The Project is based in Bhutan and conducts a strategic analysis of Medhey E-commerce, utilising internal and external scanning frameworks such as Porter’s Five Forces and VRIO, with the primary goal of identifying the core strategic problem and proposing recommendations. The analysis resulted in Medhey having current strategic challenges that were their dependence on the third-party logistics as their main issue and a limited return window as their secondary issue. To resolve this issue, the proposed implementation plan is the Mini Hub Vertical Integration strategy, which includes setting up small hubs in various regions to handle delivery, helping Medhey reduce costs, improve return efficiency, and build a strong competitive edge in the e-commerce market in Bhutan.