IDEAS home Printed from https://ideas.repec.org/a/gam/jjrfmx/v15y2022i9p414-d918907.html
   My bibliography  Save this article

Direct and Indirect Implications of the COVID-19 Pandemic on Amazon’s Financial Situation

Author

Listed:
  • Zixuan Qin

    (Adam Smith Business School, University of Glasgow, Glasgow G12 8QQ, UK)

  • Abeer Hassan

    (School of Business and Creative Industries, University of the West of Scotland, Paisley PA1 2BE, UK)

  • Mahalaxmi Adhikariparajuli

    (School of Business, Law and Social Sciences, Abertay University, Dundee DD1 1HG, UK)

Abstract

We provide theoretical and empirical insights into the impact of COVID-19 on Amazon’s financial position. A longitudinal case study of Amazon’s financial situation during the 2016–2020 period, and time-series analysis, ratio analysis, and DuPont analysis, are employed as a quantitative methodology to explore Amazon’s financial situation changes before and after the COVID-19 pandemic. As for the robustness of the in-depth analysis, we compare Amazon’s financial performance and position with Walmart. The result shows that the COVID-19 pandemic did not have a huge negative impact on the companies’ financial performance because of its promotion of their development. However, this study provides an in-depth analysis of the influence of COVID-19 on Amazon’s financial situation, which financial aspects are most affected by COVID-19, which are not, and the company’s response to COVID-19. Therefore, this study sheds light on the accounting literature to demonstrate the impact of COVID-19 on Internet companies’ financial performance and provides some reference values for subsequent academic research.

Suggested Citation

  • Zixuan Qin & Abeer Hassan & Mahalaxmi Adhikariparajuli, 2022. "Direct and Indirect Implications of the COVID-19 Pandemic on Amazon’s Financial Situation," JRFM, MDPI, vol. 15(9), pages 1-25, September.
    • Handle: RePEc:gam:jjrfmx:v:15:y:2022:i:9:p:414-:d:918907
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/1911-8074/15/9/414/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/1911-8074/15/9/414/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Kotha, Suresh, 1998. "Competing on the Internet:: The case of Amazon.com," European Management Journal, Elsevier, vol. 16(2), pages 212-222, April.
    2. Rahul Kapoor & Shiva Agarwal, 2017. "Sustaining Superior Performance in Business Ecosystems: Evidence from Application Software Developers in the iOS and Android Smartphone Ecosystems," Organization Science, INFORMS, vol. 28(3), pages 531-551, June.
    3. Peter D. Easton & Steven J. Monahan, 2016. "Review of Recent Research on Improving Earnings Forecasts and Evaluating Accounting-based Estimates of the Expected Rate of Return on Equity Capital," Abacus, Accounting Foundation, University of Sydney, vol. 52(1), pages 35-58, March.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Baldwin, Carliss Y. & Bogers, Marcel L.A.M. & Kapoor, Rahul & West, Joel, 2024. "Focusing the ecosystem lens on innovation studies," Research Policy, Elsevier, vol. 53(3).
    2. Stewart Jones & Nurul Alam, 2019. "A machine learning analysis of citation impact among selected Pacific Basin journals," Accounting and Finance, Accounting and Finance Association of Australia and New Zealand, vol. 59(4), pages 2509-2552, December.
    3. Gomes, Leonardo Augusto de Vasconcelos & Flechas, Ximena Alejandra & Facin, Ana Lucia Figueiredo & Borini, Felipe Mendes, 2021. "Ecosystem management: Past achievements and future promises," Technological Forecasting and Social Change, Elsevier, vol. 171(C).
    4. Lena Abou El-Komboz & Anna Kerkhof & Johannes Loh, 2023. "Platform Partnership Programs and Content Supply: Evidence from the YouTube “Adpocalypse”," CESifo Working Paper Series 10363, CESifo.
    5. Na Wang & Shuangying Chen & Lei Xiao & Feng Fu, 2021. "The Sustainability of Superior Performance of Platform Complementor: Evidence from the Effects of Iterative Innovation and Visibility of App in iOS Platform in China," Sustainability, MDPI, vol. 13(7), pages 1-16, April.
    6. Andrew D. Henderson & Melissa E. Graebner, 2020. "Entering a Golden Age of Sustained Superiority: Entrepreneurial Creation or Discovery?," Organization Science, INFORMS, vol. 31(6), pages 1432-1451, November.
    7. Shaheer, Noman & Chen, Liang & Yi, Jingtao & Li, Sali & Su, Huiwen, 2024. "Network effects, word of mouth, and entry performance: A study of digital freemium products," Journal of World Business, Elsevier, vol. 59(6).
    8. Liu, Jiali & Zhou, Haibo & Chen, Feng & Yu, Jiang, 2022. "The coevolution of innovation ecosystems and the strategic growth paths of knowledge-intensive enterprises: The case of China’s integrated circuit design industry," Journal of Business Research, Elsevier, vol. 144(C), pages 428-439.
    9. Fan, Terence & Schwab, Andreas & Geng, Xuesong, 2021. "Habitual entrepreneurship in digital platform ecosystems: A time-contingent model of learning from prior software project experiences," Journal of Business Venturing, Elsevier, vol. 36(5).
    10. Fellnhofer, Katharina, 2022. "Entrepreneurial alertness toward responsible research and innovation: Digital technology makes the psychological heart of entrepreneurship pound," Technovation, Elsevier, vol. 118(C).
    11. Klein, Amarolinda & Sørensen, Carsten & Freitas, Angilberto Sabino de & Pedron, Cristiane Drebes & Elaluf-Calderwood, Silvia, 2020. "Understanding controversies in digital platform innovation processes: The Google Glass case," Technological Forecasting and Social Change, Elsevier, vol. 152(C).
    12. Siobhan O'Mahony & Rebecca Karp, 2022. "From proprietary to collective governance: How do platform participation strategies evolve?," Strategic Management Journal, Wiley Blackwell, vol. 43(3), pages 530-562, March.
    13. Jingtao Yi & Jinqiu He & Lihong Yang, 2019. "Platform heterogeneity, platform governance and complementors’ product performance: an empirical study of the mobile application industry," Frontiers of Business Research in China, Springer, vol. 13(1), pages 1-20, December.
    14. Reiter, Andreas & Stonig, Joachim & Frankenberger, Karolin, 2024. "Managing multi-tiered innovation ecosystems," Research Policy, Elsevier, vol. 53(1).
    15. Andreas Hein & Maximilian Schreieck & Tobias Riasanow & David Soto Setzke & Manuel Wiesche & Markus Böhm & Helmut Krcmar, 2020. "Digital platform ecosystems," Electronic Markets, Springer;IIM University of St. Gallen, vol. 30(1), pages 87-98, March.
    16. , Aisdl, 2020. "The Serendipity Mindset," OSF Preprints w52y9, Center for Open Science.
    17. Fangcheng Tang & Zeqiang Qian, 2020. "Leveraging interdependencies among platform and complementors in innovation ecosystem," PLOS ONE, Public Library of Science, vol. 15(10), pages 1-20, October.
    18. Hakan Ozalp & Carmelo Cennamo & Annabelle Gawer, 2018. "Disruption in Platform‐Based Ecosystems," Journal of Management Studies, Wiley Blackwell, vol. 55(7), pages 1203-1241, November.
    19. Saeed Khanagha & Shahzad (Shaz) Ansari & Sotirios Paroutis & Luciano Oviedo, 2022. "Mutualism and the dynamics of new platform creation: A study of Cisco and fog computing," Strategic Management Journal, Wiley Blackwell, vol. 43(3), pages 476-506, March.
    20. Martin Engert & Julia Evers & Andreas Hein & Helmut Krcmar, 2022. "The Engagement of Complementors and the Role of Platform Boundary Resources in e-Commerce Platform Ecosystems," Information Systems Frontiers, Springer, vol. 24(6), pages 2007-2025, December.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jjrfmx:v:15:y:2022:i:9:p:414-:d:918907. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.