Week 4 – WSJ Analysis MSM 6327
1. Can Amazon replicate its US success in China? If so, to what extent? Why or why
not?
China's e-commerce market has proved a challenge for Amazon to replicate its
success in the US. Amazon.cn platform has struggled to compete with Chinese e-commerce
giants. The rapid technological development in China, the cultural difference between US and
China, and fierce domestic players have contributed to amazons struggles. The company must
gain customers' trust in reliability and quality product delivery (Wernau & Kubota, 2019).
Additionally, amazon's technological advancement is slower than their Chinese competitors,
which have lagged the company behind in market shares with Chinese companies dominating
the market.
However, despite all the changes, Amazon can replicate the US's success. The
company can take strict quality control measures, offer reliable customer service and address
counterfeit issues that have plagued e-commerce platforms to win the trust of Chinese
customers. Additionally, the company can use technology to analyze the Chinese unique
Chinese shopping habits. Amazon could adapt its offerings to align with these preferences by
incorporating group buying options and integrating live streaming for product promotions
(Furxhi, 2021). Finally, the Chinese culture is different from the US culture. Amazon needs
to consider the Chinese market's culture and align itself with it. Although Amazon has faced
challenges penetrating the Chinese market, with the right strategies, they still have a chance.
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2. Do cultural dimensions play a part in global success? If so, to what extent?
Global success involves creating networks in different countries via exchanging
information, goods, and services. Counties have different cultures, and for a business to
succeed in the different regions, they must have cross-cultural collaboration in mind. It would
be easier to work toward a global corporate strategy by considering other cultures' traditions.
Such a strategy would alienate current customers while ignoring a sizable pool of potential
customers. Cultural sensitivity is vital in growing an international business. It requires both
knowledge and sensitivity to deal with cultural variations in the global marketplace because
they are as different as they are prevalent (Furxhi, 2021). Their different cultures in global
businesses impact how deals are brokered and the attitude to portray when negotiating with
potential business partners.
A business has to be diverse in incorporating different cultures to succeed in the
global market. For instance, business negotiations in Asia take several rounds before sealing
a deal which is slower than in the US. When conducting business in the region, patience is a
virtue. Greetings are also different across cultures. It is essential to master the gestures and
wordings preferred in a country's culture before engaging in business meetings ("Ohio
University," 2022). Using suitable titles when addressing foreign counterparts is also
essential in considering local customs.
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References
Further, G. (2021, February 9). International Business and Country’s Culture Impact.
European Journal of Business and Management
Research. https://www.ejbmr.org/index.php/ejbmr/article/view/719/407
Ohio University. (2022, July 29). Cultural differences in business and international
affairs. https://onlinemasters.ohio.edu/blog/cultural-differences-in-business/
Wernau, J., & Kubota, Y. (2019, April 18). Amazon’s e-Commerce adventure in China
proved too much of a jungle. WSJ. https://www.wsj.com/articles/for-amazon-chinas-
e-commerce-market-proved-too-much-of-a-jungle-11555576769