Amazon Apple Facebook And Google 2018 Case Solution

2. Introduction

The case talks about the four important organizations including Facebook, Google, Amazon, and Apple in the perspective of these brands working to develop a strong market standing in their respective specialized domains. It is important to identify the key issue, and then develop corrective strategy to overcome the problem.

3. Key Issues

The four giants namely Amazon, Apple, Google, and Facebook have developed an important presence in the digital landscape. Internet has become an important medium in the context of online marketing. These companies are delivering services that are used by different segments of the societies in various parts of the world. This has provided great benefits to different people; however, there is a flip side that is required to be acknowledged. Firstly, this oligopoly in the digital landscape makes it difficult for other brands to compete effectively with them, leading towards choking of the competition on the digital environment. Secondly, it is also important to ascertain the strength of the oligopoly of these companies in the perspective of dealing with the wide customer base. As a consultant for Amazon, it is important for the writer to propose recommendations which might help in developing an ecosystem that may facilitate the evolving brands, and bring about more cooperation in the overall market. In order to suitable recommendations, it is important to focus on the relative importance of all these four giants, in order to ascertain contested boundaries between their respective operational frameworks.

4. The Four Giant IT Companies

In the context of online retailing, Amazon is the largest player in the industry with $178 billion in online retailing. Apple is considered as the second largest retailer, with $16 billion in online sales. However, it is important to note that Amazon has a much broader horizon with in which it provides e-retailing services, as the company focuses on general merchandize, apart from electronics. Whereas, Apple’s online retailing is limited to specific electronics’ items associated with the brand. This has also developed a certain level of competition which is further likely to get to the next level. However, this is not the only example of a contest.

It is also important to consider the advertising aspect of the online marketing. Digital advertising and paid search activities have also received great prominence over the period of time (Moore & Tambini, 2018). Over a certain period of time, audiences have radically shifted their focus from analog media like broadcast television and newspapers to digital media. This has provided profitable opportunities to players like Google and Facebook. Both of them are considered to be fierce competitors, particularly with regards to the advertising on the digital media. In the context of the digital displays advertisements, Facebook leads with revenue generation of $18 billion, followed by Google with $6 billion. It is also pertinent to mention that Amazon is not a very strong player with regards to this and only generate $1.3 billion from this activity (Pucihar, 2017). 

Bot Apple and Facebook are also likely to contest with each other, keeping in view the evolving scenario in the digital environment. Although both of them are different types of platforms. Facebook specializes in social networking, and on the other hand, Apple focuses more on mobile device operating system. Facebook application is also supported by the software system on the mobile devices of a number of customers. The technological landscape has evolved to such a great extent that it has resulted in different companies developing new lines of businesses, and so have come into direct competition. This has been particularly possible due to the opportunities available on the digital platforms from the point of view of business. The post pandemic era has further increased chances for greater clash between such brands.