CVF Analysis: Amazon, Inc.

3010 Words7 Pages

Stakeholders Stakeholders and stockholders are a group of individuals that can affect the company and also are affected by the company. In order to be a successful company needs to maintain their investor’s confidence. Stockholders are also able to develop value for the customer because they invest on ideas that will produce success for the company. Stakeholders are all the individuals that have an interest in the company such as employees, customers, and the surrounding community. Amazon.com is publicly traded company, meaning its stock is accessible to the public (Amazon Inc., 2013). A company that is public deals with the uncertainty of the market but must try and sustain loyalty. If stockholders are not able to trust in the company they feel their stock is jeopardized. When the corporation is able to focus on keeping the stockholders happy then their price per stock in turn soars. The investors will have to pay more money per stock, increasing the revenue of the company. Currently, Amazon stocks on average can be purchased at $350 a piece, a relatively high value (Amazon Inc., 2013). Amazon additionally offers a reduced rate of stock to their employees (Amazon Inc., 2013). This provides an incentive to stay employed in the company. The employees are inspired to work harder because they are aware that if the company becomes more valuable so will their stocks. Amazon recognizes that employees have a value through this stock benefit. The most important factor for any stockholder is for their share to keep rising. When Amazon creates a product or a new market-line they need to consider the impact it might have on their stock. For example, when the Kindle was launched the stock soared with the response received by the consum... ... middle of paper ... ...ca Raton, FL: CRC Press. Amazon Inc. (2013). Benefits, Employee Stock, and Relocation Assistance. Retrieved from: http://www.amazon.com/Benefits-Careers-Homepage/b? ie=UTF8&node=239369011 Lockwood, L. (2010). Amazon's goal: Simplify shopping. WWD, 199(136), 8-n/a. Retrieved from http://search.proquest.com.ezproxylocal.library.nova.edu/docview/613381702?accountid=6579 Treanor, T. (2010). Amazon: Love them? hate them? let's follow the money. Publishing Research Quarterly, 26(2), 119-128. doi:http://dx.doi.org/10.1007/s12109-010-9162-7 Millward, B. (2011). Value-D, Balancing Desire and Price for Brand Success. From Tecca, G. (2012). Are Amazon Prime perks worth cost? From

Show More
Related

  • Amazon Business Advantage

    723 Words  | 2 Pages

    History”, n.d.). But the unbelievable pace at which Amazon added new products and new customers proved to be a formidable barrier for any competitors. Within the first 10 years Amazon accomplished an unbelievable feat; it had 49 million customers and 6.9 billion dollars in revenue, and it had done so by selling some products at a loss to build market share (Rivlin, 2005). At times it was difficult leveraging so much capital to grow market share, but Jeff Bezos’ focus on the customer and long term growth of the company proved to be the real reason Amazon didn’t fall prey to the .com bust like so many other internet

    Read More

  • Case Analysis Of Amazon

    1837 Words  | 4 Pages

    Amazon.com’s US operation business model is based on “sell all, carry few”. Amazon offers consumers a wide selection of products while keeping inventories at low levels. A major interest for Amazon in the US is optimization of netwo...

    Read More

  • Amazon.com: The E-commerce Revolution

    1054 Words  | 3 Pages

    Taking the e-commerce market by storm, Amazon.com was founded in 1994 (Amazon.com). Bringing the company to life was Princeton engineering graduate Jeff Bezos. He first thought of the idea to create Amazon.com when he was simply searcing the internet. He first worked as an investment banker D.E. Shaw & Co. where he was looking for investment opportunities for the company. surprisingly, he found that the internet was growing over 2,000 percent per month (“Jeff Bezos the King of E-Commerce”). He saw this as a massive opportunity and decided to start Amazon.com to first sell books. Amazingly, Amazon.com now has over 232 million products for sale for United States residents including electronics, clothing, and their own movie streaming

    Read More

  • Amazon Marketing Case Study

    927 Words  | 2 Pages

    Amazon has created a massive product base, and offers nearly everything, from mobile phones and tablets, attires for women, men, and also children, gaming consoles, accessories, DVDs, equipment, and Kindle (Venkatraman and Henderson 1998). From the case study, it also mentions about Kindle, which is an e-book reader introduced by Amazon and is the cause of the revolution of switching from hardcopies or papers to digital e-books in the publishing industry. As a result of this successful product, the company later introduced their own tablet, Kindle fire. Amazon persists to develop its product base, where in 2014 it took part in the smartphone industry, announcing its own Fire Phone that was released earlier than Amazon Fire TV which is a set top box system where people can watch numerous channels streaming and it also supports speech instructions when looking for specific channel or videos (Smith and Reinertsen

    Read More

  • Amazon Business Analysis

    1042 Words  | 3 Pages

    This strategy can benefit the company and its employees by direct and strict policies, in which it will relay to the employees to work harder and keep improving. In addition, this hard work and constant progress can result to the employees deeply appreciating their work and become more confident about themselves. If both the employee and managers are pleased about the performance and outcome, then the customers too will appreciate the service and product they receive. Also, a customer who becomes satisfied with their service will most likely become a loyal customer. In turn, the company will gain growth in profits and recognition from other customers. A successful business model or strategy like Amazon’s should be adapted by other companies to ensure the success and development in both the company and its employees. Just like what David Rockefeller said, “Success in business requires training and discipline and hard work. But if you’re not frightened by these things, the opportunities are just as great today as they ever

    Read More

  • Walmart And Amazon Case Study

    721 Words  | 2 Pages

    Another part of Amazon’s retail strategy is to serve as the channel for other retailers to sell their products and take a percentage of cut of every purchase. Amazon does not have to maintain inventory on slower-selling products. This strategy has made Amazon a ‘long tail’ leading retailer, expanding its available selection without a corresponding increase in overhead costs.

    Read More

  • Amazon Move Into Health Care Summary

    937 Words  | 2 Pages

    While Amazon works together with companies like Berkshire Hathaway and JP Morgan, it may ultimately change the game by making health insurance become more affordable and attainable. As for opportunity costs, Amazon’s opportunity cost would be not going into the healthcare industry. They may have influential ideas that will inevitably be a game changer for everyone in the United States. This even goes as far as the benefits that they are looking into for the older generation, like their partnership with AARP. People who are retired or are on a single fixed income will need guidance and assistance with their healthcare choices; there are not very many. This very well will change the outlook on the healthcare industry and what is to come.

    Read More

  • Amazon.Com's Inventory Management

    1830 Words  | 4 Pages

    Launched by Jeff Bezos, the Amazon.com website started in 1995 and is today considered as one of the most prominent retail website on the internet with a record turnover of US$ 14.87 billion in 2007. Jeff Bezos’s intention was to create an internet based company with the most dedicated product portfolio on the internet where customers could find anything they might want. Amazon’s success is based on technology, services and products (Jens et al., 2003).

    Read More

  • Amazon Business Strategy: Amazon's Competitive Advantage

    1115 Words  | 3 Pages

    Amazon has been able to maintain sustainable competitive advantage based on three operational strategies. These are low cost-leadership, customer differentiation and focus strategies. Low cost-leadership is pursued by Amazon by differentiating itself primarily on the basis of price. By offering low prices to customers Amazon ensures its future success. Partially modifying the costs of lowering prices over time through achieving higher sales volumes, negotiating better terms with suppliers, and achieving better operating efficiencies. Amazon makes sure that it offers the same quality products as other companies at a considerably cheaper price. Another strategy that Amazon has is its fast delivery service and there are many delivery services that one can choose from. With Amazon Prime, there are certain, but many products that have free two-day shipping. Also, with Amazon Prime, there are many offers specifically for people that have Amazon Prime. For example,

    Read More

  • Amazon.Com Case

    963 Words  | 2 Pages

    When Amazon.com first began in 1995, as strictly a book retailer, Bezos knew he had discovered an excellent company. After all, a physical bookstore cannot stock anywhere close to the number of books Amazon can offer online. Within a year, the company had a customer base of approximately 340,000 consumers and daily site visits were huge as well. But Bezos wanted to expand the company to offer music and DVDs, because he realized there was little or no barrier of entry. In the next years Amazon would emerge as a marketplace, expanding the company globally offering products from toys to kitchenware. Because of the relatively cheap prices Amazon was offering and also the growing number of online shoppers, the company was doing tremendous amounts of sales and creating profits.

    Read More

  • Amazon Creates Value for Customers

    1964 Words  | 4 Pages

    Amazon.com creates value for its customers by offering customers broad array of products to select from through their website and ensuring timely delivery of products to exhibit high level of commitment towards their business and customers

    Read More

  • Amazon.com and Management Information System

    1247 Words  | 3 Pages

    Amazon’s also tried to spearhead the industry by introducing the customer-pleasing traits in terms of the technology, order fulfillment and retailing strategies categori...

    Read More

  • History and Success of Amazon Inc.

    766 Words  | 2 Pages

    Amazon has recorded a magnificent success in its business throughout the years that it has been in operation. It has attracted almost all people to use it when necessary. Amazon has built its success in business methodically and slowly. Amazon has made much success because of its ability to read market trends and diversify its operations. It started as an online book selling company. However, it changed its operations and started selling other products. Currently, many large retail shops use Amazon to host and power their websites, for instance, sears and virgin megastores. Amazon now attracts over fifty million visitors in a period of one month. Amazon has tried to make their services fit each individual user. It has based its services on the end user. It has shipping discounts, customer product reviews and a credit card with bonuses. It also has prime membership, product forums and 1-click ordering system among other services. The company has tried to make a remarkable experience for customers and visitors (Thomas, 2006).

    Read More

  • Explain and Show How the Environmental Factors Influence Marketing Decisions of Amazon.com Inc.

    1375 Words  | 3 Pages

    Technological factors. This is very important factor for Amazon therefore the success of the business depends on that. Amazon has to face a lot of technological challenges and to find a way to be ahead of the competitors.

    Read More

  • Amazon - A Company Analysis

    1447 Words  | 3 Pages

    Firstly, Amazon.com employed the cost leadership strategy by offering products and services at lower costs than competitors. The key to making this strategy successful were the economies of scale that allowed the company to offer the largest range of products to its customers.

    Read More

More about CVF Analysis: Amazon, Inc.

Open Document