Strategy question
Amazon is interested in entering the Home Improvement services market, What MVP would you launch?
- Amazon
- Strategy
- Hard
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What this question tests
Market entry strategy requiring a disciplined, narrow MVP definition rather than an unfocused full platform pitch.
How to approach it
- Clarify the target customer: homeowners needing service booking versus contractors needing lead generation.
- Assess the market: home services is large but fragmented, with trust and reliable scheduling as the main pain points.
- Identify Amazon's advantage: existing customer trust, payments infrastructure, and reach through Amazon Home or Alexa.
- Propose a narrow MVP: a curated booking marketplace for one high frequency service category, such as home cleaning or handyman work.
- Address trust: a vetting and review system leveraging Amazon's existing reputation infrastructure.
- Define success with completed bookings per market and repeat booking rate.
What a strong answer includes
- Narrows the MVP to one high frequency category rather than launching a full, unfocused home services platform at once.
- Grounds the strategy in Amazon's real advantage, existing customer trust and payments infrastructure, not a generic marketplace pitch.
- Names the category's real pain point, trust and reliability, and addresses it directly with a vetting system.
- Sets a specific metric, repeat booking rate, since repeat usage is the real signal of trust being established.
Common mistakes
- Proposes launching a broad multi category platform immediately with no MVP discipline.
- Ignores the trust problem, which is the central barrier in the home services category.
Likely follow-up questions
- Which service category would you pick first, and why that one?
- How would you handle liability if a contractor damages a customer's home?
- How would you compete against established players like Angi or Thumbtack?
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Learn the skill behind it
Chapters of the AI PM course that teach what this question tests.
- Chapter 4: Discovery and strategy for AI products
- Chapter 9: Prove it paid off: outcomes, economics, and pricing
- Chapter 14: Get the job: the AI PM interview loop