Amazon.Com: an E-Commerce Retailer
Amazon.com: An E-Commerce Retailer
A case report prepared for Professor Stroud
MG 495/DLD Business Policy
Fall I 2011
August 21, 2011
THE WALT DISNEY COMPANY CORPORATE STRATEGY
I. INTRODUCTION
A. Executive Summary
1. Summary statement of the problem: Considered to be the premier online retailers in the word, Amazon.com has had a short life (founded in 1994) but can be proud of the strides it has made. Jeff Bezos, founder of Amazon.com, had an idea that was rejected by his former employer. Bezos decided to take his idea and found a new type of company, one that could withstand the test of time. Bezos was future-thinking when he founded the company because at that time very few households had access to the internet. Despite changing markets and inconsistent profits, Amazon.com has been profitable because the company has been able to differentiate itself from the competition (Collins, Mockler and Gartenfeld, p.8).
2. Summary statement of the recommended solution: The obstacles that Amazon.com has faced in past years seem to have been addressed by the company very quickly. Amazon.com’s overall business theme has been “to get big fast, at all costs” (Collins, Mockler and Gartenfeld, p.3). The business strategy of Amazon.com’s management has shown a tremendous amount of flexibility which has afforded the company the ability to adapt and overcome each issue that they have faced. A few of the issues Amazon is facing in the future is fraudulent sellers and sales tax concerns. The company is also facing pressure from the stockholders to produce consistent operating profits and provide a stable business model that would prove that they are financially stable over the long-term. Amazon.com needs to prove that they can survive and prosper against growing and aggressive competition.
B. The Situation Amazon.com was founded in 1994 when founder, Jeff Bezos left his job at D.E. Shaw to pursue his idea to provide products and services to
A case report prepared for Professor Stroud
MG 495/DLD Business Policy
Fall I 2011
August 21, 2011
THE WALT DISNEY COMPANY CORPORATE STRATEGY
I. INTRODUCTION
A. Executive Summary
1. Summary statement of the problem: Considered to be the premier online retailers in the word, Amazon.com has had a short life (founded in 1994) but can be proud of the strides it has made. Jeff Bezos, founder of Amazon.com, had an idea that was rejected by his former employer. Bezos decided to take his idea and found a new type of company, one that could withstand the test of time. Bezos was future-thinking when he founded the company because at that time very few households had access to the internet. Despite changing markets and inconsistent profits, Amazon.com has been profitable because the company has been able to differentiate itself from the competition (Collins, Mockler and Gartenfeld, p.8).
2. Summary statement of the recommended solution: The obstacles that Amazon.com has faced in past years seem to have been addressed by the company very quickly. Amazon.com’s overall business theme has been “to get big fast, at all costs” (Collins, Mockler and Gartenfeld, p.3). The business strategy of Amazon.com’s management has shown a tremendous amount of flexibility which has afforded the company the ability to adapt and overcome each issue that they have faced. A few of the issues Amazon is facing in the future is fraudulent sellers and sales tax concerns. The company is also facing pressure from the stockholders to produce consistent operating profits and provide a stable business model that would prove that they are financially stable over the long-term. Amazon.com needs to prove that they can survive and prosper against growing and aggressive competition.
B. The Situation Amazon.com was founded in 1994 when founder, Jeff Bezos left his job at D.E. Shaw to pursue his idea to provide products and services to
Cited: Collins, Patrick, Robert Mockler and Marc Gartenfeld. "Strategic management and business policy." Park University, 2003. Data-Mining-Guide.net. Guide to Data Mining. 2005. 21 August 2011 . merchantaccounts.cn. Problems that Come with Online Business. 2004-2011. 21 August 2011 . Wheelen, Thomas L and J David Hunger. Strategic Management and Business Policy. Upper Saddle River: Pearson Education, Inc, 2010.