Innovation Business Model

Question: Duscuss about the Innovation for Business Model. Answer: Introduction: Innovation may be a firms most important powerful tool and assume to be a key driver of the value system in the organization. The following evaluation explicates the organizational characteristics and efforts of Amazon and discusses how that facilitates the innovation process. Organizational Characteristics and Innovation in Amazon Amazon boasts of an organizational culture that facilitates the business capacity to respond to the needs and demands of e-commerce domain. The corporate culture of Amazon drives the resources to stretch beyond traditional limits resulting in the creation of bright ideas and solutions (Cuthbertson, 2015). Being a top-performing retailer, the firm impels its resources to take risks and seek new opportunities and innovative processes in ecommerce business. Amazon believes in the business model of innovation which allows the firm to operate with a diverse portfolio of customer value plans. As far as culture is concerned, a continuous focus over the innovation which keeps the firm connected to its philosophy something which is envied by large conglomerates. Amazon continually strives to reinforce the workers focus over customer needs and attempts to integrate their preferences in its plethora of services and solutions (Gassmann, 2016) Evaluation of Innovation Efforts in Amazon At the outset, it is important to learn various innovation efforts in the organization based on the level of their familiarity. One of the most significant aspects of Amazon is its value creation through the process of innovation as a part of core operations. 1-click checkout is Amazons patented innovation which results in a reduction of the buying process. One single click and the purchase is underway(forbes.com, 2016). On the other hand, drone delivery is an idea meant for the future. It means that the items would be delivered within a span of thirty minutes bypassing traffic congestions and other hindrances. Such inventive ideas are a good example of sustaining innovation that can have a far-reaching effect in the popular sense. The firm observes the fact of BMI or business model innovation. Amazon discovered a new channel to the consumer through technology by the elimination of customary direct relationships with suppliers. It is important to learn that Amazon was not the first e ntity to own a retail store. The firm overhauled traditional retail model of business and dynamics of consumers shop. AWS or Amazon Web Service is another innovative tool which creates web-scale cloud computing cheaper and also more accessible(Cronin, 2014) Conclusion Amazons culture ensures that the firm creates pioneering ideas and solutions which not only surpasses customer expectations but also carved the niche for revenue and growth of the organization. Reference list Bloomberg, J. 2016. Amazon: Innovation Engine Or Spirit-Crushing Hellhole? Five Must-Read Articles. [online] www.forbes.com. Available at: https://www.forbes.com/sites/jasonbloomberg/2015/08/30/amazon-innovation-engine-or-spirit-crushing-hellhole-five-must-read-articles/#639c5a245143 [Accessed 31 Aug. 2016]. Cronin, M.J., 2014. Amazon Fast Tracks Transformation. In Top Down Innovation (pp. 49-60). Springer International Publishing. Cuthbertson, R., Furseth, P.I. and Ezell, S.J., 2015. Explaining the Amazon Economy and the Need for a New Model in Innovation. In Innovating in a Service-Driven Economy (pp. 5-9). Palgrave Macmillan UK. Gassmann, O., Frankenberger, K. and Csik, M., 2016. Innovation Strategy: From new Products to Business Model Innovation. In Business Innovation: Das St. Galler Modell (pp. 81-104). Springer Fachmedien Wiesbaden.