Amazon inc..edited
Amazon inc..edited
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Amazon Inc. is an excellent choice for my research project, and the reason for choosing
this company is how well it has poised itself in the e-commerce platform. Several factors align
well with the evolving landscape of consumer behavior and technological advancements.
Amazon has a user-friendly platform that supports a vast product range and efficient delivery
mechanisms, thus contributing to its market dominance. Over time, consumer preferences have
shifted towards online shopping, wider product availability, and typically lower prices. It also
continually invests in technological advancements to improve its services, and innovations like
one-click ordering and AI-driven recommendations for seamless shopping experiences have
reinforced its appeal. Amazon operates across numerous countries, supporting to expand
globally, thus tailoring its services to local markets while maintaining a global infrastructure.
The financial highlights, such as net income, total assets, and Return on Equity %, have
been substantial, often reaching billions of dollars annually. Starting with net income for the year
2021, it was $33.364 B, a 56.41% increase from 2020. In 2022, the net income was $-2.722B,
which is a 108.16% decline from 2021, and for the twelve months ending June 30, 2023, it rose
to $ 13.072B, a 12.62% increase year-over-year. The company’s total assets are the sum of all
assets on a balance sheet. Amazon's total assets ad from 2021 were $ 420.549B, a 30.93%
increase from 2020. In 2022, the number of assets rose to $462.675B, indicating a 10.02%
increase from 2021, and for the quarter ending June 30, 2023, the total assets were $477.607B, a
13,97% increase year-over-year. Lastly, the Return on Equity (ROE) % is the amount of net
profit in share and has been notably high, often surpassing 20% in recent years, indicating the
equity ranged from $103.32B to $120.56B, marking a 30% Return on equity. In 2022, the ROE
fluctuated due to the negative net income and negatively impacted the yearly average ROE
despite the positive gain for the previous quarters; thus, it was around -1.98%. Similarly, in 2023,
ROE fluctuated with varying net incomes and shareholder's equity, making the annual ROE
stand at 8.62%.
References:
Jing, Y., & Li, X. (2023). Financial and Marketing Strategy Analysis of Amazon. Frontiers in
https://doi.org/10.54097/fbem.v7i3.5599