Question

Since it was founded in 1994, Amazon has expanded its business from online book sales, to online general retailing, to audio and video streaming, to e-readers and tablet computers, to cloud computing. Is Amazon’s strategy based primarily upon serving a market need or primarily on exploiting its resources and capabilities?

Answer 1

Answer:

Amazon's strategy is based on exploiting its resources and capabilities.

Explanation:

This is why Amazon has expanded its business from "online book sales to engage in online general retailing, audio and video streaming, e-readers, tablet computers, and cloud computing."  Certainly, Amazon is not stopping yet.  It will go ahead to exploit other possibilities provided it has developed the technological capability and capacity to carry on.  While its business model is based on servicing the needs of customers, it is rapidly branching out from its first love: "online book sales."  It has also continued to invest heavily and strategically in developing more technological capabilities through its well-funded research and development activities.