Leverage technology for market penetration ⊡ Increased visibility of Future brands ⊡ Explore synergies in □ Distribution □ Customer acquisition □ Cross-promotion Value Proposition Conflicts ⊡ Sharing the cost of rebates on Futures group products on Amazon ⊡ Heavy discounting on online platform

What are the probable risks faced by Amazon and Future Group? What can they do to safeguard against those risks? 3

Risks faced ⊡ Small profit due to price alignment between physical stores and high discounting e-sales ⊡ Strong and powerful competitors, both online and offline markets ⊡ Lack of trust, Mr.Biyani criticizing the ecommerce companies for heavy discounting ⊡ Ineffective alliance negotiations, terms and conditions of future cooperation were poorly negotiated

Cooperative Strategy Business Related Cooperative Strategy Vertical complementary strategy alliance Corporate Related Cooperative Strategy Diversifying strategic alliance Synergetic strategy alliance International Cooperative Strategy Cross-border strategic alliance

Ways to Safeguard • Increase the prices to increase the margin while keeping sales near 25% limit Price • Amazon can allow some other brands to use its services due to a limited amount of sales per brand group Attract New Brands •