professionals,
such as textbooks, laptops, and office supplies. It also offers a variety
of subscription services, such as Amazon Prime and Amazon Music,
that are popular among students and professionals.

• Singles and families: Amazon India offers a wide range of products and
services that are relevant to singles and families, such as groceries,
home appliances, and baby products. It also offers a variety of deals
and discounts that are designed to appeal to these groups of
customers.

• Low- to high-income earners: Amazon India offers a wide range of


products and services at a variety of price points. This allows it to reach
customers from all income levels.

Amazon India is constantly looking for new ways to reach and engage with its
target audience. It does this through a variety of marketing channels, including
online advertising, social media, and in-store promotions.

Here are some of the key strategies that Amazon India uses to reach its target
audience:

• Online advertising: Amazon India uses online advertising to reach its


target audience across a variety of platforms, including search, display,
and social media. It tailors its advertising campaigns to specific
demographics, interests, and behaviors.

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• Social media: Amazon India has a strong presence on social media
platforms such as Facebook, Twitter, and Instagram. It uses these
platforms to engage with its target audience, share product information,
and promote special offers.

• In-store promotions: Amazon India also has a presence in physical


stores. It partners with retailers to offer Amazon products and services
in-store. This allows Amazon to reach customers who may not be
familiar with its online platform.

Amazon India is committed to providing its target audience with a convenient,


affordable, and enjoyable shopping experience. It is constantly innovating and
finding new ways to meet the needs of its customers.

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Future Plans: -

Amazon has ambitious plans for India in the future. The company has set a
goal of exporting $20 billion worth of goods from India by 2025, and it is also
investing heavily in infrastructure and logistics to support its growth in the
country. Amazon has also committed to creating 2 million jobs in India by
2025, and it is working to digitize 10 million small businesses.

Here are some of the specific future plans of Amazon in India:

• Expand its reach beyond the big cities. Amazon has been focused on
the big cities in India, but it plans to expand its reach to rural areas in
the future. This will involve building new warehouses and delivery
centers in rural areas, and it will also involve marketing and advertising
in rural areas.

• Focus on exports. Amazon has been successful in exporting goods


from India, and it plans to focus on this area in the future. The company
plans to help more small businesses export their goods, and it also
plans to invest in infrastructure to make it easier to export goods from
India.

• Invest in infrastructure and logistics. Amazon is investing heavily in


infrastructure and logistics in India. This includes building new
warehouses, delivery centers, and transportation networks. Amazon is
also investing in technology to improve its delivery speeds and
customer service.

• Create jobs. Amazon has committed to creating 2 million jobs in India


by 2025. This will involve creating jobs in a variety of areas, including
customer service, operations, and logistics.

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• Digitize small businesses. Amazon is working to digitize 10 million
small businesses in India. This will involve helping small businesses
set up online stores, and it will also involve providing them with
marketing and advertising support.

Amazon's plans for India are ambitious, but they are also realistic. The
company has a strong track record in India, and it has the resources and the
commitment to make its plans a reality.

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Research Methodology

Research Methodology: -

Research methodology is the systematic approach to conducting research. It


includes the following steps:

1. Define the research problem. What is the question or issue that you are
trying to answer?

2. Conduct a literature review. What is the existing research on this topic?


What do we already know?

3. Develop a research design. How will you collect and analyze your
data?

4. Collect data. This can be done through a variety of methods, such as


surveys, interviews, or experiments.

5. Analyze data. This involves using statistical or other methods to make


sense of your data.

6. Interpret findings. What do your findings mean? What do they


contribute to the existing knowledge on this topic?

7. Write a research report. This is where you will present your findings
and conclusions.

Research methodology is important because it ensures that your research is


conducted in a systematic and rigorous way. This helps to ensure that your
findings are reliable and valid.

There are many different research methodologies that can be used,


depending on the research question being asked. Some common research
methodologies include:

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• Quantitative research: This type of research uses numerical data to
answer research questions. For example, you might conduct a survey
or experiment to collect quantitative data.

• Qualitative research: This type of research uses non-numerical data,


such as text, to answer research questions. For example, you might
conduct interviews or focus groups to collect qualitative data.

• Mixed methods research: This type of research combines quantitative


and qualitative data to answer research questions. For example, you
might conduct a survey and interviews to collect both quantitative and
qualitative data.

The choice of research methodology will depend on the research question


being asked, the resources available, and the researcher's preferences.

Primary Data

Primary data is data that's collected directly from the source. It's collected for
the first time and has not been used in any other exploration. Primary data is
collected by experiments through a variety of styles, similar as checks,
interviews, trials, and compliance.
There are numerous reasons why experiments might collect primary data.
One reason is to answer a question that has not been answered ahead.
Another reason is to get more detailed information about a content than is
available from secondary data. Primary data can also be used to test a
thesis or proposition.
Collecting primary data can be a time consuming and precious process. Still,
it can also be veritably satisfying. Primary data can give experimenters with
unique perceptivity into a content that cannot be attained from secondary
data.

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Secondary Data

Secondary data is data that has already been collected by someone else and
is not specifically collected for the current research project. It can be found in
a variety of sources, including government publications, academic journals,
industry reports, and commercial databases.

Secondary data can be a valuable source of information for researchers, as it


can save time and money, and can provide access to data that would be
difficult or impossible to collect independently. However, it is important to note
that secondary data may not be perfectly suited to the current research
project, and may need to be carefully evaluated for accuracy, reliability, and
relevance.

Here are some of the advantages and disadvantages of using secondary


data:

Advantages

• Time-saving: Secondary data can save researchers time and money by


eliminating the need to collect data from scratch.

• Cost-effective: Secondary data is often less expensive than primary


data collection methods, such as surveys or experiments.

• Access to large datasets: Secondary data can provide access to large


datasets that would be difficult or impossible to collect independently.

• Variety of sources: Secondary data can be found in a variety of


sources, which can provide researchers with a more comprehensive
overview of the topic under study.

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Disadvantages

• Accuracy: Secondary data may not be perfectly accurate, as it may


have been collected for a different purpose or by a different
methodology.

• Relevance: Secondary data may not be relevant to the current


research project, as it may have been collected for a different purpose
or in a different context.

• Outdated: Secondary data may be outdated, as it may have been


collected some time ago.

• Bias: Secondary data may be biased, as it may have been collected by


a source with a particular agenda.

Overall, secondary data can be a valuable source of information for


researchers, but it is important to carefully evaluate the data for accuracy,
reliability, and relevance before using it.

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Limitations of Research: -

There are a number of Limitations of Research. These include:

• Relevance: The data may not be relevant to the research question or


hypothesis.

• Accuracy: The data may be inaccurate or unreliable.

• Completeness: The data may be incomplete or missing.

• Timeliness: The data may be outdated or out of date.

• Representativeness: The data may not be representative of the


population being studied.

• Cost: Obtaining and using secondary data can be expensive.

• Access: The data may be difficult to obtain or access.

• Ethical issues: There may be ethical issues involved in using


secondary data, such as the use of confidential or sensitive
information.

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Analysis and Findings: -

The e-commerce industry in India is growing rapidly. In 2021, the Indian e-


commerce market was valued at $55 billion and is expected to reach $350
billion by 2030. This growth is being driven by a number of factors, including:

• Increasing internet and smartphone penetration: The number of


internet users in India is expected to reach 907 million by 2023, and the
number of smartphone users is expected to reach 750 million by 2025.
This will provide a large pool of potential customers for e-commerce
businesses.

• Growing affluence: The Indian middle class is growing rapidly, and this
is leading to increased spending on discretionary items such as
electronics, apparel, and home goods.

• Convenient and affordable shipping options: E-commerce businesses


in India are offering a variety of convenient and affordable shipping
options, which is making it easier for customers to buy online.

The e-commerce market in India is still fragmented, with a number of large


and small players competing for market share. However, the market is
consolidating, and the leading players are investing heavily in technology and
logistics to gain an edge over their competitors.

The future of e-commerce in India is bright. The market is expected to


continue to grow rapidly in the coming years, and the leading players are well-
positioned to capitalize on this growth.

Here are some of the key trends that are shaping the e-commerce industry in
India:

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• The rise of D2C brands: Direct-to-consumer (D2C) brands are gaining
popularity in India. These brands sell their products directly to
consumers online, bypassing traditional brick-and-mortar retailers. D2C
brands are able to offer lower prices and better customer service than
traditional retailers.

• The growth of social commerce: Social commerce is another key trend


in the Indian e-commerce market. Social commerce platforms such as
Instagram and Facebook allow businesses to sell their products directly
to consumers through social media. Social commerce is growing
rapidly in India, as it is a convenient and engaging way for consumers
to shop.

• The increasing importance of mobile commerce: Mobile commerce is


the fastest-growing segment of the Indian e-commerce market. More
and more Indians are shopping online using their smartphones. This is
due to the increasing availability of smartphones and the growing
popularity of mobile apps.

The e-commerce industry in India is undergoing rapid change. The leading


players in the market are investing heavily in technology and logistics to stay
ahead of the competition. The future of e-commerce in India is bright, and the
market is expected to continue to grow rapidly in the coming years.

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Limitations of E-commerce: -

E-commerce is a rapidly growing industry in India, but it still faces some


limitations. Here are some of the key limitations of e-commerce in India:

• Lack of trust: Many Indian consumers are still hesitant to shop online,
due to concerns about security and privacy. This is a major challenge
for e-commerce businesses, as it limits their potential customer base.

• High shipping costs: Shipping costs can be high for e-commerce


orders, especially for those that are shipped long distances. This can
discourage some consumers from making online purchases.

• Limited payment options: Not all Indians have access to credit cards or
other forms of online payment. This can make it difficult for some
consumers to shop online.

• Poor logistics infrastructure: India's logistics infrastructure is not as


developed as it is in some other countries. This can lead to delays in
deliveries and other problems for e-commerce businesses.

• Lack of awareness: Many Indians are still not aware of the benefits of
e-commerce. This can limit the growth of the industry.

Despite these limitations, the e-commerce industry in India is growing rapidly.


As more Indians become aware of the benefits of online shopping, and as the
logistics infrastructure improves, the e-commerce industry is expected to
continue to grow in the years to come.

Here are some of the things that can be done to overcome the limitations of e-
commerce in India:

• Building trust: E-commerce businesses can build trust with consumers


by offering secure payment options, clear return policies, and excellent
customer service.

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• Reducing shipping costs: E-commerce businesses can reduce shipping
costs by partnering with logistics companies that offer competitive
rates.

• Expanding payment options: E-commerce businesses can expand


payment options by accepting a wider range of payment methods, such
as cash on delivery, prepaid cards, and mobile wallets.

• Improving logistics infrastructure: The government can improve


logistics infrastructure by investing in roads, railways, and airports.

• Raising awareness: The government and e-commerce businesses can


raise awareness of the benefits of e-commerce through advertising,
public relations, and educational campaigns.

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Recommendations and Conclusion: -
Here are some recommendations for Amazon:

• Expand into new markets. Amazon is already present in many


countries around the world, but there are still many untapped markets
that it could enter. For example, Amazon could expand into Africa,
South America, and Southeast Asia.

• Expand into new product categories. Amazon is known for its wide
selection of products, but there are still many product categories that it
could expand into. For example, Amazon could expand into home
improvement, furniture, and clothing.

• Expand its logistics capabilities. Amazon's logistics capabilities are


already impressive, but they could be even better. For example,
Amazon could expand its network of fulfillment centers and delivery
drivers.

• Invest in new technologies. Amazon is constantly investing in new


technologies, such as artificial intelligence, machine learning, and
robotics. These technologies could help Amazon to improve its
operations and expand its offerings.

• Partner with other businesses. Amazon could partner with other


businesses to expand its reach and offerings. For example, Amazon
could partner with retailers to offer same-day delivery or with
restaurants to offer food delivery.

These are just a few recommendations for how Amazon could expand its
business. With its strong financial position and innovative culture, Amazon is
well-positioned to continue to grow and expand in the years to come.

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Here are some additional ideas that Amazon could consider:

• Open physical stores. Amazon has been hesitant to open physical


stores, but this could be a way to reach more customers and offer a
wider range of products and services.

• Offer more services. Amazon could offer more services, such as


financial services, travel services, and advertising services. This would
allow Amazon to generate more revenue and become a more
comprehensive one-stop shop for customers.

• Expand into new industries. Amazon could expand into new industries,
such as healthcare, education, and government. This would allow
Amazon to reach new markets and grow its business even further.

Amazon has a number of ways in which it can expand into other divisions.
Here are a few examples:

• Amazon Web Services (AWS): AWS is Amazon's cloud computing


platform, and it is one of the fastest-growing businesses in the
company. Amazon can expand AWS into new markets, such as China
and India, and it can also offer new services on AWS, such as machine
learning and artificial intelligence.

• Amazon Alexa: Amazon Alexa is a voice-activated assistant that is


available on a variety of devices, including Amazon Echo speakers,
Fire TV devices, and mobile phones. Amazon can expand Alexa into
new markets, such as Europe and South America, and it can also
develop new features for Alexa, such as the ability to control smart
home devices.

• Whole Foods Market: Whole Foods Market is a natural and organic


grocery store chain that Amazon acquired in 2017. Amazon can
expand Whole Foods Market into new markets, such as Europe and
Asia, and it can also develop new products and services for Whole
Foods Market, such as online ordering and delivery.

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• Amazon Prime: Amazon Prime is a subscription service that offers
members free two-day shipping, streaming video, and other perks.
Amazon can expand Amazon Prime to new markets, such as Europe
and Asia, and it can also offer new benefits to Prime members, such as
access to exclusive deals and discounts.

In addition to these specific divisions, Amazon can also expand into new
areas, such as healthcare, education, and transportation. Amazon has
already made some investments in these areas, and it is likely to continue to
do so in the future.

Amazon is a company that is constantly innovating and looking for new ways
to grow. As a result, it is difficult to say exactly how Amazon will expand into
other divisions in the future. However, it is clear that Amazon has the
resources and the ambition to expand into a wide variety of markets.

Amazon is constantly expanding its business in a variety of ways. Here are


some of the company's future plans for expansion:

• Expand its physical retail footprint. Amazon has been opening more
physical stores in recent years, including bookstores, grocery stores,
and convenience stores. The company plans to continue expanding its
physical retail footprint in order to reach more customers and offer
them a wider range of products and services.

• Invest in new technologies. Amazon is constantly investing in new


technologies, such as artificial intelligence, machine learning, and
robotics. These technologies are being used to improve Amazon's
operations, such as its fulfillment centers and delivery network. They
are also being used to develop new products and services, such as
Amazon Go and Amazon One.

• Expand into new markets. Amazon is expanding into new markets


around the world. The company has already established a significant

44
presence in North America, Europe, and Asia. In the future, Amazon
plans to expand into Africa, South America, and the Middle East.

• Develop new products and services. Amazon is constantly developing


new products and services. In recent years, the company has launched
a number of new products and services, such as Amazon Prime Video,
Amazon Music, and Amazon Web Services. In the future, Amazon
plans to continue developing new products and services to meet the
needs of its customers.

These are just a few of the future plans for expansion of Amazon. The
company is constantly innovating and expanding its business in order to stay
ahead of the competition and meet the needs of its customers.

45
References
Chhabra, T. (June 2023). Amazon Business Model | How Does Amazon Make
Money? FeeDough.

Krishna, T. (March 2023). Indian Ecommerce Market To Surpass US by 2034,


Supported 2 Lakh Jobs Last Year. Financial Express.

kumar, A. (January 2023). Amazon Business Model: How Amazon Generates


Revenue.

MAHENDRAN KIRUBAKARAN, J. A. (December 2016). The Evolution of E-


commerce: A Case Study on AMAZON. RESEARCH PROPOSAL.

The Econimic Times. (July 2022). India's E-commerce Market Size To Reach
$120 Billion By 2026. Tech.

Wikipedia. (February 2023). Amazon (company).

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