Explore BrainMass

Amazon.com Corporate Analysis

Provide analysis on the Amazon's ethics, the organizational culture, structure, and control systems, and how they relate to Amazon's competitive advantage.

© BrainMass Inc. brainmass.com June 25, 2018, 5:38 am ad1c9bdddf

Solution Preview

Amazon has a comprehensive code of business conduct and ethics. The issues addressed by the code include compliance with laws, no conflict of interest, and no insider trading. For example, no employee of Amazon is allowed to use internal information to deal in stocks for personal gain. Further, if there is any conflict of interest the legal department should be informed and the department will take action in the matter. Amazon code also disallows discrimination, harassment, and compromise in health and safety. For example disciplinary action is taken against employees that do sexual harassment. The code of ethics disallows price fixing, and bribery. If a person pays a bribe to a government official such an employee will face disciplinary action. The code also prohibits Amazon from misstatements in bookkeeping, reporting, and financial integrity(1). For example, inflation of revenues or profits in any division is not allowed. Finally, Amazon has set up a system for reporting violations. What Amazon ensures is that its workforce remains ethical. This is a source of competitive advantage. On one hand Amazon gets some reassurance that it will not violate local and home country laws. On the other hand the customers of the company will perceive ...

Solution Summary

The answer to this problem explains how Amazon can make its strategy sustainable. The references related to the answer are also included.