...Answer each question in one to two paragraphs. 1. What are the major differences between pure play e-commerce and bricks-and-clicks operations? What are the benefits and limitations of each? (5 marks) Pure play e-commerce is when companies only have web presence and no stores, it saves the companies from spending on expensive commercial property needed to built a store, the downside is that they might not already have the money to start the website. Bricks and clicks is when the company has physical presence in form of store or stores and also a website. 2. One of the key motivations for developing an e-commerce site is immediate access to a much larger market. Explain why an increased market reach may have benefits, and describe its limitations. (5 marks) A much larger market has numerous benefits because it can give a sudden boost to sales as a lot more people have access to the goods sold by the site. The limitations can be when the the company cannot keep up with the orders or when due to limited warehouses delivery takes a lot of time, leaving the customers unhappy. 3. What are the three most important mediation issues in e-commerce? Give an example of each. (5 marks) 4. What are the key factors that determine e-commerce success? What factors determine its failure? (5 marks) Some of the key factors that determine an e-commerce success are- requirement of a niche market, a good layout for the website which is intuitive...
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...Diversification in E- Commerce [pic] Diana Reyes – 27828 Introduction Economies of scope and synergies in business operations are consequences of diversification strategies. It is possible to classify companies according to the type of diversification strategy selected. Unrelated diversifiers are companies that diversify across industry, while related diversifiers are firms that diversify within the industry (Kim, Hwang and Burgers 1989). Companies pursuing related diversification over a period of time have achieved superior performance than companies following an unrelated diversification (Palepu 1985). Amazon has started its business by selling books and music, soon after it incorporated online auctions for airlines tickets and hotel rooms, computer hardware, pet food and pet accessories, electronic cards, toys and consumer electronics. Whereas Amazon has achieved very high volume of sales and gained important market shares in the book industry, the company has never been profitable. As a result, in this essay, in order to determine if Amazon’s decision to diversify so extensively was a wise decision, we will firstly describe the firm business model and the reasons for its success. We will then try to determine if this business model is applicable to Amazon’s diversification strategy as well as the limit of diversification. And finally we will try to evaluate the limit of such strategy in an international context. ...
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...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 wide range of products thereby making itself distinct...
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...originally named Cadabra Inc. They found that the name was often negatively mistaken as “Cadaver.” The name Amazon was adopted soon after because the Amazon River is the largest in the world, and the letter “A” would help the company to show up at the top of alphabetical lists. Amazon, since its release in 1995, has become one of the Fortune 500 e-commerce company (btmaushart.iweb, 2014). In the business world, Amazon is currently the largest online retailer in the world. It manufactures consumer electronics, most widely known is the Amazon Kindle e-book reader, and has an extensive cloud computing service. Amazon’s start-up was initially only an online bookstore, giving Amazon an advantage of having more and readily available books than any long-established brick-and-mortar book store. By the last 1990’s, Amazon’s success had enabled an expansion from an online bookstore to a wide variety of other products including, but not limited to: CDs, videos, DVDs, electronics, toys, tools, home furnishings, and more. In addition to those products from Amazon, Amazon also sells products from well-known retailers through intermediaries’ agreements. Among those retailers are Toysrus.com Inc., Target Corporation, and Circuit City Stores Inc (FundingUniverse.com, 2014). Amazon takes on a face of a company that came out of nowhere and took over the internet in terms of e-commerce. Amazon has customized the way people can buy things online and continues to come up with new technology and obtain...
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...Conclusion Amazon is a revolutionary e-marketplace that is both world-renowned and extremely efficient. Amazon has gone from a small company run out of a garage, to a Fortune 100 company run all over the world. Amazon fulfills their mission statement every day by being a customer-centric company that offers over 200 million products at the lowest prices possible. Amazon is a very Background image of page 3 innovative company that creates and manufactures many products. They are always expanding and trying to create new ways to make their company and the lives of their customers better. Amazon’s biggest competition as an e-marketplace is eBay. Amazon currently leads this market by having a more organized, effective, professional, and easy to use website. Furthermore, Amazon’s brand personality is that they are a fast, friendly, innovative company that can be trusted. All of these traits make Amazon the website where most customers choose to do their shopping. Also, Amazon makes their customers their top priority and successfully appeals to their values, knowledge, and interests. Amazon’s two loyalty programs of Amazon Prime and Amazon Visa Rewards Card provide many benefits to their members and make shopping on their website quick and easy. Overall, Amazon has developed into one of the most important and successful companies in the world today. Background image of page 4 Porter’s Five Forces analysis In order to get a broader picture of the competitive structure of Amazon...
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...E-Commerce Project Liberty University Online Busi-424 Since the early 1995 when commercial use of the web began to take off, E-commerce has transformed and impacted the way the businesses and consumers shop forever. Before the rise of E-commerce the only way to buy and purchase products was through your standard brick and mortar store and if you wanted to order products that were not available at that moment you would need to sift through a large catalog or directory. If you ordered through that you would send in the order item # along with basic contact information in mail and then came the long wait of receiving your product in the mail to your home or business. It all sounds really cumbersome, time consuming and inconvenient when compared to today’s current trends of ordering products. E-commerce has paved the way for people and businesses to shop easily, faster and more efficiently than was ever thought possible. Even though E-commerce is a relatively young industry with beginnings that point to only as far back as the 1970s, data has suggested that over the next few years some categories of E-commerce is expected to grow about 14% annually through 2017 while traditional retail sales are expected to only grow about 4% annually through that same time frame (Laudon and Traver, p. 27). There are four major types of E-commerce categories that are utilized daily. They include Business-To-Consumer (B2C), Business-To-Business (B2B), Consumer-to-Consumer (C2C) and Mobile...
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...Amazon Evolution Paper Amazon .com is one of the largest online retailers. In recent years, Amazon has shown its intention to broaden its core competency to become a more diverse online retailer by adding computing and storage services to its product base. In this paper the team will address whether Amazon’s strategy is a good one. The team will also describe how Amazon uses each component of a database, review the data management issues encountered by Amazon, share how Amazon addresses the relationship between data, information, and knowledge and lastly, describe how Amazon uses both e-business and e-Commerce for B2B and B2C. The components of a database and how Amazon uses each. Databases are comprised of four different aspects – tables, forms, queries, and reports. Tables are a group of rows and columns that make up the entire database. They are made of information can be “entered, edited, stored, and reviewed” (Mickey, 2005). Amazon uses tables to keep records of users and sales. For example, Amazon would use tables to keep records of a user’s credit card number, address, and age, as well as a record of purchases and sales made by that user. This information would be kept in the Amazon’s database track what kinds of purchases and sales the user makes, and to deliver the products to the user. Forms are used to “enter, view, and edit data” (Mickey, 2005). According to Chris Cruikshank (1999) “The form should have some form of validation so that the user...
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...Amazon is one of the few doc companies that managed to ride the wave of the doc.com bust and transformed itself from being on the brink of bankruptcy to a success. Amazon is a global leader in online-retail. From its birth in 1994 to 2000, Amazon.com implemented a number of changes to its business strategy in attempt to stay on top of the e-commerce industry. Amazon.com started in 1994 as a simple online book retailer. Under this initial strategy, Amazon was receiving all of its revenue from its book sales (sales revenue model), and was popular because it was the first online retailer to do so. Before the dot-com bust, amazon has gradually changing its business model from a simple online retail bookstore into an online superstore offering books, music, videos, toys, video games, consumer electrics, software and a full line of kitchen and home improvement products. In 2000, through a series of equity partnerships with leading online retailers, Amazon has expanded its marketplace model. Despite the company’s success in expanding and its growing popularity, Amazon faces a serious challenge of generating profits. One challenge was to achieve profitability before cash ran out and operations would have to cease or go bankrupt. Another more serious challenge is wheter the business model could develop into a competitive advantage that would be difficult to imitate by the competition. I would definitely partner with more non dot-come companies and entering more deals like this...
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...E-Commerce Assignment #1 Ecommerce Assignment # 1 Part A Short Answer Questions 1) Pure Play e-commerce is when all the product/service sold, the process of obtaining product/service, and the delivery method of obtaining product or service is all digital. An example of pure play e-commerce is when purchasing an e-book online through Amazon, the product, payment and delivery are all obtained through digital. Whereas “bricks and clicks” companies, do some of their business activity online, but not all. An example of this is ordering a computer online, from Dell, the order and payment is completed online, but the complete business transaction is not complete until the computer has been shipped to the consumer’s homes. The benefits of pure play e-commerce, is the fact that the consumer can instantly own the product or service, there is not wait period. The limitations to pure play is that not all products and services can be accessed through digital ways, the internet has restrictions, for example online shopping for shoes can only be done so much though the internet, the physical product still has to be sent through the mail. Another restriction is the consumer sometimes will want to see the physical product or service before purchasing, and pure play cannot accommodate this need. Bricks and clicks method allows the consumer the power of purchasing the product from the convenience of their homes, while having the product shipped to their household. The problem with...
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...Global e-Business Assignment One The Assessment of the Amazon.com Ji Li Student ID: 13087096 7BSP1172 Global e-Business Module Tutor: Hajrë Hyseni 2nd April 2014 [Word Count 2123] 1 Table of Contents Chapter 1: Introduction ..................................................................................................... 3 Chapter 2: Findings ............................................................................................................ 4 2.1 The e-Commerce Industry ................................................................................................... 4 2.2 Evaluation of the Website .................................................................................................... 4 2.2.1 Entry ................................................................................................................................................... 4 2.2.2 Browsing ........................................................................................................................................... 5 2.2.3 Basket & Checkout ........................................................................................................................ 6 2.1.3 Engage ............................................................................................................................................... 6 2.3 Fulfillment .........
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...Kunchok Wangmo Amazon Business Model Due date- March 17,2013 Amazon.com, Inc. is a multinational electronic commerce company, initially started off as an online bookstore, but soon diversified, selling DVDs, CDs, MP3 downloads, software, video games, electronics, apparel, furniture, food, toys, and jewelry. An American entrepreneur named Jeffrey Preston Bezos founded it in 1994. It has employees over or around 28,300. It is the global leader in e-commerce. It is mostly known for its wide range of products, and has a worldwide network of fulfillment. Amazon’s mission statement is “to leverage technology and the expertise of our invaluable employees to provide our customers with the best shopping experience on the Internet”. The company’s vision is to be earth’s most customer centric company; to build a place where people can come to find and discover anything they might want to buy online. Because of such mission statement and vision, the company’s values are customer obsession, innovation, bias of action, ownership, high hiring bar and frugality. I have been a amazon user for almost five years and one of the biggest advantage of shopping in amazon, is that they offer low price products everyday and its not just on some specific products, they apply low price on the entire product range. I am aware that Amazon.com Inc. invests in a lot new businesses and new product, like Zappos and imbd, by spending money on brand awareness and getting new customers. So basically Amazon.com Inc...
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...Ⅰ. Introduction A. What is amazon? Amazon is an American electronic commerce company with headquarters in Seattle, Washington. It is the largest Internet-based retailer in the United States.[12] Amazon.com started as an online bookstore, but soon diversified, selling DVDs, VHSs, CDs, video and MP3 downloads/streaming, software, video games, electronics, apparel, furniture, food, toys, and jewelry. The company also produces consumer electronics—notably, Amazon Kindle e-book readers, Fire tablets, Fire TV and Fire Phone — and is a major provider of cloud computing services. Amazon also sells certain low-end products like USB cables under its inhouse brand AmazonBasics. Amazon has separate retail websites for United States, United Kingdom &Ireland, France, Canada, Germany, The Netherlands, Italy, Spain, Australia, Brazil, Japan, China, India and Mexico. B. History of Amazon The company was founded in 1994, spurred by what Bezos called his "regret minimization framework", which described his efforts to fend off any regrets for not participating sooner in the Internet business boom during that time.[16] In 1994, Bezos left his employment as vice-president of D. E. Shaw &Co., a Wall Street firm, and moved to Seattle. He began to work on a business plan for what would eventually become Amazon.com. Jeff Bezos incorporated the company as "Cadabra" on July 5, 1994[11] and the site went online as Amazon.com in 1995.[17] Bezos changed the name cadabra.com to amazon.com because...
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...Differentiation and Two Part Pricing Strategy of Amazon By: Sonal Uban Amazon.com is an American international e-commerce company headquartered in Seattle, Washington. It is the world's largest online retailer[1] that started as an online bookstore, but soon diversified, selling furniture, food, toys, and jewelry among other things. [2] The company also produces the popular Kindle e-book reader and the Kindle Fire tablet computer—and is a major provider of cloud computing services. [3] Amazon is considered the fourth most successful startup company of all time by market capitalization, revenue, growth and cultural impact.[4] Amazon’s e-commerce strategy is multi-level. In its annual summary, Amazon stresses that “It believes the main competitive factors in its market segments include selection, price, availability, convenience, information, discovery, brand recognition, personalized services, accessibility, customer service, reliability, speed of fulfillment, ease of use, and ability to adapt to changing conditions, as well as our customers’ overall experience and trust in transactions with us and facilitated by us on behalf of third-party sellers”. [5] The key to realizing and achieving all these factors lie in Amazons strategy. This paper will explore how Amazon is employing price discrimination and two- part pricing system as its strategy to realize its goals on profit. Background In order to maximize their revenue, Amazon has to first learn about the reservation...
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...Amazon E-Commerce Evaluation and Recommendations Estevan Pena Devry University E-Commerce for Small Business Introduction Amazon is E-commerce Company, Amazon got its start as an online bookstore, but as the industry evolved so did Amazon. Amazon has become one of the largest online retailers now selling a variety of products including electronics, DVDs, CDs, video games, clothing, and general merchandise in the world. Today Amazon.com is the largest Internet-based company in the United States. Founded by Jeff Bezos in 1994 was the release of the first online bookstore, Amazon.com Inc. revolutionized the industry. Amazon’s initial entry into the book industry was a bold and strategic move competing with traditional Brick and Mortar stores such as Barnes & Noble Inc. and Borders Group Inc. When Amazon.com began moving from just books into a larger variety of products like CDs, video games, electronics it did not take long for them to be in completion with the larger more dominant players in their perspective markets. Amazon is a prime example of a company that started of small and became a dominant force due to smart investments and a strong business model. When it comes to the online market, which many would consider the future, Amazon has left a considerable amount of its competitors in the dust as it pertains to sales and it continues to grow and evolve, Company Evaluation Type of Company Before Amazon.com sold its first book in July of 1995 the world had...
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