Amazon vs Wallmart
Amazon vs Wallm
Amazon vs. Walmart Alexandra Tikhonkikh Professor N. Kentish Metropolitan College of New York
The case study Amazon vs. Walmart is illustrated several concepts, which was described in the chapter. One of them is a sales Revenue Model where companies get revenue by selling goods, information, or services to customers. Like Amazon.com which sells books, music, and other products. Another one is e-tailer model. It is close to the typical bricks-and-mortar storefront, except that customers only need to connect to the Internet to check their items and place an order. The value scheme of e-tailers is to provide convenient, low-cost shopping 24/7, offering large assortments and consumer choice. Some e-tailers, such as Walmart.com, indicated to as “bricks-and-clicks,” are divisions of existing physical stores and have the same products. Others, however, exist only in the virtual world, without any ties to physical locations like Amazon.com. Before we going to analyze Amazon and Walmart.com using the value chain and competitive forces models, we suppose to describe these two concepts. Business Value Chain Model include: 1) views firms as series of activities that add value to products or services, 2) highlights activities, 3) primary activities vs. secondary activities, 4) regulate how information systems could advance customer and supplier disintermediation at each step of development, 5) utilize benchmarking. Michael Porter’s competitive forces model provides general view of firm, its competitors, and environment. It also substitutes products and services. The model include customers and suppliers, moreover, it contains traditional competitors and new market entrants. Besides, five competitive forces shape fate of firm.
Amazon vs. Walmart Alexandra Tikhonkikh Professor N. Kentish Metropolitan College of New York
The case study Amazon vs. Walmart is illustrated several concepts, which was described in the chapter. One of them is a sales Revenue Model where companies get revenue by selling goods, information, or services to customers. Like Amazon.com which sells books, music, and other products. Another one is e-tailer model. It is close to the typical bricks-and-mortar storefront, except that customers only need to connect to the Internet to check their items and place an order. The value scheme of e-tailers is to provide convenient, low-cost shopping 24/7, offering large assortments and consumer choice. Some e-tailers, such as Walmart.com, indicated to as “bricks-and-clicks,” are divisions of existing physical stores and have the same products. Others, however, exist only in the virtual world, without any ties to physical locations like Amazon.com. Before we going to analyze Amazon and Walmart.com using the value chain and competitive forces models, we suppose to describe these two concepts. Business Value Chain Model include: 1) views firms as series of activities that add value to products or services, 2) highlights activities, 3) primary activities vs. secondary activities, 4) regulate how information systems could advance customer and supplier disintermediation at each step of development, 5) utilize benchmarking. Michael Porter’s competitive forces model provides general view of firm, its competitors, and environment. It also substitutes products and services. The model include customers and suppliers, moreover, it contains traditional competitors and new market entrants. Besides, five competitive forces shape fate of firm.
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