Strong Brand value
Own Logistics Arm e kart
Own Online payment gateway solution Payzippy
Own Marketplace model
Better Search engine optimization
Price reduction or discounted price
24*7 customer service
Advanced advertising and promotion
Broad range of products Weakness
Investor driven and lack of independent board
Less penetration in small cities
No delivery to remote places
Provide logistic services to its competitors through e-kart
Penetration into small cities
Global availability and accessibility
Growth in e-tail
Broadband penetration Threats
Competition from players such as Amazon, Snapdeal etc.
Porter’s five forces for Flipkart …show more content…
Since, they are many players in Indian e-commerce industry such as Amazon, Snapdeal, Jabong etc., buyers have wide range of choices. So, customers tend to buy products from the players whose prices are reasonable, delivery is on time and who can provide facilities such as COD, EMI etc. We can say buyer power in this industry is very high.
Competitive rivalry Competition is very high in this industry with many players like Amazon, Snapdeal, Jabong, etc. People have more options to choose from. This increases the cost for the company on promotions and advertisements. Companies needs to invest on providing better customer deals, making customer’s experience delightful and on continuous innovation to stay ahead in the industry.
Threat of new entrants Threat of new entrants is very high on online retail industry. Foreign companies can come and start a business easily because of new FDI regulations. Also, the capital investment to start online retailing is low compared to other businesses. Industry is going at a rapid rate and internet penetration is increasing dramatically. Many players can enter the business and use this opportunity. Flipkart needs to devise new strategies to avoid threat of new