Contemporary Issues in Management finalle.docx

They will have to understand the uptake of

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pg 4). They will have to understand the uptake of smartphones and other technological devices. It will help them learn the influence they bring along to the retail patterns among the different age groups. Amazon has to remain technologically informed so as to handle the demand of its customers. Amazon must learn to take advantage of the aging population. As the population age increases, there will be an increase in the customer clientele demanding electronic retail. They will affect the economies of the organization depending on how they take them. If they decide to ignore them, their economies will be at a loss. However, if they embrace and take advantage of them, they will realize positive effects on their economies. The Rise of Africa in the Global Economy
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Management 9 E-commerce is at the core of the thriving economy in Africa (Kogan, 2016). The rapid spread of internet usage across the region represents a huge potential that is yet to be tapped (Ndonga, 2012 pg 1). Its customer market is largely untapped. There is an estimation that its growth is likely to reach above 400 million dollars by 2020 (Zibi, 2015). Amazon needs to stamp its command in the African market that has already started and is gaining momentum. Increase in Internet Use As the use of internet increases, it results to an increase in the number of online retailers in Africa (Vlachos, et.al, 2014). It increases the opportunities where technology users can purchase items from the online market (Krogman, and Khumalo, 2016). Therefore, Africa provides an emerging market where online shopping is at its developing stage (Unctad, 2015 pg 2). The rise of Africa in the global economy offers the highest growth potential for the electronic commerce industry. Slow Intake in Africa Despite Amazon being recognized as a well-established global retail, it has been slow in stamping its authority in the African market (Pccw Global, n.d.). It has led to the establishment of other electronic commerce companies such as Jumia, which are accelerating their presence in the market (Ekekwe, 2015). Despite the company being established some two years ago, it has gained a considerable market share in the region (Jackson, 2016). It serves as a reiteration of the potential that the Africa holds in the electronic retail sector (World Economic Forum, 2015). Amazon has realized the African potential and is making a push through its Amazon Web Services. Its entry suggests that the organization may be entering a more aggressive phase in offering cloud services in the continent. The setting up of an office in Johannesburg was an indicator of the quest to expand its presence in the region.
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Management 10 Development Center in Africa Amazon Web Services is not a new phenomenon in Africa (Heuler, 2014). Amazon set up and maintained a development center in Cape Town about ten years ago. Amazon went ahead to launch its platform in Cape Town. It also set its Amazon Web Service support site.
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