Contemporary Business Environment Company Appraisal – Amazon and Tesla (Research Paper Sample)

BUS4010 Contemporary Business Environment Company Appraisal – Amazon and Tesla Student number Module: BUS4010 Contemporary Business Environment Submission deadline Word count Contents TOC \o "1-3" \h \z \u 1.0.Introduction PAGEREF _Toc196749067 \h 3 2.0. Task 1: Organisational Structures, Digitisation, and Leadership Challenges PAGEREF _Toc196749068 \h 3 2.1. Types of Organisations, Structures, and Stakeholders PAGEREF _Toc196749069 \h 3 2.2. Impact of Digitisation on Structure, Operations, and Strategy PAGEREF _Toc196749070 \h 6 2.3. Leadership and Management Theories and Challenges PAGEREF _Toc196749071 \h 7 3.0. Task 2 – Economics and Global Issues PAGEREF _Toc196749072 \h 8 3.1. Microeconomics and Macroeconomics Impacts PAGEREF _Toc196749073 \h 8 3.2. Global Issues and Organisational Handling PAGEREF _Toc196749074 \h 9 4.0. Conclusion PAGEREF _Toc196749075 \h 11 Reference List PAGEREF _Toc196749076 \h 13 Introduction This study critically examines the contemporary business landscape through Amazon and Tesla as two significant international firms. Their organisational structures, stakeholder relations, digitization's impact on their operations and plans, and several significant leadership and management philosophies will be examined. E-commerce, cloud computing, and digital streaming pioneer Amazon was founded in 1994. Tesla, founded in 2003, pioneers electric automobiles and sustainable energy solutions. Technology has transformed both companies' industries, and they operate internationally, mostly in North America, Europe, and Asia (Perri, 2020). Further examination will examine micro and macroeconomic aspects affecting their organisational behaviour and how these two organisations are addressing global ethical decision making and cultural diversity. 2.0. Task 1: Organisational Structures, Digitisation, and Leadership Challenges 2.1. Types of Organisations, Structures, and Stakeholders Amazon is a PLC that trades on NASDAQ and operates globally in e-commerce, cloud computing, digital streaming, and artificial intelligence. The corporation has divisions including Amazon Web Services (AWS), Prime Video, and Retail. Amazon can successfully run its huge operations and give each business unit specialised leadership thanks to its segmented structure (Monjur et al., 2023). Amazon supports its consumers, shareholders, employees, suppliers, and local inhabitants. Amazon's customers drive innovation and better service delivery, and shareholders' investment expectations shape business strategy. Employees are crucial to the company's success, yet their treatment has caused controversy (Tan, 2021). Amazon confronts criticism for its local economic and environmental impacts, so suppliers must support its vast selection of items and community stakeholders. Figure 1: HYPERLINK "https://www.google.com/url?sa=i&url=https%3A%2F%2Fwww.huffpost.com%2Fentry%2Famazons-most-important-st_b_8051946&psig=AOvVaw0lIVdJBH6EY9E8hWYIwO45&ust=1745932107920000&source=images&cd=vfe&opi=89978449&ved=0CBgQjhxqFwoTCNCfhIzm-owDFQAAAAAdAAAAABAJ" \t "_blank" Amazon's Most Important Stakeholders | HuffPost Impact Tesla, another NASDAQ-listed firm, works on automotive and clean energy. Engineering, sales, and production support Tesla's operations, but divisional traits are visible as the firm expands abroad. Tesla has customers, investors, government agencies, employees, and environmental groups as stakeholders (Vivi and Hermans, 2022). Customers and investors influence innovation and financial performance with high expectations. Government incentives, sustainable energy, and electric car compliance regulations affect Tesla. Figure 2: HYPERLINK "https://www.google.com/url?sa=i&url=https%3A%2F%2Fwww.organimi.com%2Forganizational-structures%2Ftesla%2F&psig=AOvVaw0RcybOVMjikJaI1OXejBuv&ust=1745931996782000&source=images&cd=vfe&opi=89978449&ved=0CBgQjhxqFwoTCLC96Nbl-owDFQAAAAAdAAAAABAE" \t "_blank" Tesla's Organizational Structure [Interactive Chart] | Organimi Tesla's innovation-driven culture depends on employees, while environmental groups affect its public image and sustainability efforts (Khan, 2021). A simple power/interest grid shows how both companies prioritise high-power, high-interest stakeholders like investors and customers, while community and environmental groups, despite their lower power, are increasingly influential due to social and regulatory pressures. Stakeholder Power/Interest Grid Power / Interest High Interest / High Power High Interest / Low Power Low Interest / High Power Low Interest / Low Power Amazon Stakeholders Customers, Shareholders Employees, Suppliers, Communities Regulators, Government Authorities General Public, Media Tesla Stakeholders Customers, Investors Environmental Groups, Employees Government (regulators, policy makers) Media, Small Suppliers 2.2. Impact of Digitisation on Structure, Operations, and Strategy Amazon's foundation of business operations connects online business with AWS services and Alexa development with additional analytics products under one framework. Technology enables Amazon to create multiple delivery systems as well as automated warehouse infrastructure while developing unique options for their customer base (Bagnoli et al., 2022). Amazon achieves correct customer buying predictions via their predictive analytics networks to both maximize inventory control and quicken shipping times. Amazon demonstrates its dedication to shopper innovation by presenting IoT and AI technology in its Amazon Go concept to eliminate checkout procedures for shoppers (Wolniak, Stecuła and Aydın, 2024). Amazon operates two primary business activities on its website, which integrates seller-buyer connections with external firm-oriented AWS platform services. The digital business approaches of Amazon have established its dominance as the leading worldwide electronic company through rapid market expansion combined with continuous innovation. Tesla implemented digital innovations to revitalize every aspect of the automobile sector. The company runs Gigafactories through robotic implementation with AI-managed manufacturing operations that enable digitalization of their expanded production capabilities (Cabigiosu, 2022). Tesla maintains complete customer satisfaction by offering its clients software updates which progressively enhance vehicle performance after they buy the vehicle. Tesla vehicle self-driving systems leverage IoT and AI technology to gather information, which they use for enhancing their autonomous performance (Wiegand and Imschloss, 2021). When it comes to Tesla, the real difference is between its showroom and an empty dealership. It can encourage customer contact and completely change all that process standardization for the benefit of more efficient service to those customers. Digital transformation has also done wonders for scaled flexibility, given how flexibly one can conduct operations through digital integration. 2.3. Leadership and Management Theories and Challenges The transformatory leaders of Amazon and Tesla inspire their organizations to create a new innovative process. These organizations are Jeff Bezos at Amazon and Elon Musk at Tesla as transformational leaders who have such goals to be pursued as becoming "Earth's most customer-centric company" for Bezos while Musk works for speeding up the adoption of energization worldwide (Tan, 2024). Such companies foster innovation and risk-taking, all while continuing for the long-term strategic vision since being able to lead them. For example, Amazon used to be an e-commerce company, but now it has diversified into other areas, such as cloud services, while Tesla prides itself on its automotive innovations, which it has made under a different leadership (Wulandari, 2024). Under transformation, there grew rapid and market changes for the organizations, with all those changes still demanding and made necessary by the higher expectations of employees at work. Amazon utilizes live system tracking along with operational measurements and task assignment algorithms to drive maximum efficiency results for warehouse performance optimization (Jeong, Song and Lee, 2022). The Tesla Gigafactories combine robotics with workflow optimization strategies to produce high outputs while reducing overall manufacturing costs. Both these companies have thus been able to use scientific management to keep up very high operational standards while being criticized for rigid working conditions and a lack of autonomy for employees and treating them in an engineer-like manner (Wu, 2025). The two companies endeavour to put operational efficiency alongside appropriate human resource practices. These operational methods create substantial problems for leaders and managers in charge of governance. Operation efficiency at Amazon has provoked strong criticism from the workplace as it has received high standards along with little or no worker support in retail facilities. The operational and employer-related challenges affecting Amazon have emerged from this continuing tension (Wu, 2025). Tesla's frequent workplace disruptions stemming from Musk's intense leadership methods have led to personnel losses and employee complains about disorganization. Operational disturbances at Tesla pose concerns about long-term profitability because they contradict Musk's visionary approach to innovation (Anderson, 2024). The two organizations present examples of how they unify innovative leadership principles with scientific management practices in order to support continuous innovation alongside fulfilled workforce members. 3.0. Task 2 – Economics and Global Issues 3.1. Microeconomics and Macroeconomics Impacts The supply and demand patterns in microeconomic markets influence the operational strategies of Amazon and Tesla. The Prime membership service from Amazon creates loyal customers by offering fast...