...Amazon Kindle Case Study The case study under review in the McGraw Hill text International Business: competing in a global marketplace on page 533 deals with the Amazon Kindle e-reader. The e-reader market quickly became flooded with competition from many competitors who have found ways to design the products mainly in the United States but find cheap parts and labor by outsourcing manufacturing to other countries. This international competition is no surprise in an increasingly global market. When deciding where to manufacture the key components of the Amazon Kindle, the main driving factors considered were sleek design that is highly functional and reliable with relatively low price. In designing the display, Amazon utilized the design expertise of a leading company in Cambridge, Massachusetts. E Ink designed the microcapsule beads that make the Kindle’s display visible with miniscule amounts of battery. Despite the research and design coming from American firms, there are no American firms that have the ability to manufacture the “bistable electrophoretic display” that shows an image without utilizing battery power. Amazon landed on a Taiwanese based company to manufacture the display components; which are the single most expensive to manufacture, costing about $60 per unit. Next the wireless card is designed by Qualcomm in San Diego and allows the Kindle user to access the digital bookstore wirelessly. The component cost about $40 to manufacture and is produced by...
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...Write Up 1: Amazon Goes Global 1. Why did Amazon choose the United Kingdom as its first entry location? Why not other countries such as Canada and Austrlia? With the emergence of a global marketplace, Amazon has since ridden on the waves of the opportunities that comes with globalisation. After more than a decade of expansion, Amazon’s international operations accounted for about 43 per cent of its revenue, bringing in $26.28 billion in 2012. This shows the significance of targeting the international markets. However, entry into foreign market does not come without risks and costs that resulted from barriers created by distance. The CAGE Framework of distance by Ghemawat explained distance as 4 main attributes – Cultural, Administrative, Geographic, Economic.1 To address these risks and costs, it is crucial to first assess the extent and type of differences between the USA market and the United Kingdom market. Amazon’s entry into United Kingdom (UK) can be attributed to minimal distance and various similarities, which allowed Amazon to significantly reduce risks and costs. Primarily, the UK market has a lot of similarities to the US market in terms of cultural, administrative and economic distance. UK has the second most number of native English speakers (60 million), after US (231 million), and is also the place where English was first spoken. Since books were the primary products sold by Amazon, the similarity in language made it extremely ideal for Amazon to target the...
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...Dec 2013 Fish of The Amazon River ”Amazonian fish species evolved from an ancient line of groups that were already established over 200 million years ago (they have changed little since this time)” as stated by Paul Reiss. Fish that have evolved over 200 million years must be protected in today’s world. The amazon has the largest number of fish species about 46% of the whole world in freshwater fish according to Tiago P. Carvalho. He goes on to say that there are more than 6,000 fish species in the Amazon River. Who knows, there may even be species that have not even been discovered yet. The article goes on to say that La monte was the first person to do a study on fish and found 37 species. Even though there are over 6,000 fish species in the Amazon River, four main fish will be talked about in this paper. One of the scariest fish among the amazon species is the Goliath Tiger Fish. At a length of 5 feet or longer and a weight of up to 300 pounds, it is definitely a top predator in the Amazon River. As a top predator it helps keep all of the other fish species in balance. Another Amazon River fish is the Arapaima also known as the Pirarucu. The Arapaima is one...
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...Part A 1) The first key learning point that I found to be particularly interesting and valuable was “How to start a business”. I found this point to be very interesting for starting a business has and continues to be a dream of mine. Within this category were sub- categories such as: business startup strategy, the right business for you, knowing your industry before you start your business, and estimating realistic startup cost. Although all very intriguing, I found the category on business startup strategies to be the most important for it gave the basics on how to start up a business, something that I didn’t know before The second key learning point that I found to be very interesting was where to start and what to do when “Buying a business”. I found this to be very interesting because if I can’t start a business, buying one would be the next best thing. Categories within this learning point included planning for purchasing a business, questions to ask when buying a business, knowing what you’re getting, and how to figure out what a business is worth. The last key learning point that I found to be very interesting while browsing the website was possibly more important than the first two learning points, “How to write a business plan”. Through the links in this category including: a standard business plan outline, different types of plans for businesses, what a business plan is, what makes a good plan, mistakes that can be made, a simpler plan for starting up a business and...
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...Globalization: Amazon case Brandy Fake National University Globalization: Amazon case The purpose of this paper is to enlighten and explore globalization in a holistic manner. This paper aims to explore diverse dimensions of globalization and its impact on Amazon. Amazon.com is one of the most successful companies for selling goods and services online. This paper enlightens the changes that have been brought to the online retailer of the United Kingdom and the strategies constructed by Amazon to cope with the market’s changing dimensions. The term Globalization is broadly used as the process through which an ever-expanding free flow of goods, services, capital, peoples, and social customs leads to further integration of economies and societies worldwide. This phenomenon is hardly novel, albeit the process of integration has dramatically accelerated over the past few decades. The world has experienced successive waves of globalization (www.informationweek.com). To be ahead of the game they will have to keep up with the forever-changing times. “Globalization is a process of interaction and integration among the people, companies, and governments of different nations, a process driven by international trade and investment and aided by information technology. This process has effects on the environment, on culture, on political systems, on economic development and prosperity, and on human physical well-being in societies around the world.” Amazon ships too...
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...Amazon goes global Gary Sanghera BUSM 4200 Amazon goes global Gary Sanghera BUSM 4200 Table of Contents Executive Summary 2 General External Environment 3 Industry Analysis 6 Internal Environment 7 Porter’s Value Chain 10 SWOT Analysis 12 Endnotes 13 Executive Summary Amazon.com Inc. is the largest online retailer in the world. The purpose of this report is to find out whether Amazon should take a break from its global expansion and focus on strengthening its existing operations or if the company should continue to explore new market opportunities and if so to find out which market Amazon should enter if it continues to expand. The external environment indicates many significant trends that Amazon should consider and use to its advantage, for example the rapidly growing online retail industry; more investment from governments in information and communication technologies and a strong demand for this investment from the all markets is causing a rapid expansion in customers buying online. Porter’s five forces indicate that online retail industry is difficult to enter into due the brand image that the top firms have now established, but it is very easy for customers to compare prices among the top online retailers to find the best product for the cheapest price; indicating a high buying power for consumers. Suppliers do have some power if they offer a unique product that cannot be easily bought elsewhere, like Amazon selling Harry Potter novels. However...
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...does it mean to have the mission, “the earth’s most customer-centric company? How well is Amazon achieving this mission? Mission statements define who you are, what you believe, and why you exist. They lay out the guiding principles by which you run your business. They set the course and tone by which your organization and all your employees operate. Amazon’s mission statement is clear and bold. They seek to be the best-not the best online retail site in America or even North America, but the world-“Earth’s most customer centric company.” No one, no customer or employee can question this company’s focus and position. They set the bar high and they have backed their words up through performance. I think they are going good on it. They are making innovation of everything company does, profit and they are increasing their customer portfolio in every section. They are not stuck as book seller, they offer everything that they can do on the website. 2- What are the supply chain or demand chain elements essential to the operations and marketing of Amazon? Where are its warehouses located and why are they located there? How can the lessons learned from Amazon be applied to other forms of e-commerce and integrated marketing strategies? Amazon started in 1994 and opened its website for business in July 1995 with the demand for such a wide array of books could never be met by local stores. Amazon online retailer is located in Seattle, Washington a city known for being on progressive...
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...Amazon Evolution BIS/219 Amazon Evolution Introduction Moving away from its core competency? Amazon is not steering itself away from being the leading online retailer, in fact, it is not leading the industry; it is paving a new road. Amazon began simply as an online bookstore; it has evolved in the last 15 years to range from books to movies, latest technologies, and even food. Amazon set out to be the leading online retailer of books; they have now accomplished being the leading online retailer of most every product. With every business, getting started can be difficult but if the momentum is ever taken hold the company must run with it. This is what Amazon has done; they started out having a tough time with the name “Cabrera” which could have sometimes been mistaken as “Cadaver.” That was when the founder decided to name the site based on what he imagined it would become. That was where the name “Amazon” came from, because it is the largest river in the country, they wanted this website to be the largest retail website. So far, not slowing down one bit, mission accomplished and Amazon is continuing the momentum. Amazon has also high dreams of broadening their horizons in many more countries and even opening up their selection of products. Competing with Google™ and Microsoft® Amazon’s database Amazon is one of the largest organizations that has product information database in the world. Amazon has thousands of customers with thousands of products and as well...
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...How Amazon.com Became the Leading Online Retailer by 2011 Amazon, the world’s largest online retailer, has seen great growth since its founding in 1995 by Jeffrey Bezos. Bezos preaches that the company is a technology company and that its core skills drive its retail mission. The company has seen this great success because their business strategy involves passing up short-term advantages or opportunities and building infrastructure in order to secure solid long-term gains. Amazon was started as the first online bookstore with a vision to be customer-friendly, easy to navigate, provide buying advice, and offer the broadest and largest selection of books at low prices to a huge market. Amazon was one of the first major Internet retailers and received enormous free national publicity and the venture gained great acceptance. As sales continued to soar and capital was necessary to grow, the company went public and started issuing stock in 1997. This rapid growth put pressure on Amazon to control the company’s value chain, most notably the Website’s software and developing and maintaining the physical infrastructure to obtain and maintain inventory. High costs of physical infrastructure were draining profits because they were selling books at low prices. These low costs were crucial as competitors such as Barnes and Noble began to enter online retailing. Being that Amazon is a technology company, their mission is to use and develop its technological expertise to sell more and more...
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...eBay Goes on a Shopping Spree Introduction The author provides a case analysis of the eBay shopping spree assigned reading in the E-commerce: Business, Technology and Society textbook. The purpose of the research is to explain whether or not making so many acquisitions is a risky proposition. Additionally, the author will argue why eBay can successfully compete with its top three competitors. Finally, the researcher will explain why eBay is the perfect model for the integration of all the aspects of e-commerce. Questions Question #1: Explain whether or not you think making so many acquisitions is a risky proposition and why? The acquisitions are risky but support the eBay overall open source commerce platform called X.commerce. Therefore, the acquisitions are warranted as a calculated risk which enables merchants to more easily integrate online and offline commerce efforts (Laudon & Traver, 2012). Specifically, the acquisitions of RedLaser and Milo allow eBay to build services to help sellers offer goods locally, both online or through a mobile device, providing them with another channel for product distribution (eBay Annual Report, 2012). RedLaser allows consumers to scan barcodes in order to find the goods they are looking for in a variety of locations, both online and offline, while Milo enables local inventory to be viewed online or on a mobile device. The eBay acquisition strategy shows a strong commitment of connecting local retailers with shoppers. The...
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...Amazon vs Barnes & Noble The Battle of the Bookstores and the Future of Electronic Commerce Amazon -Amazon.com opened to the public on the World Wide Web in July 1995 -Offers a variety of items from books, electronics, computers, music, movies, apparel, toys, computers, etc… -Amazon. has six global websites: Amazon.com, Amacon.co.uk, amazon.de, amazon.fr, amazon.co.jp and amazon.ca -Amazon was incorporated in 1994 in the state of Washington and reincorporated in 1996 in the state of Delaware -Has been available to the public on the stock market since May of 1997 -Amazon.com works with companies such as Nordstrom’s, Gap, Eddie Bauer, Urban Outfitters, Osh Kosh, Footlocker Barnes & Noble 1873: From his home is Wheaton, Illinois Charles M. Barnes starts a small book business 1917: William Barnes, Charles’s son travels to New York to negotiate with G. Clifford Noble and from a partnership, then opening the first Barnes and Noble 1987: Barnes and Noble acquires B. Dalton 1991: Barnes and Noble pioneers the super store concept that has huge location, wide selections of titles, experienced bookstore staff, warm atmosphere and cafes in stores 1993: Barnes and Noble goes public on the stock exchange on September28, 1993 In May 1997 Barnes and Noble opens it public site on the world wide web barnesandnoble.com 1999: barnesandnoble.com goes public on the stock exchange and raised $468 million and unprecedented amount for an internet company Business Models ...
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...with Amazon.com. Amazon is one of the few places that I have searched for product that it does not take me hours to find what I am looking for. They offer more in retailing than any other web site visited so far, and when online they soften the risk of mail ordering by free shipping. Sometimes they even say “Thank You” by sending bonus products with my order. What I like best is that they communicate with me about my order, when it shipped and how to track it. I know what to expect from Amazon.com and am never surprised at the results. Amazon is not moving away from, but is heading to the spot of number one online retailer. What they are doing is merging into areas other web sites have not thought of, but which they are famous for doing. According to the reading in Chapter one, Amazon is only using 10% of their processing capacity at any one-time. Therefore, they have decided to expand there services in other areas, available to business and individuals. This new way to turn a profit will make its infrastructure available with the technical and logistical parts of business. • The (S3) Simple Storage Service (designed to make web-scale computing easier for developers. It can store and retrieve amounts of data on the web from anywhere, at any given time. The developers will be able to maximize the benefits of the S3 with the same highly scalable, reliable, secure, fast, inexpensive infrastructure that Amazon uses to run it own global network of web sites...
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...if Amazon is moving away from its core competency, competition with other companies, the use of its database, and how Amazon uses e-business and e-commerce for B2B and B2C. Amazon is a world known online retailer company. Jeff Bezos discovered Amazon in 1994. He launched the online store a year later. WOW! What a well written business plan. “The company began operating as an online bookstore under the name Cadabra.com, from the word abracadabra. Bezos quickly changed the name because it sounds too similar to cadaver. He renamed the company "Amazon" after the world's most voluminous river (Amazon.com, N.D.).”Amazon has not driven away from its core competency. The online retail store has just broadened their horizon. In the beginning, the company started off with Amazon existing as an online bookstore, but Amazon is now selling more products. The consumer can purchase books, electronics, clothing, furniture, movies, food, toys, and much more. The company had meetings in a garage, to Barnes and Noble for future meetings. The owner wanted so much more than just an online bookstore. It seems like he wanted Amazon to be a one stop shop. Today that is exactly what it is. The online bookstore was able to put forth countless times of more what competitive bookstores or catalogs could offer because lack of inventory stock in the local store. When Amazon first came to existence, one of the first promises they made was to revolutionize retailing. However, in recent years, Amazon has...
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...in stock is astonishing, as it went from $78.50 in 1999, to $2.66 in 2013; and they are now valued at only $270 million as an international retail chain. In the last few years, they have faced stronger competition and continuously fail to target a niche market. This means that they have not established a group of people to market to, or a certain set of products in which to successfully sell them. Being in the electronics industry is always dangerous because of the varying worldwide trends they see, and RadioShack made a big mistake by attempting to meet the wants of “all” electronics customers. Instead of carefully targeting a niche market, RadioShack has attempted to offer the same products as, and compete with, global giants such as Apple, Best Buy, and Amazon. RadioShack began as a store that sold a large variety of radio equipment, accessories, spare parts, testing gear, and technician tools. With the constant change in technology and demand for it, they went away from their roots and something went terribly wrong. They decided to drop the idea of being an “old obsolete radio store” and attempted to shift into the 21st century, yet if you ask a millennial what they buy at RadioShack, the most likely answer is “nothing”. RadioShack attempted to adapt by bringing in cell phones, computers, and hi-tech consumer electronics, and kicking out old radio and broadcasting equipment. This led to the bankruptcy problem they have today because they are forced to face much larger...
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...Resources: Best Buy number one resource are their employees that have the skills and knowledge about what they sell. This makes them a service oriented company. They want to help customers realize the benefits of technology and technological changes so they could enrich their lives in a variety of ways through connectivity. p. (24-1) Capabilities: They have been very successful in a series of acquisitions. They have the ability to effectively determine where to expand. They have become a global company with acquisitions in Canada and China. They have many different markets with consumer electronics, Geek Squad Centers, Builders and Remodelers with Pacific Sales Kitchen and Bath Centers. Also acquired Speakeasy Inc. Provider of broadband, voice data and information technology services. Core Competencies: The company has the Centricity Model which was built abound a significant database of customer information, to construct a diversified portfolio of product offerings. They have also gained valuable experience in the process of integrating companies under the Best Buy family through acquisitions. And they have a talent of retaining their sales staff. Which are trained with the knowledge of all the equipment they sell. Finding of Facts #1: Available cash and long-term debt is not desirable. This is due to the acquisition of assets. (P.24-5) Recommendation: Best Buy should space out acquisitions so their available cash is not stretched so thin. It is great that...
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