By
Bena Ilyas
May 10th, 2024
Amazon’s performance in today’s pre-market further solidifies its bid to surmount other companies as the world’s most valuable brand.
Amazon.com Inc (NASDAQ: AMZN) is yet on its way to making history as the company looks to become the world’s most valuable company. The eCommerce company’s shares gained 1.79% in the pre-market adding over $57 to trade at $3,257.21. On Friday, Citi analyst Jason Bazinet raised his price target for Amazon stock to $3,550, the highest on Wall Street. If his predictions come through, Amazon (AMZN) stock would be worth almost $1.8 trillion, more than Microsoft Corporation (NASDAQ: MSFT), Apple Inc (NASDAQ: AAPL), Google‘s parent Alphabet (NASDAQ: GOOG) (NASDAQ: GOOGL) and Saudi Arabian Oil – also known as Aramco (TADAWUL: 2222).
Amazon’s Framework for Growth
Amazon has worked its way up to become the most valuable retailer in the United States by market capitalization in 2017. The vision to become the world’s most valuable company comes with different innovative strategies. Amazon.com Inc (AMZN) employs an effective multi-level e-commerce strategy. The focus was made on business-to-consumer relationships between the company and its customers and business-to-business relationships between the company and its suppliers and then moved to facilitate customer-to-customer with the Amazon marketplace which acts as an intermediary to facilitate transactions.
The eCommerce company lets anyone sell nearly anything using its platform. In addition to an affiliate program that lets anyone post Amazon links and earn a commission on click-through sales, there is now a program that lets those affiliates build entire websites based on Amazon’s platform.
With a vast network of business outfits across the seven continents, Amazon (AMZN) invests a huge amount of money to strengthen its website and servers to promote market digitization. This investment remains one of the major reasons why it stood out as a retailer of choice to date.
Amazon Is to Become the Most Valuable Company
Amazon is arguably one of the most valuable brands in the world and is rated as a big four tech company in the United States including Apple, Alphabet, and Microsoft Corporation. Since its inception in 1994 by Jeff Bezos, the company has experienced a massive growth both in its supply and networth.
As early as March 12 while the coronavirus was ravaging, Amazon was valued at $834 billion. The company witnessed a meteoric rise in its capitalization with the addition of $450 billion dollars culminating in an impressive 60% rise. The current market cap is $1.6 trillion. The huge leap can be attributed to the crucial services the company made available during the lockdown and has sparked analysts to believe that Amazon (AMZN) may be the first publicly owned company to attain a $2 trillion market capitalization.