Amazon's Merging & Acquiring Strategy
Similarly to how strategic alliances have played an integral role in Amazon’s success, a lot of those strategic alliances developed past equitable relationships and into mergers and acquisitions which has only further boosted Amazon’s successes. Chapter 14 notes that mergers and acquisitions enable a firm to exploit competitive opportunities and neutralize threats while reducing costs or increasing revenue. Any merger or acquisition exemplifying these qualities would have economic value to the original firm. An example of Amazon exploiting an opportunity and leveraging to the point of economic value was actually referenced in the last blog post when referring to Amazon’s relationship with Ring, the home security camera company. Amazon invested millions of dollars into this identified opportunity and once Amazon was able to see how much their relationship was benefitting them, they wanted the whole pie instead of just a piece. Additionally, Chapte...