...trade. This phenomenon, termed as globalization, encompasses the ongoing economic integration and growing interdependency of countries worldwide (Cavusgil). In this new environment, the country borders are not deterrents to trade. Instead because of incentives and technology, other countries have become opportunities to expand market share. To exemplify this world environment, this study involves comparing the consumer experience in searching for a product on an US based company website with a global audience as opposed to a US based company website with a US audience. The basis for comparison involves search behavior and results as well as buying behavior intentions. The subjects of this study are Amazon.com and Bookpassage.com. Background: Amazon.com, Inc. Amazon.com, Inc. is headquartered in Seattle Washington and is termed America’s largest online retailer as of January 2010. (Wikipedia). Founded in 1994 by Jeff Bezos, this company began as an online bookstore but later expanded its offerings to include DVDs, CDs, MP3 downloads, computer software, video games, electronics, apparel, furniture, food and toys. Amazon has established separate websites...
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...Amazon.com Evolution Introduction Amazon.com, Inc. a fortune 500 company in Seattle, opened on the World Wide Web in July 1995 founded by Jeff Bezos, and today offers Earth’s biggest selection. Amazon.com, seeks to be Earth’s most customer centric company, where customers can find and discover anything they might want to buy online, and endeavors to offer its customers the lowest possible prices. Amazon.com and other sellers offer millions of unique new, refurbished and used items in categories such as books, movies, music, games, digital downloads, electronic and computers. Amazon Web service provides Amazon’s developer customers with access to in-the cloud infrastructure services based on Amazon’s own back end technology platform, which developers can use to enable virtually any type of business. The company maintains a staff of programmers, editors, executive and all-around book lovers. (Amazon.com, 1995). Team A will address the core competency of Amazon.com, their competition; the uses of the Amazon.com database, and describe how Amazon.com uses e-business and e-commerce for B2B and B2C. Core Competency Based on the information and evidence Amazon.com is moving away from its core competency from Book Seller to Service Provider. The on-line retailer has decided to provide a series of computing, storage, and other services that make its infrastructure available to companies and individuals to help them run the technical and logistical parts of their business....
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...“Amazon.com Reigns Supreme” Daniel F. Lapiana Professor Coleman BUS 302 July 25, 2012 Since childhood I have always been a big fan of music. Two of the companies I have purchased music from have been Amazon.com and Borders Book Stores. Before the big wave of internet retailing started Borders seemed to always have the hard to find CDs that my local Best Buy didn’t carry, which was basically the only store in my town that had a decent selection of music. Now that I am able to browse the internet on my smart-phone just about anywhere I go an online retailer, such as Amazon.com, is much more suitable for me. Borders was a chain of stores that specialized in the sale of books and music in a wide variety. The first store started in 1971 by two brothers, Tom and Louis Borders, while studying at the University of Michigan. It was an 800 square foot store located at 211 South State Street in downtown Ann Arbor, Michigan. The store specialized in mostly used book sales at the time. In the 1970’s, Louis Borders created an innovative software to keep track of inventory and project future sales accurately (Bomey, 2011). In 1988 the company hires Robert DiRomualdo to try to improve the leadership of the company. With the addition of Robert DiRomualdo the company wanted to try to have him lead the planned expansion the company had in mind. Later on, DiRomualdo is coined with the success that Borders had in going national in the 1990’s. He was later appointed the...
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...Amazon.com Case Analysis Consumer Behavior Overview Amazon.com is a Fortune 500 company based on the internet as the Earth’s biggest bookstore in July 1995 and today is biggest everything store. Amazon has become the Earth’s most customer-centric company, where consumers can find and discover anything they might want to buy online and endeavors to offers its customers the lowest possible prices and the best customer service. Amazon.com offers millions of new, refurbished and used items in categories such as health and personal care, jewelry and watches, gourmet food, sports and outdoor equipment and apparel, books, music, DVDs, electronics, office equipment, toys and baby supplies, home and garden and on demand video. Amazon has also established separate websites in Canada, the United Kingdom, Germany, France, Italy, Japan and China. They provide international shipping to certain countries for some of its products. Amazon.com Case Analysis In 1994, Jeff Bezos left his job as senior vice-president of an investment firm, moved to Seattle, and began to work out a business plan for what would become Amazon.com. After his evaluation of report that projected annual Web growth at 2,300 percent, Bezos drew up a list of 20 products that could be sold on the Internet. The list was narrowed down to what he felt were the five most favorable: compact discs, computer hardware, computer software, videos, and books. Bezos eventually decided that his venture would sell books over the...
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...Discuss the pros and cons of Amazon’s growth and diversification of business and specialization, and make recommendations about what Amazon could have done differently. As a company strives for growth in any industry, at some point they will face the challenge to diversify or not. Diversification is a risk management technique that allows companies to mix a wide variety of investments in a portfolio, if one investment fails then the other’s success make up the difference. Amazon is widely known to use the internet as the sole method for selling extensive selection of goods to its consumers. Amazon has grown from a book seller to a virtual Wall Mart of the Web selling diverse products. Amazon’s growth and diversification of business offers the following advantages: 1. Cost Leadership is pursued by Amazon.com by differentiating itself primarily on the basis of price. Due to this strategy, Amazon.com always makes sure that it offers the same quality products as other companies for a considerably less price. 2. Cost Savings: Amazon’s business strategy has helped it reduce costs associated with operations and staffing. A reduced cost gives increased revenue. 3. Provides current and prospective customers with different design, quality or convenience. Amazon.com always selects a differentiator that is different among the competitor. So, Amazon.com consumers can recognize and differentiate its product. 4. Existing expertise, knowledge and resources in the company is...
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...Amazon Evolution Rhonda Johnson BIS/219 Due February28, 2011 Professor Stuart McCubbrey Describe How Amazon.com uses e-business and e-commerce for B2B and B2C. E-Commerce describes the process of buying, selling, transferring, or exchanging products, services or information via computer networks, including internet. E-Business is a somewhat broader concept. In addition to the buying and selling of goods and services e-business also refers to servicing customers, collaborating with business partners, and performing electronic transactions within an organization. (Rainer and Turban 2008 chapter 6) Amazon.com uses only 10 percent of its processing capacity at any one time. The company has decided to provide a series of computing, storage and other services that make its infrastructure available to companies and individuals to help them run the technical and logistical parts of their businesses. (Rainer and Turban2008). These are examples of how amazon.com uses e-business and e-commerce for B2B and B2C. Three of the services are the services are the Simple storage service (S3) The Elastic Compute Cloud (EC2) and The Mechanical Turk. Amazon.com charges Businesses to store data and applications, which gives amazon.com profit for doing so, but also saves other businesses money by working with amazon.com. Amazon.com uses e-businesses and e-commerce for B2C as well. By using the businesses storage business those individual businesses offer jobs to regular people...
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...will explore the rise of a mega business empire, Amazon.com. From the beginning of just books sales to the current diversified online store and why it has gained world wide recognized by branching out to other sales items besides books. As CEO Bezos stated in their 2010 annual report, “ Amazon.com opened its virtual doors on the World Wide Web in July of 1995 and offers Earth’s Biggest Selection. We seek to be Earth’s most customer-centric company for three primary customer sets: consumers, sells and enterprises” (Bezos, 2010). It is apparent that CEO Bezos understood that customer service and listening to the consumer would separate them for the rest. This paper will also compare and contrast competitors in the book sale market, competitors such as Barnes and Noble ad Borders and what has separated Amazon.com from them. Has the diversification of Amazon.com helped them gained global recognition? Or has a solid understanding of the market and customer needs propelled them to where they are today? The Pros and Cons Amazon.com jumped into the market in 1995 with an effective business tactic of online book sales. Not only did the company launch an English version of the website, but they also launched a Chinese, French, German and Japanese version to gain a global audience quickly. Amazon also receives about 615 million visitors annually according to a survey by complete.com (History of Amazon). Some dare to believe that Amazon.com has the “ideal” business plan for success but...
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...Amazon.com's New Business Portfolio Being Launched Mark Vasquez Park University Amazon.com's New Business Portfolio Being Launched I. Describe the portfolio of new business services being launched by Amazon.com Amazon has mastered the logistical and technological facets of successfully running itself. Amazon.com has thrived in a highly competitive retail atmosphere. Amazon.com now seeks to expand its enterprises by offering its own resources, retail expertise, business enhancements, technological tools and highly advanced features to other businesses for a price. The incentive for these businesses to purchase Amazon.com’s services is so that they are able to streamline their own processes and become more efficient and ultimately more profitable. Amazon.com seeks to appeal to prospective clients by offering them services that will enable them to operate in a more seamless manner. Essentially Amazon.com is selling various “easy buttons” for the many “chores” of running a business. Outside companies would be able to Amazon.com’s operational systems to efficiently distribute their products, use their warehouse space for storage, calculate and analyze statistical information, store data, and utilize Amazon.com’s platform to access the media. Critics are skeptical of Amazon.com’s expansion plan because the cost of purchasing the technology needed is a significant expense. In addition to this, hiring tech professionals to develop, hone and run these new services is another financial...
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...Business Information Systems BIS/219 August 17, 2010 Xuan Yu In this team paper we will be discussing the strategies of Amazon.com to see whether the Internet icon is moving away from being the number one leader online. We will be showing different areas to see if Amazon.com is using the right strategy to compete with Google and Microsoft. We find the different issues concerning the database and data management with Amazon.com. Finally we will be discussing the uses of e-business and e-commerce for the B2B and B2c. As of January 2010, Amazon.com was considered the largest online retailer in the United States. Amazon was launched in 1995 by its founder Jeff Benzo. Benzo’s original idea was to create an online bookstore. Compared to traditional bookstores or even mail-order systems, an online retailer could carry a far greater quantity of books for sale. Just like most businesses, even the traditional bookstores, Amazon expanded its business past just books and began adding an array of items; ultimately making its way to selling almost anything possible. Stockholders of Amazon.com, knew the turn over would be a rather slow process with the gradual growth of online sales, but none-the-less they would expect a profit. It took Amazon until its fourth year to produce any revenue and finally to hold its ground as an online retailer. This slow progress made Amazon move away from its original concept...
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...INTRODUCTION: Amazon.com opened for business in July 1995, nobody in that time was optimistic for this brand new business model. People still enjoy the physical store, and skeptical on online shopping. However, with more than a decade efforts, Amazon was named the world’s top brand ahead of common names like Coca-Cola, Microsoft, and so on. Amazon and its online business model had creased more than $34 billion revenue, and equally 80 million people visit Amazon.com every month. In order to achieve greater success, Amazon need to overcome the challengeable external environment, strengthen organization structure, fulfill the product line, and leverage its brand strategy. CURRENT MISSION, GOAL, AND STRATEGY The current mission statement for the Amazon.com is “to be the Earth’s most customer-centric company, where customers can find and discover anything they might want to buy online, and endeavor to offer customers the lowest prices.” Amazon added 13 new fulfillment centers in 2010 and another 15 new center in the 2011 and company is planning to launch cloud technology in 2011 which allowed customers to store and access music. The company believed that in the nearly future this technology could bring the internal strength and competitive advantage for Amazon.com. INTERNAL ANALYSIS: See attached IFEM Amazon.com internally with an IFEM score of 3.25 FINANCE: Amazon is on strong financial position now; online sales reached $9.91 billion...
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... Amazon has grown from an online bookstore to an online one stop superstore. You can buy anything from books to computer components and toys on their website. They were founded by Jeff Bezos in 1994, and have grown exponentially since then. Information technology has helped them immensely along the way as this paper will demonstrate. They do everything from shopping to web-based applications involved in cloud computing for other businesses while staying true to their core competency. Amazon has appropriately evolved as a company to be successful in a high-tech environment. This company was founded in 1994 for selling books at a reasonable price. They made sure they had a good customer service to retain customers. By 1999 Amazon.com was formed, now Amazon really could reach a lot of customers due to the internet. So now they book stores and able to sell books to people at their own home, this was very convenient for customers. They did not have to leave their comfort of their own home. In 2000 Amazon opened their customer service center, this way the company could handle their customers in one location, saves on management and hourly’s. Because you have all of your staff in one location. In 2001 Amazon announces an alliance with Borders; this alliance increases inventory and variety of books they can offer on their web site. In 2003 the company expanded to sports and outdoor stores, this way they can try to gather in a new customer base, so by opening these...
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... The History of Amazon.com In the beginning Amazon.com conducted business out of a two car garage in Bellevue, Washington. Today this retailer headquartered in Seattle, Washington has one of the largest organizations on the internet. By employing thousands of employees the organization has gained outstanding success. Customers from all over the world can purchase books, movies, and thousands of other products with just a click of a computer mouse. Amazon.com was introduced to the world in 1994 by Jeff Bezos who resided in Bellevue, Washington. “With a small investment and only one investor Mr. Bezos was able to secure a user friendly website and ship orders to 50 states and over 48 countries. During this time books were the only products that were available”. (The History of Amazon.com, 2011) “By creating a powerful community based website, customers were able to add their book reviews for all customers”. (The History of Amazon.com, 2011) In May of 1997 Amazon.com went public and by public demand the share price went from an expected $18 to $24 a share with total earnings of $54 million dollars. Within the last decade through expansion and popularity, Amazon.com opened international sites in Germany and the United Kingdom. Music and movies were added to the services and order fulfillment centers were opened in Nevada, Kansas, and Kentucky. Jeff Bezos was named the “king of cybercommerce” (The History of Amazon.com, 2011) In 2001 and 2003...
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...and diversification of business and specialization, and make recommendations about what Amazon could have done differently. Founded in 1994 Amazon.com has become the world’s largest e-retailer with nearly three-times more sales than its closest competitor. Initially beginning as an on-line bookstore, in no time at all the company soon diversified into sales of DVDs, CDs, MP3 down loads, computers software, video games, electronics, apparel, furniture, food and toys. Amazon’s dedication to innovation can certainly be a testament to the company’s continued growth and diversification. Along with the Kindle reading device other innovations that have kept the company highly competitive include: a booming internet hosting business, an Apple I Phone App for comparison shopping, video streaming for Amazon Prime members and a Google Android App store. Last March Amazon.com launched Cloud Drive which allows users to store music and other multimedia files that are easily accessible from their desktop or smart phone (Amazon.com website2011). Another significant advantage is the infrastructure which Amazon built in terms of its facilities along with its internet platform. The customer experience on the web-site is a simple and pleasant one, shipments are very fast which not only results in a higher product turnover ratio but increases the company’s bottom line or cash flow. Amazon.com also developed an affiliates program that expanded the company’s business. Affiliates...
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...E-Business Model Alexa Bell Instructor Harper Business Enterprise May 8, 2011 Discuss the pros and cons of Amazon’s growth and diversification of business and specialization, and make recommendations about what Amazon could have done differently. In order to understand Amazon’s growth and diversification of business, we would have to know exactly the meaning of growth and diversification. Basically diversification of businesses is the corporation modifying its financial investments to reduce the markets risks. Amazon is so successful because of their customer service and the loyalty they distribute to its consumers. This builds the customer profitably. Amazon created preferences to enhance the previous shopper’s experience by comparing what the shopper searched for, or already bought, which is called collaborative filtering. I can attest to this, because I am a frequent Amazon shopper. They make it unbelievably convenient and easy to shop there by doing the collaborative filtering. The cons of Amazon’s growth and diversification is Determine the impact if Amazon.com had split up and become a family of brands (for example, “Amazon” for books, “Supertoys” for toys, etc.), each with a different public face but all run by the same parent company. If Amazon.com, had split up and become a family of brands, I believe it would not have cultivated any more business than it already has. The reason for this being, all the marketing strategies would be the same. People...
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...Amazon.com Team B Assignment University of Phoenix The evolution of Amazon.com has increased the Internet giant’s footing in the e-commerce world, taking the book retailer from the beginnings of providing a shopping experience above the walk in bookstores of the past. Today, Amazon offers services to thousands of businesses as well as the continued service for both sellers and buyers of many products of music, apparel, movies, toys, pet supplies, and more. Amazon’s strategy has moved the Internet business from retail to competing with Google and Microsoft to offer data and information storage retrievable by uncomplicated software. Amazon’s use of e-business and e-commerce in the B2B and B2C realm continues to add services for businesses to reduce operating costs and increase the subscriber’s efficiency that places Amazon in a position unimaginable 10 years ago. Amazon.com is a business whose sole transactions involve the Internet to some extent. Unlike many traditional department stores, Amazon has no storefront from which to conduct business. Its entire operation operates via e-commerce or e-business. E-commerce is the sale, purchase, or exchange of items, including products and services, over a computer network. E-commerce is similar to e-business, but includes all aspects of a business, including developing customer relationships and collaborative efforts between companies. Amazon uses both e-business and e-commerce in its business dealings to achieve...
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