Running head: AMAZON.COM’s E-BUSINESS MODEL

AMAZON.COM’S E-BUSINESS MODEL
Y. A. ARIYO
STRAYER UNIVERSITY,
COURSE: BUS508001011*201103
01/24/2011

Abstract
Over the years, it has become imperative for an entrepreneur to continually seek ways to stay competitive in any market. In the twenty first century, a very important way to achieve this is by use of e-business; doing business via the internet. This report taps into the influencing factors of the e-business model and business plan that helped maintain Amazon.com’s competitive edge and propelled it to becoming the largest online bookseller and retailer. Keywords: Amazon.com, business plan, E-Business Model

Amazon.com’s E-Business Model In determining whether or not Amazon.com has lost its identity, my approach will involve reviewing and comparing Amazon’s web site purpose with other competition websites, using Appendix Table 1. I will also be comparing site’s objectives with the general business plan outlined in the 2009 Amazon.com Annual Report which states:-
“Amazon.com opened its virtual doors on the World Wide Web in July 1995 and offers Earth’s Biggest Selection. We seek to be Earth’s most customer-centric company for three primary customer sets: consumers, sellers, and developers. In addition, we generate revenue through co-branded credit card agreements and other marketing and promotional services, such as online advertising” (p. 3).
Functionality and Design
From its inception, Amazon.com had a business model and intention to sell a vast array of goods and services. While its initial products were books, Amazon.com’s model had poised itself to quickly adjust and jump into other new, booming, and demanding markets. Table 1 shows the web site clearly follows this business model such that the list of goods and services offered are immediately seen at the top left side of the