...Amazon.com - Financial Analysis Case Study Introduction The bookselling industry is one of the steady growing industries which have estimated the sales of $27 billion in the year 2006. The sales of the books highly depend on different seasons. The industry has diverse customers who buy different categories of books which includes the trade books, college books, professional books, mass market paper-back books. With stiff competition across the market, the companies are strongly focusing on adopting different ways and means so as to attract more and more consumers and achieving high market share in the industry. Company overview Amazon.com is considered to be the market player in the e-commerce industry (bookselling). Amazon.com was founded by Jeff Bezos, who focused on enhancing the book shopping experience of consumers, with innovation and new ways to sell books online. One of the major players of Amazon.com is Barnes and Noble. Amazon.com started as an online bookstore that has turned into one of the largest online retailers selling items from music and movies to artwork and furniture. As the company website states “it is by design that technological innovation drives the growth of Amazon.com to offer customers more types of products, more conveniently, and at even lower prices.” In this paper you will learn the financial health of the company Amazon.com. The 9-step process written about by Professor Piper will be followed to assess how financially sound Amazon.com...
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...IT ELECTIVE (E-BUSINESS) Chapter 1 Case 1 AMAZON.COM Angeles, Catherine Marie Cabral, John Kevin Pangilin, Kristel Mae Sabater, Shenalou 1. New Jersey judge ruled that Amazon.com Inc. violated its agreement to give toy retailer Toys"R" Us Inc. the exclusive right to sell toys and baby products on Amazon's Web site. In the ruling,New Jersey Superior Court Judge Margaret Mary McVeigh said Toys "R" Us can sever theagreement it signed with Amazon in August 2000, in which it agreed to sell toys on Amazon.com'sWeb site, effectively putting Amazon in control of the Web address www.toysrus.com. The rulingpaves the way for Toys "R" Us to operate the Web site independently. Judge McVeigh deniedmonetary damages to both parties.Toys "R" Us filed suit in the New Jersey state court in May 2004 alleging Amazon breached thecontract. Amazon countersued in June 2004, alleging the toy retailer failed to keep items in stockand otherwise adhere to their agreement.The Amazon was disappointed to the judge findings they said that they strongly disagree with the judge's ruling, and they are in the process of reviewing a number of different options Regardless of the outcome and they remain committed to ensuring a great selection of toys for our customers atgreat prices. For its part the Toy R Us said that the company are preparing for the decision and iscommitted to providing customers online access to its web store. The Amazon spokesman said that the company disagrees with the suggestion...
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... Discuss the pro and cons of Amazon’s growth and diversification of business and specialization, and make recommendations about what Amazon could have done differently. Amazon.com was founded in 1994; it is one of the largest book retailers online. Amazon.com also started offering different products online as well. Amazon.com had a variety of electronics like video, furniture, toys, and selling music (Amazon.com). Besides, Amazon has a lot of websites across the nation ranging from Canada to China. Amazon also does shipping to certain countries for some of their products. The growth and diversification of Amazon.com is to have a plan for their customer’s that makes it very convenience and making sure the prices of the products is a significant price for the customer’s to order online. The pros of Amazon.com are to influence the customer’s on saving money when ordering products online. Quality of the products making sure it is in good shape before shipment goes out to the customer’s. Another pro of Amazon.com would be seeing a huge market profit: In May 2006, Amazon.com made its grocery website and nearly 1,000 non-perishable items was placed on the grocery shelves (Amazon.com) Another pro would be individuals everyday goes on the website to shop for products. It is very convenience for customers. Amazon.com privacy act is on their website for the customer’s to read either before or after their orders are purchased. Amazon has reasonable online prices for the customer’s compared...
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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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...Resources, 2009). It is the largest online electronic retailer in America (Webley, 2010). Amazon was founded in 1995 by Jeffrey Bezos’s (Amazon Global Resources, 2009) . Since Bezos opened the doors of Amazon he has defined and redefined online retailing for the rest of the Internet retail world. When the doors first opened it was from a two car garage in Bellevue, Washington (Amazon Global Resources, 2009). It was nothing more than an online bookstore; the inventory was stored in Bezos’s two car garage. It has now expanded to offer the Earth’s biggest selection of books, CDs, videos, DVDs, electronics, toys, tools, home furnishings and house wares, apparel and kitchen gadgets (Amazon Global Resources, 2009). Customers still rank Amazon.com as the best online Internet retail shopping website (Farfan, 2011). This was based on their internet shopping experiences during the 2011 holiday shopping season (Farfan, 2011). Identifying Amazon’s Mission, Vision Statement and Primary Stakeholders Mission and vision statements are written for the employees and customers. Mission statements can be one sentence or a short paragraph which describes the purpose of the business. It identifies, the companies values and principle business aims. A vision statement can also be a sentence or a short paragraph providing a broad image of the future (Farfan, 2011). Amazon’s vision and mission statement are the same, "Our vision is to be earth's most customer centric company; to build a place...
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...valueproposition to watch out for.‘It believes the main competitive factors in its market segments include ‘‘selection, price, availability,convenience, information, discovery, brand recognition, personalised services, accessibility, customer service, reliability, speed of fulfilment, ease of use and ability to adapt to changing conditions, as wellas our customers’’ overall experience and trust in transactions with us and facilitated by us on behalf of third-party sellers’.Googling Amazon will show the different propositions explained in your region.For Amazon US, the proposition is clearest – the listing in Google states: Amazon.com Books: New & used textbooks, biographies, children's Online shopping from the earth'sbiggest selection of books, magazines, music, DVDs, videos, electronics, computers, software,apparel & accessories, shoes and for books. Amazon.com: Online Shopping for Electronics, Apparel, Computers. Online shopping for millions of new and used books on thousands of topics at everyday low prices. The fulfilment proposition in different countries will revolve around the minimum order for free delivery. Discounting for different books will also vary according to their popularity. 2.Using the case study, characterise Amazon’s approach to...
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...Amazon.com - Financial Analysis Case Study Introduction The bookselling industry is one of the steady growing industries which have estimated the sales of $27 billion in the year 2006. The sales of the books highly depend on different seasons. The industry has diverse customers who buy different categories of books which includes the trade books, college books, professional books, mass market paper-back books. With stiff competition across the market, the companies are strongly focusing on adopting different ways and means so as to attract more and more consumers and achieving high market share in the industry. Company overview Amazon.com is considered to be the market player in the e-commerce industry (bookselling). Amazon.com was founded by Jeff Bezos, who focused on enhancing the book shopping experience of consumers, with innovation and new ways to sell books online. One of the major players of Amazon.com is Barnes and Noble. Amazon.com started as an online bookstore that has turned into one of the largest online retailers selling items from music and movies to artwork and furniture. As the company website states “it is by design that technological innovation drives the growth of Amazon.com to offer customers more types of products, more conveniently, and at even lower prices.” In this paper you will learn the financial health of the company Amazon.com. The 9-step process written about by Professor Piper will be followed to assess how financially sound Amazon.com...
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...Introduction Amazon.com was incorporated in 1994, and opened its site online in 1995. It offers the world’s biggest online book retailer by largest customer base over 30 million people. Besides selling books, Amazon diversifies itself by selling movies, electronics, toys, and groceries. Amazon also generates some of revenue from other marketing such as online advertising and credit card agreement. Amazon has organized systems in two segments, which are North America and International. Websites are also being individually focused for UK, Germany, France, Japan, Canada, China, and Italy. Other than those countries, Amazon also provides them internationally shipping for some products. Amazon succeeds in its online business, and gains more net incomes than some competitor on ground such as Barnes and Noble, and Borders. Amazon’s e-business strategy is a combination of products. The company started with online books then other products to gain customers in a wide range. However, offering a large product variety, Amazon has still maintained its strong brand. 1. 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. Amazon plays strategy planning on the growth and diversification which objects to provide a “One Stop Shopping” for its customers. Amazon serves customers through the website focusing on selection, price, and convenience. There are million of unique products...
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...Amazon.com was set up in 1994 and was open to the public in July 1995. Being one of the first ecommerce portals, it practically invented the online distribution model. Although Jeff Bezos never owned any physical shop, he intended to compete with established players like Barnes & Nobles. Amazon was a start-up on one hand and Barnes & Nobles was a century old store chain headquartered in 5th Avenue in New York. They are a book retail store giant and are in business for over 100 years, with a huge amount of capital at its disposal. Amazon followed a model where its tries to charge the lowest possible price for any particular product, unlike many, who try to charge the highest possible price. Being a new online only store back in 1995, when the internet was not mature and the whole concept of online shopping was new, it was important for them to make it an attractive option, given that for most customers, it would be hard for them to put their trust in it, having to pay first and get the product later. Amazon, originally an online bookstore, later diversified into selling other items. Being a fresh start-up company, it did not have a brand image to maintain which stores like Barnes & Nobles or Borders had to deal with. Today amazon sells almost everything except for perhaps military supplies making it a one stop destination for online shoppers. The majority of the sales are still generated from the Books, CD/DVD and videos. One of the key factors which have propelled...
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...Amazon.com - Financial Analysis Case Study Introduction The bookselling industry is one of the steady growing industries which have estimated the sales of $27 billion in the year 2006. The sales of the books highly depend on different seasons. The industry has diverse customers who buy different categories of books which includes the trade books, college books, professional books, mass market paper-back books. With stiff competition across the market, the companies are strongly focusing on adopting different ways and means so as to attract more and more consumers and achieving high market share in the industry. Company overview Amazon.com is considered to be the market player in the e-commerce industry (bookselling). Amazon.com was founded by Jeff Bezos, who focused on enhancing the book shopping experience of consumers, with innovation and new ways to sell books online. One of the major players of Amazon.com is Barnes and Noble. Amazon.com started as an online bookstore that has turned into one of the largest online retailers selling items from music and movies to artwork and furniture. As the company website states “it is by design that technological innovation drives the growth of Amazon.com to offer customers more types of products, more conveniently, and at even lower prices.” In this paper you will learn the financial health of the company Amazon.com. The 9-step process written about by Professor Piper will be followed to assess how financially sound Amazon.com...
Words: 2907 - Pages: 12
...The Evolution of Amazon.com Between 1995 and 2006, Amazon.com sold its first book and branched out into serving seven countries with fulfillment centers totaling more than nine million square feet of warehouse space (Layton, 2006.) Amazon.com started out with the idea of revolutionizing retail shopping as the world knows it. However, over time, Amazon.com has begun to move away from their original strategy by implementing new programs and services. The people behind Amazon.com are hoping that these new programs and services will help them compete with the biggest names in the industry, such as Google and Microsoft. In this paper we will discuss why Amazon.com is moving away from its original strategy, discuss areas in which Amazon.com is competing with other top companies, address issues with the database, and describe how Amazon.com uses e-business and e-commerce for business to business (B2B) and business to consumer (B2C) transactions. Amazon.com is not moving away from its core competency of being a leading online retailer; they are simply competing with a business strategy to survive. Stretching their wings by evolving into bigger and better services for their consumers is one way to keep up and compete with Google and Microsoft. Amazon’s make-to-order strategy of producing customized products and services is a business strategy to keep them amongst the leaders in online retailing. Their goal is simple, “To be Earth's most customer-centric company where people can...
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...Myra B. Robles AMAZON.COM – WEBSITE AND AN ONLINE MARKET Amazon.com History Amazon.com is a Fortune 500 e-commerce company based in Seattle, WA. Amazon was one of the first big companies to sell goods over the Internet. The company was founded by Jeff Bezos in 1994, and launched in 1995. They started out as an online bookstore and then quickly diversified by adding other items, such as VHS tapes and DVDs, music CDs, software, video games, electronics, MP3s, clothing, furniture, toys and even food items. In 1999 Time Magazine named Bezos its 1999 Person of the Year. This was largely in recognition of the company's success in popularizing online shopping. Amazon.com Company Culture Amazon.com considers itself a completely customer centric company, which is reflected in their company values statement: * Customer Obsession: We start with the customer and work backwards. * Innovation: If you don't listen to your customers you will fail. But if you only listen to your customers you will also fail. * Bias for Action: We live in a time of unheralded revolution and insurmountable opportunity--provided we make every minute count. * Ownership: Ownership matters when you're building a great company. Owners think long-term, plead passionately for their projects and ideas, and are empowered to respectfully challenge decisions. * High Hiring Bar: When making a hiring decision we ask ourselves: "Will I admire this person? Will I learn from this person? Is this person...
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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 Evolution Amazon starts as a book distributor that is currently competing with a number of Internet companies throughout the world. CEO, Jeff Bezos, has a vision of Amazon.com being a place where anything, can be located on the website. Amazon is gaining significant ground in its ambition to take over the entire e-commerce e-tailing sector, according to the recent successes. Since 1996, the company has taken the lead, introducing venues for electronic shopping (Pearlson, Saunders 2005). Amazon.com is the largest online retailers in the world, Amazon develops it core competency by striving with the competition. In order for Amazon.com to remain the leading online retail, it is essential to expand the vision of the company. As the customers grow, the customer’s needs expand and the availability of product and services. To augment the number the number of shoppers that use its site, Amazon.com created a program, which awards other sites a percentage of a sale when customers are link to them from another site to make a suggested purchase. Competition is increasing with other websites becoming the favored first stop on the Web. Google has taken the place of such retail sites as Amazon, the resource used by a number of people to start their shopping. Amazon services thousands of companies. Whether Amazon services will contribute to the company’s bottom line is still unknown. Amazon is in direct competition with Google to create a Web-based, worldwide computing platform...
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...Amazon is a global leader in ecommerce. Since 1995, they have significantly expanded their product offering, international sites, and worldwide network of fulfillment and customer service. Their technological innovation drives the growth of Amazon, offering its customers more products at lower prices. Large name retailers work with Amazon Services to power their e-commerce offerings from end-to-end including: technology services; merchandising; customer service and order fulfillment. Its web service is called Elastic Compute Cloud. In addition, independent software developers also derive value from the platform, through Amazon Web Services by building profitable applications and services that cater to Amazon customers and sellers which puts it in direct competition with both Google and Microsoft. When you search the Google search engine or one of more than 150 other Google domains, you can find information in many different languages. Also, you can check quotes, maps, patents and much more. As a business, Google generates the majority of its revenue by offering advertiser, measurable, cost-effective and highly relevant advertising, so that the ads are useful to the people who see them as well as to the advertisers who run them. Its web service is called Google Apps Engine. The Microsoft’s Azure platform offer’s a flexible, familiar environment for developers to create cloud application and services. With Windows Azure, you can shorten you time to market and adapt as demand...
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