...Amazon.Com - Financial Analysis Case Study Name Institution Course Date Amazon.Com - Financial Analysis Case Study Introduction The bookselling business is one of the stable developing industries which have an estimated a total sale of $27 billion in 2006. The vending of the books mainly relies upon distinctive seasons. The business has different clients who purchase various types of books which also incorporates the professional books, trade books, college books, and mass business paper-back books. With solid competition from the corporate sector, the organizations are strongly concentrating on adopting distinctive ways and means to win more customers and getting a high market share in the company. Company Overview Amazon.com is thought to be the market player in the e-trade industry; that is, bookselling. The company was established by Jeff Bezos, who concentrated on upgrading the book shopping experience of buyers, with the development and better approaches to selling books via the web. One of the key players of the company is Noble and Barnes. Initially, the company began as an online bookshop that has transformed into one of the biggest online retailers offering items ranging from movies and music to furniture and artwork. As its website states, "it is by configuration that technological development drives the growth of Amazon.com to offer clients more different products, at lower prices, and even more conveniently." In this paper, we will review the financial...
Words: 3043 - Pages: 13
...Barnes & Noble Vs. Amazon To attain a competitive advantage over Amazon.com, Barnes & Noble needs to develop a proper strategy and implement a successful marketing plan. SITUATION ANALYSIS Barnes & Noble first must consider the issues and problems facing their company, and then perform an opportunity analysis to determine their strengths and weaknesses in relation to their customers, competitors, and company capabilities. In regards to the main concerns of Barnes & Noble, the company needs to worry about the uncertainties associated with the expected rapid growth of the Internet, the changing profile of Internet users, increased competition and indeterminate future developments in electronic retailing from publishers, wholesalers, and retailers, and intense price competition. By 2000, more than 80 million users will be on the World Wide Web, with an increase in females and a broader spectrum of education levels and age, changing the market demographics. Additionally, some book publishers, namely Simon & Schuster and Bertelsmann, have expanded online, while the national leading wholesaler, Ingram, is developing a website where wholesalers could ship directly to consumers. In the meantime, small publishers and universities have started to publish directly on the Web, avoiding print versions completely and thereby challenging the posterity of conventional books. Within the Barnes & Noble Corporation, their smaller traditional bookstores such...
Words: 2657 - Pages: 11
...1. Review of Amazon’s strategy between 2007 and 2009 Strategic analysis Profiling the business: ➢ Mission: Amazon’s mission is 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 price[1]. ➢ Product/service analysis: Since the establishment of Amazon, new products has been kept adding into the original book category and Amazon has moved further to provide service. There are three product categories in Amazon, media category, electronic and general merchandise category and other category like Amazon web service and Amazon Enterprise Solution. This means you can buy almost everything from Amazon. ➢ Sales and gross profit analysis: The net sales growth of Amazon in year 2007 and 2008 was in average 30% and the total sales in 2008 was $19166m. In the same time, the gross profit grew from $3353m in 2007 to $4270 in 2008. Actually, both the sales and profits grew quickly since 2001 and they seemed to grow at a quicker way. External environment analysis ➢ Opportunities and threats: • Opportunities: to further improve the speed of delivery; international expansion in emerging markets such as China and India; extension of brands into new areas; through acquisitions and partnership to consolidate Amazon’s technological capability. • Threats: unexpected changes in regulatory requirements both U.S. and abroad ( take taxes policies...
Words: 1275 - Pages: 6
...INFO 410 Case Studies 1-2 Handout General Instructions Case studies are to be performed as described in the syllabus and in the Chapter 1 lecture notes. The questions provided here are NOT designed to be comprehensive steps, just some of the points I’d expect you to address while doing the case studies. So please go beyond the issues identified here; these are just help to get you started. 1. Case Study I-1 IBM’s Decade of Transformation: Turnaround to Growth (starts on page 5) This case study addresses several problems over the history of IBM, so it’s more like a series of little case studies. Focus your attention on the state of IBM when Louis Gerstner took over in April 1993, and address how he could have proceeded from that point. Of course the actual answer is the creation of One IBM, but what other options could he have pursued? Only use the exhibit data through 1994, and you can ignore the discussion of EBOs and other events well after 1994. Since IBM is both a user of IT, as well as an innovator and creator of IT equipment, they have an unusual position compared to many organizations. Focus on the problems IBM faced during this time and the alternatives they faced for dealing with the problems. What is the origin of the problem? Is it a technical issue, or customer relations, or competition, or something else? What functional areas within IBM were responsible for handling each problem (e.g. HR, accounting, marketing, engineering, etc.)? ...
Words: 624 - Pages: 3
...Positioning in Relation to Porters GenericStrategies * Strategic Models * Stakeholder Analysis.....continued on page 5 | 5 | Value Chain Analysis | 6 | 2.0 Business & Corporate level strategy | 7&8 | 3.0 Alternate strategy * Critical reflection | 9 & 10 | Bibliography/Harvard referencing | 11 & 16 | Supporting Appendices | Total word count : 2725 Inc titles/subtitles. Amazon’s Strategic Positioning. 1.0 Introduction This assignment is to establish Amazon’s strategic positioning in Europe in correlation with value innovations that may have contributed to Amazon’s success from 1995 to 2012. About Amazon Amazon is an eCommerce business based in the U.S and was started back in 1995 selling books, CD’s and other media. However Amazon’s profits were only noted in 2002 and to this day have annual sales equal to or more than $40billion with a customer base of nearly 144 million in purchase accounts and over 2 million market seller accounts. In 1998 Amazon also extended their market to the UK with an agreed takeover of Bookpage.co.uk and has since managed to establish their second biggest and most successful market overseas. Value Innovations. Since reporting profits in 2002 Amazon has invested in innovations that add value to the customer, keeps interest and encourages ease of purchasing. Some innovations that have aided in the success of Amazon tend to allow ease of use and convenience, this combined with special delivery discounts...
Words: 5267 - Pages: 22
...student in order to help you with your studies. UKEssaysEssaysMarketingAmazon Com Case Study Analysis Marketing Essay submit to reddit Amazon Com Case Study Analysis Marketing Essay "We want to be the world's most customers Centric Company. . That we focus increasingly on trying to get the customer experience right. Within that we want to build a place where people can come and discover anything they might want to buy online." (Mellahi & Johnson, 2000). Executive Summary Amazon.com is an American electronic commerce company which has become as a symbol of internet business. It was first founded by Jeff Bezoz in 1995 when he began selling books online and to the date now, Amazon.com is the leading online market worldwide for its books and various other products. It was when the company aimed to be successfully the World's most customer oriented company. Customers can discover various products they wish to buy at reasonable and affordable prices. The strategy used by Jeff drove him to become the online leader of market. The main strategy used was to orient the business towards customers and to be innovative with continuous improvement in online shopping skills. Initially, it was used to be online sale of books and with the use of strategy and innovative approaches the business was expanded its boundary with introduction of various other products like toys, CDs, DVDs, computer software, apparel, furniture and goods etc. Amazon offers a large selection of books and...
Words: 5464 - Pages: 22
...By referring to the case study, Amazon’s website for your county and your experience of Amazon offline communications, evaluate how well Amazon communicate their core proposition and promotional offer. Using the case study, characterize Amazon’s approach to marketing communications. With indication to the six classes of e-specialized apparatuses depicted in Figure 1.10, most likely the key procedures are web crawler showcasing, associate advertising and organizations with non-competitive transactional sites. In this regard, Amazon's methodology is precise, utilizing the procedures that are utmost savvy. The other feature is the utilization of mechanization to empower particular publicizing through the normal and paid postings of the internet searchers. Analysis of the best approach is critical to make these advertisements work. The communications policy which are portrayed in the essence towards the end of the case opening: 'Internet promoting strategies, include paid review advertising, instinctive ads on openings, email encounters and site design improvement'. The secondary and web crawler showcasing methodologies are portrayed before in the article. Explain what distinguishes Amazon in its uses of technology for competitive advantage. The accompanying are normal for Amazon's utilization of innovation: Utilization of in-house advances for personalization; Early adopter – Rapid selection of new systems, for instance, Jeff Bezos has discussed the merits of Web...
Words: 344 - Pages: 2
...| Mergers & Acquisitions | Acquisition Case Study: Amazon’s acquisition of Zappos, November 2009 | | Stephen Greening | 26/04/2014 | WORD COUNT: 2489 Contents Executive Summary 3 Introduction 4 Amazon Overview 4 Amazon’s Previous Acquisitions 5 Zappos Overview 6 Acquisition of Zappos 9 Strategy 11 Why Amazon wanted to acquire Zappos 11 Regulation 14 Valuation 15 Comparable Company Analysis (Comps) 15 Discounted Cash Flow (DCF) Analysis 16 Precedent Transactions Analysis 16 Historical Stock Price & Next Twelve Months (NTM) Analysis 17 Financing 19 Defence Tactics 21 Implementation 23 Risk 25 Conclusion 26 References 27 Books 27 eBooks 27 Journals 27 Online Images 27 Presentation 28 Reports 28 Websites 28 Executive Summary In November 2009, ‘Amazon, Inc.’ (Amazon) completed the acquisition of ‘Zappos.com, Inc.’ (Zappos) in a deal worth around $1.2 billion. Amazon announced in July 2009, that it had reached a deal to acquire Zappos in a deal worth $847 million. The deal was financed by 10 million shares of Amazon common stock (worth around $807 million) and $40 million of Cash and Restricted Stock units on the balance sheet. Amazon is an American international electronic commerce (e-commerce) company, while Zappos is an online shoe and clothing shop. The acquisition of Zappos by Amazon was a friendly takeover; the public announcement, negotiation...
Words: 5104 - Pages: 21
...Exotic Adventure Inc.: Amazon River Voyages Case Synopsis Exotic Adventures Inc. (EAI) is offering Amazon River voyages during the low-water season in October. However, early reports from agents in Brazil have warned that water levels are unusually low due to El Niño. They also received conflicting report from agents in Peru stating that the water levels were satisfactory and have been traversing the river just fine. Currently, EAI has a total of 99 passengers booked for these voyages. A decision needs to be made on whether to proceed with the voyages or to cancel them (Shaw, 1999). State the Assignment Question Based on the information provided in this case study, should EAI proceed with the booked voyages or cancel it? Case Analysis In this case study, EAI needs to determine the most advantageous course of action under conditions of uncertainty. EAI has planned a new voyage that they have very little experience and knowledge in because they have only run routes during the high-water season. For safety reasons, the vessel can only operate in waters with adequate depth for the draft. Early in September, EAI began receiving reports that water levels were low due to El Niño. This information was being provided by agents in Brazil, however, reports from agents in Peru were contradictory saying that the water levels are fine and are being used. Currently, there are 99 passengers booked for the trip and it is five days away from departure. The first option is to cancel...
Words: 999 - Pages: 4
...ACE Challenge 2015 Amazon Confidential Preliminary Round: ACE Case Breakers Case Study: Operations Introduction It is a bright autumn morning in 2205 and Gaurav Maurya, SVP – Amazon Enceladus1, is gazing outside the window and reminiscing about how Blue Origin2 had transformed Enceladus into a bustling human colony in a short span of 50 years, much like some of the developing countries back on Earth. Also, continuing Amazon’s legacy, Amazon.en has become Enceladus’s most customer-centric company in a short span of one year and customers love to buy all sorts of products on it every day. Gaurav is scheduled to meet the Board of Directors back on Earth in 3 days to present the first year report. For this meeting, Gaurav has decided to focus on operations, and on how different verticals within operations are helping raise the bar on customer experience. Gaurav enlisted four of his team members to share their stories. As Gaurav prepares for the meeting, he has asked you to take a look at the reports that his team has put together and help him answer some open questions and come up with fresh ideas on how to solve the problems. Scenario 1: Like on Earth, Amazon’s goal is to offer Enceladus’ largest selection on Amazon.en. Deonn, who recently joined Amazon.en wants to accelerate the addition of new products in the catalogue. While Amazon already provides tools for vendors to submit their items in the catalogue, the error rate remains high. On an average, vendors...
Words: 2040 - Pages: 9
...Tuesday, March 15, 2016 CASE STUDY QUESTIONS 1. Use the value chain and competitive forces models to evaluate the impact of the Internet on book publishers and book retail stores such as B&N. Value chain and competitive five forces model was provided by Michael porter and explains how to edge over rival firms in the industry. Value chain helps in identifying ways to create the best value for the customers and it’s a 3 step process: activity analysis, value analysis and lastly evaluating and planning. Five forces of competition according to Michael porter are: threat of substitutes, rivalry, supplier power, buyer power, and barriers to entry. B&N Company, publishers and other book retailers thrive to survive in the current competitive environment and with the internet posing all this challenges. Threat of Subtitute In the industry there are some of substitute that the customers might use if our product have a problem. With the new technology it can create new substitute all the time. Internet has enhanced development of e-books and e-learn which have become substitutes to physical books. As e-books are getting popular, the demand for traditional books have declined, and demand and supply more substitute products are getting dominant. This has threatened existence of both publishers and book retailers since people have adapted to using the current means which is of low cost and easy to access. Rivalry Amazon Company has been using e-book and e-learn to which...
Words: 1225 - Pages: 5
...Case Study Phase III Edgar Pavon-Hernandez American Military University Case Study Phase I Defining risk to an organization means identifying which assets are susceptible to a threat. This threat can cause damage to a company or can be costly. The most important aspect is to mitigate risk to keep tangible and intangible costs low. For example Amazon.com is an online shopping website. Because it is a website its revenue is from online orders. In the following sentences I will go over a few things which can be potential risk to the site. A risk to the company, Amazon.com, could be a hacker gaining unauthorized access to the websites server. The hacker could then begin attacking other servers within the site. If the main server as well as back up servers were to become infected and be brought offline. Another example could be a disgruntle employee who sells personal information which includes names, date of birth, credit card numbers as well as email addresses and passwords. Both of the above mentioned risks can cause the company damage in loss of revenue, which would be a tangible cost. But on the more serious side, the site would lose customers. This is the intangible costs. Because loyalty is an aspect of customers that cannot be bought or sold. Regaining lost customers due to a risk becoming a threat causes the site to have to take different measures to attempt to regain the lost customers. Another area that is susceptible to risk is the shipping...
Words: 1450 - Pages: 6
...Assignment #2: Amazon.Com’s E-Business Model Je’neen A. Wilson, B.S. The Business Enterprise – BUS508 Strayer University – White Marsh Prof. A. Kobina Armoo Has Amazon Lost Its Identity? Amazon.com is a famous Internet retail company in E-commerce. Its business includes B2B and B2C. It opened its business in July 1996. Today, Amazon.com has expanded its business in more than two hundred and twenty countries and this company sells various products like electronics, books, music, DVD, House wares, PCs and cars (Amazon.com Announces 4th Quarter Profit 2002). It is the biggest retail store in E-commerce. Even though Amazon.com owns these accolades, this company is struggling to survive. Amazon.com had a $19 billion market value before its stock prices decreased from $75.25 to $9.25 (German, 2001). The problem is that Amazon still has not made real profits since it opened. How to help Amazon.com keep standing on the stage? If Amazon.com wants to survive in E-business and start making real profits, Amazon.com should merge with other retail companies, operate a new E-business strategy, and rebuild its financial structure. Business strategies and activities play a very crucial role in the future development of the organization. These strategies become more important, in case of e-business organization such as Amazon. Every organization uses different business strategies in order to remain in business. Some adopt customer- centric strategies; some uses strategies to maximize their...
Words: 1103 - Pages: 5
...and 2014 update I’ve used Amazon as a case study in my books for over 10 years now since I think all types of businesses can learn from their digital business strategy. From startups and small businesses to large international businesses, their focus on the customer, testing market opportunities made available by digital technology and their focus on testing and analysis to improve results. I aim to keep this case study up-to-date for readers of the books and Smart Insights readers who may be interested. In it we look at Amazon’s background, revenue model and sources for the latest business results. We can also learn from their approach to digital marketing since they use digital marketing efficiently across all customer communications touchpoints in our RACE marketing planning framework: * Reach: Amazon’s initial business growth based on detailed approach to SEO and AdWords targeting millions of keywords. * Act: Creating a clear simple experiences through testing and learning. * Convert: Using personalisation to make relevant recommendations and a clear checkout process that many now imitate. * Engage: Their focus on customer experience, “Customer Obsession” as they call it is shown by the way they consistently outperform other retailers in their ACSI customer satisfaction rating too. We have our own internal experimentation platform called “Weblab” that we use to evaluate improvements Experiments and more experiments! Amazon have created their own internal...
Words: 696 - Pages: 3
...CBIS250 Section 001 Amazo.com Case Report Part 1 Case Overview This case is mainly about that Amazon.com provides Amazon Web Services (AWS) using its tremendous computing capacity. And utility computing is used as a method charging for services. Amazon’s powerful infrastructure provides them many advantages to attract service users. Such as S3, a data storage service, that is designed to make Web-scale computing easier and more affordable for developers. However, Amazon.com also has some problems in its development of AWS. We just study Amazon’s experience and find some solutions to those problems. Part 2 Organization Context Amazon.com is a virtual superstore with product offering in 36 categories. In 1995, Amazon.com was found. At the beginning, Amazon.com only provided services as bookstore through the Internet. Since 1995, Amazon.com has developed as the largest bookstore through Internet in the world. And Amazon.com is also the bookstore which sells the largest number of books all over the world. But Amazon.com has neither so many employees nor lots of buildings. Now, Amazon.com offers not only books but also music, video, furniture, clothing and even jewelry. 36 categories products are provided by Amazon.com now. Amazon.com reaches its diverse goals through acquiring other kinds of companies. And E-commerce helps Amazon reduce cost and become larger and larger. Since Amazon.com’s infrastructure is so powerful that most...
Words: 1252 - Pages: 6
