25 May DISCUSS WHETHER AMWAY IS SERVING THE CONSUMER, ORGANIZATIONAL OR GLOBAL MARKET.
Amway and stakeholders
Amway uses different ways to communicate with its various groups of stakeholders. The method chosen depends on the message and the person receiving the message. Consumers affect how Amway develops and promotes products. They do this by indicating their preferences and requirements through feedback. Amway can then make more of particular products or change the format of others. Consumer demand also influences how much stock Amway needs to carry. Consumers can show where Amway needs to address issues or concerns to improve the business.
Amway’s business plays a key role in the communities in which it operates. Amway has a global strategy for producing, distributing and marketing its products worldwide. It also has a strategy for promoting corporate social responsibility (CSR) in a global way. Amway operates in many different markets worldwide and has a range of affiliates and ABOs. It therefore has to devise and communicate its plans for corporate social responsibility activities carefully to take account of different priorities and interests.
Conclusion
In today’s highly competitive environment, an organization has to develop a business strategy that provides a strategic fit between its resources and the changing business environment. Amway has continued to develop by using a range of strategies which have enabled Amway to build its business by continuing to broaden its customer base and enhance the service it offers to Independent Business Owners, Members and Clients.
Read the above case study and answer the following questions:
1. Explain how Amway is creating customer value and value for the organization through sustainable customer relationships.
2. Discuss whether Amway is serving the consumer, organizational or global market.
3. Discuss briefly the product, pricing, promotion and distribution strategies of Amway.
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