Amazon Case Analysis
analytical Essay
4446 words
Amazon.com Case Analysis
Internal & External Matrix, Matrix Analysis and TOWS Summary, and Quantitative Strategic Planning Matrix
Executive Summary
This case analysis serves the purpose to provide an analytical framework to evaluate Amazon.com from an internal and external perspective, and to provide strategic direction based upon the internal and external evaluation. The case will begin with an introduction to Amazon.com.
Introduction/Background
Jeffrey Bezos, formerly a senior vice president for D. E. Shaw & Company, founded Amazon.com in 1994. D. E. Shaw is a Wall Street-based investment bank, and Mr. Bezos was assigned to find good Internet companies in which to invest. During the summer of 1994, he stumbled across a Web site that showed the number of Internet users was growing by 2,300 percent per month. He quickly realized the vast potential of the Internet, and began putting together a list of possible products that he could sell on the World Wide Web. He eventually narrowed his list to music products and books. Although music products and books both had enormous potential, he eventually selected books because he believed that he could compete more evenly in the book segment due to the lack of a very dominant player. "In contrast, the music industry had only six major record companies. These companies controlled the distribution of records and CDs and, therefore, had the potential to lock out a new business threatening the traditional record-store format" (Kotha, p.11).
To begin his new venture, Mr. Bezos left New York and moved to Seattle. He decided to move to Seattle for two reasons: 1) Ingram Book Group's warehouse is located near Seattle; and 2) Because of the Seattle area's reputation for computer expertise. In 1995, Amazon began selling books entirely online, operating out of a rented facility and using doors laid across sawhorses for desks. He soon was able to generate several million dollars from venture capitalists, and sales were astounding. Sales for 1995, 1996, 1997, 1998 and 1999 were $0.5, $16, $147, $610 and $1,640 million respectively.
Amazon's customer base has increased dramatically from 180,000 in 100 countries in 1996 to 12 million in 160 countries by mid-1999. In 1998, Amazon began to expand into other product categories. The Company began to sell music products and videos, and within two months o...
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...fries & Company, Inc. April 12, 2001; pages 1-16.
"Market Guide - Comparisons for amazon.com, Inc. (AMZN)." http://yahoo.marketguide.com/mgi/ratio/A13EF.html ; pages 1-5. Author unknown.
Lund, Brian. "eBay vs. Amazon" The Motley Fool. April 3, 2001. http://www.fool.com/portfolios/rulebreaker/2001/rulebreaker010403.htm ; pages 1-4.
Becker, Holly, Gross, Michael and Leichter, Stephanie. "Amazon.com Inc.: Amazon's International Challenges." Lehman Brothers Global Equity Research. May 3, 2001; pages 1-16.
The Economist (1997a). "A Survey of Electronic Commerce." May 10; pages 1-18. Author unknown. Taken from above Kotha essay.
The Wall Street Journal (1996). "Reading the Market: How a Wall-Street Whiz Found a Niche Selling Books on the Internet." May 16; page 1. Author unknown. Taken from above Kotha essay.
Eads, Stefani. "Why Amazon's Board is Part of the Problem." BusinessWeek online. http://www.businessweek.com/bwdaily/dnflash/apr2001/nf2001044_127.htm ; April 4, 2001, pages 1-5.
Junnarkar, Sandeep. "Shares of Amazon Hit on "Underperform" Rating." c|net News.com. http://news.cnet.com/news/0-1007-200-2478430.html ; August 9, 2000, pages 1-3.
In this essay, the author
- Explains that the case analysis provides an analytical framework to evaluate amazon.com from an internal and external perspective.
- Explains that a mission statement should address nine essential components: customers, products or services, markets, technology, concern for survival, growth, and profitability, philosophy, self-concept, public image and employees.
- Analyzes how amazon's mission statement addresses the nine essential components of a good mission.
- Explains that the case analysis provides an analytical framework to evaluate amazon.com from an internal and external perspective.
- Explains that a mission statement should address nine essential components: customers, products or services, markets, technology, concern for survival, growth, and profitability, philosophy, self-concept, public image and employees.
- Analyzes how amazon's mission statement addresses the nine essential components of a good mission.
- Explains that the first step in external evaluation is to perform an external factor evaluation (efe) matrix, which describes the external opportunities and threats facing amazon.
- Explains that amazon is responding to existing opportunities and threats in its industry better than the average competitor, as indicated by a efe matrix score of 3.10.
- Explains that amazon's cpm score of 2.55 indicates that it performs slightly worse than its competitor group. market share, consumer loyalty, and financial position are the most important success factors.
- Explains that amazon benefits from centralized costs that can be leveraged across multiple markets. however, the strategy of international expansion does have some weaknesses.
- Describes how jeffrey bezos, formerly a senior vice president for d. e. shaw & company, founded amazon.com in 1994.
- Argues that the growing number of bankruptcies among pure-play e-commerce companies should enhance the competitive position of companies, such as amazon, longer term.
- Explains that amazon's sales growth is exceptional and its turnover ratios are excellent compared to its competitor group, but its net profit margin is atrocious.
- Argues that the ife score of 2.60 demonstrates that amazon has a strong internal position.
- Evaluates amazon's hybrid strategy of product development and joint venture. amazon has entered into two deals with toys "r" us and borders group.
- Cites kotha, suresh, bartlett, phillip, and david, fred. "amazon.com, inc.-2000." business case from strategic management concepts and cases.
- Quotes reamer, scott, smith, allyson, patel, jeetil j., and mccluskey, neil. "amazon.com: our delicate bullishness rests on platform monetization."
- Cites lund, brian, gross, michael, leichter, stephanie, and eads, stefani. "why amazon's board is part of the problem."
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- Analyzes the three biggest changes of amazon's strategy and operations since its creation in 1995.
- States that they are aware of university policy on academic conduct and declare that this assignment is their own work and that appropriate acknowledgement has been made for any sources of information used in preparing it.
- Explains that amazon has adopted improvements throughout its processes since its creation in 1995. this report provides a diagnosis of each step and analyses the decision makings by amazon based on three specific topics.
- Analyzes the three biggest changes of amazon's strategy and operations since its creation in 1995.
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In this essay, the author
- Describes amazon.com as the largest online retailer in the world, founded in 1994 by jeff bezos and made its online debut in 1995.
- Explains that amazon.com is reliable, convenient, offers one of the lowest and fastest shipping, the minimum price, and many free added features with its services and an ample selection of goods.
- Explains that amazon.com is a low-cost provider because of its low cost operations and progressively valuable network of fulfillment centers. amazon has more than 2 million seller accounts that make up approximately 40% of the total unit sales.
- Describes amazon.com as the largest online retailer in the world, founded in 1994 by jeff bezos and made its online debut in 1995.
- Explains that amazon.com is reliable, convenient, offers one of the lowest and fastest shipping, the minimum price, and many free added features with its services and an ample selection of goods.
- Explains that amazon.com is a low-cost provider because of its low cost operations and progressively valuable network of fulfillment centers. amazon has more than 2 million seller accounts that make up approximately 40% of the total unit sales.
- Explains that amazon's low profit margins have led to an aerial growth in top-line sales but rendered into low earnings.
- Opines that amazon.com lacks physical presence like retailers like wal-mart and target. amazon has to bolster losses initially to bring that business to scale, before it can accomplish profitability.
- Explains that amazon.com's weakness is that it lacks a physical presence, but this can be an opportunity that the company can capitalize on as well.
- Explains that amazon could benefit by releasing more of its own brand products and services. amazon's branding efforts have been tried and tested with respect to the kindle and amazon’s prime video.
- Explains that amazon's competitors are trying to lower prices, while ebay and wal-mart offer instant gratification. barnes & noble offers physical browsing, coffee and natural socializing.
- Explains that newer corporations are like break-out stars in the retailer market as customers are always on the cusp of trying out new versions of e-commerce.
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952 wordsRead More - Amazons Fulfilmentexplanatory essayStreitfeld, D. (2013, October 22). Monstrous sales and roaring stock, but no profit amazon’s dilemma: Company’s stock at a record high, but no significant profit made. The Tech Online Edition, 133(47), 1. Retrieved from http://tech.mit.edu/V133/N47/wire1.html
In this essay, the author
- Explains amazon's "fulfilment by amazon" model, which allows asian and american sellers to send their products to amazons fulfillment centers in various locations throughout the u.s. and global markets.
- Explains the fba model, which helps the seller reach more customers. the order is filled by sales channels using inventory stored at fulfillment centers where inventory is strategically placed for easy and quick delivery.
- Explains that amazon's tracking information and customer service are two of the greatest perks for sellers.
- Explains amazon's "fulfilment by amazon" model, which allows asian and american sellers to send their products to amazons fulfillment centers in various locations throughout the u.s. and global markets.
- Explains the fba model, which helps the seller reach more customers. the order is filled by sales channels using inventory stored at fulfillment centers where inventory is strategically placed for easy and quick delivery.
- Explains that amazon's tracking information and customer service are two of the greatest perks for sellers.
- Explains that jeff bezos created amazon as a market place where people could buy consumer goods online. it worked on jit methods to expand its retail monopoly.
- Explains that amazon's corporate goal was to get big, to do it fast, and to establish a hold of new markets before any other competitor.
- Explains that amazon is caught in a precarious state because of its pioneer way of thinking, which puts it ahead of our current laws.
- Analyzes how amazon moved into the asian market even though it took 18 years to come into india. the launch into japan was probably the least successful for amazon.
- Explains that amazon's e-procurement strategy is impressively developed. amazon has an online fulfilment resource for all sellers, which guides them through their processes.
- Explains that customer service is an aspect of business that can make or break the reputation of many brands. bezos keeps a public email address so customers can reach him with complaints about amazon's service.
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- Explains how amazon makes refunds and exchanges as simple as possible to convince customers to stick with online shopping.
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2973 wordsRead More - The History Of Amazonargumentative essayJeffrey Bezos was born in Albuquerque, New Mexico on January 12, 1964. Jeffrey Preston Bezos had a vision as young as 4 years old working on a ranch in Cotulla, Texas. His grandfather was a retired rocket scientist who wanted a simple life for himself and Jeffrey (Brandt). He entered Princeton University planning to study physics, but soon returned to his love of computers, and graduated with a degree in computer science and electrical engineering (Academy of Achievement). In 1994, Bezos quit his job in New York and moved to Seattle with his wife to jumpstart Amazon while the Internet business was still evolving. During that time the Internet was created by the Defense Department to keep computer networks connected during any emergency. Books were the commodities for which no comprehensive mail order catalogue existed, because any such catalogue would be too big to mail -- perfect for the Internet, which could share a vast database with a virtually limitless number of people (Academy of Achievement). This was the inspiration that he needed to find a single location on the Internet where book buyers could place orders directly. The site was launched on July 16, 1995 just when everyone began getting on the Internet and before competitors started establishing precedence (Brandt). He had discounts of 10%...
In this essay, the author
- Explains that amazon is a tremendous help to students, parents, companies, businesses and any other entity that would require their services.
- Explains that jeffrey bezos was born in albuquerque, new mexico on january 12, 1964.
- Explains that jeff bezos is the ceo of amazon, and jeffrey blackburn, the senior vice president of business development.
- Explains that amazon is a tremendous help to students, parents, companies, businesses and any other entity that would require their services.
- Explains that jeffrey bezos was born in albuquerque, new mexico on january 12, 1964.
- Explains that jeff bezos is the ceo of amazon, and jeffrey blackburn, the senior vice president of business development.
- Explains that the ticker symbol for amazon is amzn. stockholders can check on the condition of the company through nasdaq.
- Analyzes how amazon's share prices went from $375.04 to 323.68, which was a decrease in share price at about $1.71 per day. amazon is in competition with many companies that consumers know very well.
- Explains that amazon is already the largest e-commerce site and is now incorporating corporations and businesses on a business-to-business site.
- Explains that the prime feature is a great feature for students, especially when books are in high demand when school starts.
- Explains the benefits of joining business with amazon and selling on the website.
- Concludes that amazon is a company that will continue to soar no matter the economic situation. jeffrey bezos paved the way for e-commerce and continues to maximize in his creativity and innovation.
1182 wordsRead More - Amazonanalytical essayLambeth, J. (2002, January 23). Amazon turns a page with first ever profit. Retrieved from The Telegraph: http://www.telegraph.co.uk/education/3293111/Amazon-turns-a-page-with-first-ever-profit.html Retrieved online: March 5, 2014.
In this essay, the author
- Analyzes how bezos's aggressive leadership positioned the company for future success based on several key factors.
- Explains that amazon experienced positive growth in net sales from 1997 to 2000, making this upward trend likely to continue into 2001.
- Explains that amazon's partnership with toys "r" us, inc. enabled amazon to use its retailing technology to build and host the online store alongside its state-of-the-art digital distribution and customer service centers.
- Analyzes how bezos's aggressive leadership positioned the company for future success based on several key factors.
- Explains that amazon experienced positive growth in net sales from 1997 to 2000, making this upward trend likely to continue into 2001.
- Explains that amazon's partnership with toys "r" us, inc. enabled amazon to use its retailing technology to build and host the online store alongside its state-of-the-art digital distribution and customer service centers.
- Explains that amazon's digital business structure was an it-based proprietary asset that provided the company with sustainable leverage to guarantee future growth.
- Explains how bezos calmed the pressures from wall street and shareholders and became cash flow positive. amazon proudly announced its first ever profit of $5.1m and a first-ever revenue that passed $1 billion from the fourth quarter to december 31, 2001.
- Explains that amazon employs a business platform comprised of brand, customers, technology, distribution capacity, and deep e-commerce expertise. bezos described this as the "tipping point" that would enable its growth and return to investors.
- Analyzes how the online retail market for amazon's existing products will experience substantial growth from 2000 to 2005. the increasing online revenues also leave room for strong competition.
- Analyzes how amazon's business structure was unique from its beginning, explaining why growth was slow, but had the potential for huge success.
- Explains that amazon has several opportunities and strengths it can call upon to create and sustain value over time. it was ranked by interband as the 48th most valuable brand worldwide.
- Cites applegate, austin, and soule (2009). corporate information strategy and management: text and cases. bloomburg businessweek.
- Cites lashinsky, a. (2012, november 16). amazon's jeff bezos: the ultimate disrupter.
802 wordsRead More - Case Analysis Of Amazonexplanatory essayAmazon was founded in 1995 by Jeff Bezos and became one of the first major companies to sell goods over the internet
In this essay, the author
- Explains that amazon was founded in 1995 by jeff bezos and became one of the first major companies to sell goods over the internet.
- Explains how amazon has become the largest online retailer in the world.
- Explains that amazon europe, amazon us, and amazon japan are independent organizations.
- Explains that amazon was founded in 1995 by jeff bezos and became one of the first major companies to sell goods over the internet.
- Explains how amazon has become the largest online retailer in the world.
- Explains that amazon europe, amazon us, and amazon japan are independent organizations.
- Explains amazon.com's major shipping categories are drop-ship, split, partnered, and postal-injection.
- Explains that the number of items in an individual order impacts amazon.com’s order fulfillment.
- Explains that the type of product impact order fulfillment and shipment. large and small items are never shipped together.
- Opines that amazon europe should use network configuration, shipping processes, out of stock items, and customer satisfaction to direct the decision-making about the edn.
- Opines that an updated distribution configuration is needed to support amazon europe's fast growth goal.
- Opines that an implementation decision should be based on optimizing demand patterns, inventory and transportation costs, and amazon europe’s operations.
- Explains how amazon's us operation business model is based on "sell all, carry few". to optimize shipments modes, amazon uses drop-shipping fulfillment and postal-injection shipping.
- Explains the advantages and disadvantages of consolidating to a single european dc.
1837 wordsRead More - Amazon Case Analysisanalytical essayIn addition, Amazon has also given the customer the opportunity to sell goods. The customers have a huge amount of power when researching and choosing products of the thousands of products at the tips of their fingers. Amazon has just about every department of a store you can imagine, from gardening and lawn accessories, to kitchen machinery, to shoes, and to the strongest departments in my opinion, which is the reading and electronics. The book was the very first product and vision behind Amazon as Bezos “narrowed the list to what he felt were the five most promising [products to be sold via Internet]: compact discs, computer hardware, computer software, videos, and books…”: then deciding to create the worldwide selection and platform to sell literature in print. Little did Bezos realize at the time, that his print literature idea would develop into the foundation of the electronic department. This transformed into varying products and services to be offered to the consumers: from actual devices to purchase, to the Amazon exclusive “Kindle” E-reader and accessories, developing growth into the “Kindle Fire” TV, and the exclusive purchase of “Audible”, which is now an Amazon company audio book
In this essay, the author
- Explains that amazon has made the consumer in control of what they want, when, and how.
- Explains that amazon.com's best-of-breed e-commerce platform allows businesses, retailors, and individual sellers to reach a greater number of consumers.
- Explains that amazon built itself on the principles and values that create a successful business leader, such as customer obsession, invent and simplify, hire and develop the best, think big, frugality, earn trust and deliver results.
- Explains that amazon has made the consumer in control of what they want, when, and how.
- Explains that amazon.com's best-of-breed e-commerce platform allows businesses, retailors, and individual sellers to reach a greater number of consumers.
- Explains that amazon built itself on the principles and values that create a successful business leader, such as customer obsession, invent and simplify, hire and develop the best, think big, frugality, earn trust and deliver results.
- Explains amazon's mission and history, financial and world sustainability, consumer and seller accessibility, and core principles and systems to uphold a successful e-commerce business.
- Analyzes how amazon incorporates leadership principles into the organizational culture through their employees, in distribution plants, shipping, fulfillment centers, and in technology support.
1344 wordsRead More - Analysis of Amazon.comexplanatory essayAmazon.com operates in the Online Retail Industry. The sector is one of the fastest growing globally and is outperforming the ordinary retail marketplace. It was created after 1995 and it was only the Internet that made it possible for such an industry not only to be established but to become one of the most flourishing sectors in the business environment. What is interesting is that Amazon.com, together with eBay is the pioneer in the field. Both companies were launched in 1995 and are still extremely successful. The creation of e-mail in 1996 had a huge impact on the development of online retail by introducing a fast and easy way to communicate with customers. For this two-year period Internet usage doubled annually, thus, allowing for the expansion of the industry. Google is launched a year later, in 1998, only to become the most used search engine in the world and an essential partner for the online retailers by helping them tailor their websites to customer’s personal preferences and by advertising. After that, more and more people see the opportunity in the growing industry and enter it. By 2001 there are more than 513 million Internet users globally, which calls for action in terms of creating regulations and laws to protect the users and personal property. In 2003, Apple launches iTunes, and provides a platform for low-cost digital downloads. Another major change is the appearance of social media from 2004, which is one of the biggest influencer on the state of the industry. With the launch of iPhone in 2007, this trend strengthens as people get to enjoy the Internet anywhere they want to. From then on, technological advancements have made it extremely easy and fun to shop online, making it ...
In this essay, the author
- Explains that amazon.com operates in the online retail industry, which is one of the fastest growing globally and outperforming the ordinary retail marketplace.
- Describes amazon as an american international electronic commerce company founded in 1994 and headquartered in seattle, washington. the company has grown and made its way to fortune 100 companies.
- Explains that amazon's primary source of revenues is sales of wide range of products and services. the company is mostly a reseller that offers the products of other companies to customers.
- Explains that amazon.com operates in the online retail industry, which is one of the fastest growing globally and outperforming the ordinary retail marketplace.
- Describes amazon as an american international electronic commerce company founded in 1994 and headquartered in seattle, washington. the company has grown and made its way to fortune 100 companies.
- Explains that amazon's primary source of revenues is sales of wide range of products and services. the company is mostly a reseller that offers the products of other companies to customers.
- Describes enright's article, "global e-commerce to reach $1.5 trillion in 2015." internetretailer.
- Explains heller, laura, and yahoo! finance's "the future of online shopping: 10 trends to watch."
- Describes kenney paul, alison, and the wall street journal's 2014 retail industry outlook.
- Explains that the sector's performance is forecast to decelerate, with an anticipated cagr of 14.6% for the five-year period 2012 - 2017, which is expected to drive it to $1,248.7bn by the end of 2017.
- Explains the importance of data mining and social media for online retailers.
- Explains how jeff bezos created a list of 20 products that could be marketed online. he decided to sell books online due to the world-wide demand for literature and low prices.
- Explains that amazon entered the e-book hardware industry in 2007 with the release of the original kindle reader.
- Explains that amazon is the leading online retailer in the world, with a net worth of $170 billion.
- Compares the growth of the online retail industry with that of amazon.
2511 wordsRead More - Amazon's Mission Statementexplanatory essayAmazon began in 1995, founded by Jeff Bezos in 1994 in Seattle, Washington. Starting out in book sales over the internet, they sold their first book, “Fluid Concepts and Creative Analogies: Computer Models of the Fundamental Mechanisms of Thought, by Douglas Hofstadter”, in July of 1995. Since then, Amazon has expanded their sales beyond books to other various products, growing into one of the world’s top e-commerce businesses.
In this essay, the author
- Explains that amazon began in 1995, founded by jeff bezos in 1994 in seattle, washington. they sold their first book, fluid concepts and creative analogies, by douglas hofstadter, in july 1995.
- Explains bezos' vision and mission statement for amazon, which is to be the "top revenue maker in online retail worldwide."
- Explains that amazon's initial strategy for company growth was focused on mergers and acquisitions of various companies starting in 1998 and is still in effect.
- Explains that amazon began in 1995, founded by jeff bezos in 1994 in seattle, washington. they sold their first book, fluid concepts and creative analogies, by douglas hofstadter, in july 1995.
- Explains bezos' vision and mission statement for amazon, which is to be the "top revenue maker in online retail worldwide."
- Explains that amazon's initial strategy for company growth was focused on mergers and acquisitions of various companies starting in 1998 and is still in effect.
- Explains that amazon invested in subsidiaries and produced their own products such as the kindle e-reader in 2007 and the introduction of amazon prime in 2005.
- Explains that amazon has faced a number of challenges, mostly lawsuits and controversies. barnes & noble's first lawsuit was settled out of court in 1997, and walmart’s theft of trade secrets in 1998.
- Narrates amazon's controversies, including boycotts, poor work conditions, and taxes. amazon has toughed it out despite all these setbacks.
716 wordsRead More - Internal Challenges In The Amazon By Jeffery Bezosexplanatory essayThe Amazon was founded in 1994 by Jeffery Bezos with a sole aim of exploiting the internet to reach more and more customers given the fact that internet was increasing at a rapid phase. However, the company was at first focused on online bookstore but as it grew it invested in other goods such as electrical appliances. Currently, the company is placed in top 100 lists of fortune companies despite the ever growing competition in the online retailing business in the world today. However, the company has never fallen short of ideas, concepts, and strategies aimed at monitoring and developing plans that can put Amazon at the leading place in the global Internet retailing industry. This assignment will attempt to cover in details how Amazon can
In this essay, the author
- Explains that amazon was founded in 1994 by jeffery bezos with a sole aim of exploiting the internet to reach more and more customers.
- Explains that amazon faces internal and external challenges due to the ideological differences between the employers and the employees.
- Explains that amazon has invested in media, electronics, and other merchandise to remain at the top of the charts.
- Explains that amazon was founded in 1994 by jeffery bezos with a sole aim of exploiting the internet to reach more and more customers.
- Explains that amazon faces internal and external challenges due to the ideological differences between the employers and the employees.
- Explains that amazon has invested in media, electronics, and other merchandise to remain at the top of the charts.
- Opines that amazon needs to roll out its online payment system that can help in addressing issues such as security and privacy concerns.
- Opines that investors need to know their performance in the market by implementing measures of business success. the management needs to train and educate their employees on the importance of understanding their customers, vision and mission statement, as well as its core values and market.
834 wordsRead More - Amazon Consumer Behavior Case Studyexplanatory essayAmazon is a growing and trending brand, giving consumers the unique shopping experience they have always wanted. The company that was started by 1999 man of the year, Jeff Bezos, has taken 44 percent market share in online sales and purchases. (http://bloomreach.com/2015/10/survey-amazon-is-burying-the-competiton-in-search/) That makes consumers more inclined to search for products through Amazon, before the well-known search engine powerhouse, Google. The Seattle, Washington based company was started in 1995. During the well-anticipated start-up, the company’s focus was on book sales online. Over time, Amazon has set many trends in Consumer Behavior, expanding products across every product pool imaginable. "Amazon.com puts the customer
In this essay, the author
- Explains that amazon is a growing and trending brand, giving consumers the unique shopping experience they have always wanted.
- Explains consumer behavior is how a company minimizes uncertainty when offering goods or services to customers through thorough research and marketing strategies developed by the seller.
- Opines that amazon.com is super-personalized. it's able to tell you what you want, and the taste has been taken away from the consumer.
- Explains that amazon is a growing and trending brand, giving consumers the unique shopping experience they have always wanted.
- Explains consumer behavior is how a company minimizes uncertainty when offering goods or services to customers through thorough research and marketing strategies developed by the seller.
- Opines that amazon.com is super-personalized. it's able to tell you what you want, and the taste has been taken away from the consumer.
- Explains that amazon.com is a place where people get addicted to shopping because of the personalization and convenience that it offers.
844 wordsRead More - Amazon Online Payment System Case Studyopinion essayOne of the greatest opportunities for Amazon is an Online Payment System. The online system allows the company to reduce transaction fees and increase ease of use for their customers. Internet sales are increasing at a fast pace. This is a product of increased fuel prices, which make driving to a store less likely, and foreign purchases. This development allows foreign purchases to buy clothing as it becomes more popular abroad. Amazon’s biggest competitors can include retail stores that online stores such as Target, Best Buy, and Walmart among others, these can be considered the most dangerous for them since they have strong market share and can be a direct competitor since they attack the same market. Amazon wish to compete in prices, offering
In this essay, the author
- Explains that amazon's online payment system is a great opportunity for the company to advance its business.
- Explains that amazon's online security is threatened by cyber-attacks and bank fraud. amazon e-commerce business has expanded globally, too many other countries.
- Opines that amazon's intense competition is a continuous threat, as it has many competitors in different industries like wal-mart, ebay or google.
- Explains that amazon's online payment system is a great opportunity for the company to advance its business.
- Explains that amazon's online security is threatened by cyber-attacks and bank fraud. amazon e-commerce business has expanded globally, too many other countries.
- Opines that amazon's intense competition is a continuous threat, as it has many competitors in different industries like wal-mart, ebay or google.
- Argues that amazon should implement the same payout to its merchants as half.com in order to combat this threat.
- Explains that amazon has a medium threat of new entrants to the market.
- Opines that amazon can change its strategies to avoid new entrants by investing in successful start-ups.
- Opines that if amazon acquired living social before they peaked to their full potential, it could have provided its services to larger consumer network. the bargaining power of buyers is fairly low when it is observed in relation to amazon.
- Opines that the only threat that amazon faces when it comes to bargaining power of buyers is the lack of quality control of the products.
- Argues that amazon should require new sellers to have some sort of online-selling experience in order to ensure that the sellers are experienced and the customers are receiving exactly what they are paying for.
- Opines that amazon's swot analysis will help it continue its strengths, improve shortcomings, take advantage of opportunities, and develop measures to deal with threats.
1466 wordsRead More