Amazon.com is a publicly traded worldwide online retail company founded by Jeff Bezos on July 5, 1995 in Seattle, Washington. The company originally began as an online bookstore as Bezos felt there was a high demand for literature, and books had a low price point and a huge selection of titles available in print. Technological innovation drives the growth of Amazon.com to offer customers more types of products, more conveniently and at lower prices. Since 1995, Amazon has significantly expanded its product selection, international retail websites, and worldwide network of fulfillment and customer service centers. Today, Amazon retail websites offer everything from toys and video games to MP3 downloads and collectible items (amazon.com, 2014). Amazons business model is fairly simple; to sell various products and goods online at an affordable cost to consumers. Amazon has managed to not only achieve this business model but they have also managed to consistently expand and become the largest online retailer to date. To keep up with global demand, Amazon had to expand its products and services offered while continuing to forecast consumer’s needs. “In 2000, Amazon.com began to offer its best-of-breed e-commerce platform to other retailers and to individual sellers. Today, hundreds of thousands of world-class retail brands and individual sellers increase their sales and reach new customers by leveraging the power of the Amazon.com e-commerce platform. Partners work with Amazon Services to power their e-commerce offerings from end-to-end, including technology services, merchandising, customer service, and order fulfillment. Other branded merchants leverage Amazon.com as an incremental sales channel for their new merchandise. Over 2 million third-party sellers participate in Amazon where they offer new, used, and…
References: Amazon.com builds on themes of Growth, Leadership, and Profitability: (2009), Online Article, Retrieved 09Dec12, from http://www.techrepublic.com…
Founded in 1995 by Jeff Bezos, Amazon.com has become one of the largest known online stores in the world. In 1995, Amazon.com sold its first book online, which was shipped from Bezos’s garage in Bellevue, Washington (Amazon.com Mission Statement, 2012). Many may not know that Amazon.com had a slow start because their online layout was not appealing. Within a few years Bezos attracted a few investors who took interest in his venture and invested approximately $140,000. Bezos decided to use the money to create a more appealing website to attract more customers. The sales for the next three years surpassed Bezos’s expectations. After analyzing the sales data, he found that people were not only purchasing domestically, but also from around the world. Amazon.com has grown from a small company to a worldwide business in just a few short years. This rapid growth requires a company to reevaluate how it does business if it plans to expand or maintain its marketplace for the future.…
Throughout the last decade, Amazon has become one of the most sustainable companies within its industry. One of the major reasons that Amazon has been able to achieve a long term competitive advantage is by offering superior pricing power, capitalizing on a large market share and creating a well-known brand name. Through these achievements Amazon has been able to produce long term advantages that have made it difficult for other companies to duplicate. Amazon has an elite status within itself, throughout out the past decade it has both surpassed bench marks and created new ones. Amazon has set the bar so high that it would be extremely difficult for a company to reproduce their success. Amazon was first developed when e-commerce was in an infancy stage. This gave Amazon the opportunity to create and expand on the platform that we know today. It would prove to be very difficult if a similar firm were to try and duplicate the same success as Amazon. A similar firm would need to develop the credibility and reputation that Amazon has taken years to develop. Then it would need to establish a large client base that can bring together both buyers and sellers.…
Amazon is an online based selling business. Amazon.com sells thousands of items ranging from clothing, beauty products, books, electronic, plus so much more (“Essortment”, 2011). Amazon was founded by Jeff Bezos in 1994, focusing on the selling of books (“Essortment”, 2011). Following the creation of Amazon investors took interest, putting money into website design and expanding the range of items sold (“Essortment”, 2011). The decision to sell a variety of items brought success but in 2001 revenue had dropped and employees were being laid off (“Essortment”, 2011). Bezos, the original founder, came up with the idea of recruiting companies to sell their products through the Amazon website, this move generated the needed sales to get Amazon back on its feet and generate profits for all companies involved (“Essortment”, 2011).…
Amazon.com till date has gone through many ups and downs. It has been registered as the largest customer base with yearly sales of billions of dollars. Now Amazon.com offers very wide variety of products. Anyone can buy any products of almost any brand. Their company went through a tough time in between when they were trying to compete with competitors like Wal-Mart and eBay. But they were able to come out of it but improving their services according to customer experiences. They improved on their strengths and worked on weaknesses so as to make the customers experience more enjoyable and interesting.…
The greatest challenge for the company came in 1995, when Bezos needed money to launch his company. He needed $1 million to keep the company running for at least 2 years. It was very challenging because he needed the whole $1 million at once. According to him, this was a time when the company could have collapsed even before it got started. It was difficult for investors to fund his idea because they were skeptical about the potential of the internet. Ultimately, he managed to raise the whole amount from about 20 angel investors. Another challenge was convincing people to buy products via the internet when they could make a special order from retailers and get the product at their door step. In addition, every retailer streamed online (Drexler, 2007). Because of the competition, the company's market capital dropped from $32.1 billion to $8.9 billion in six years. Some people even called it "Amazon.org" because it seemed like a non-profit company.…
On one hand, he identified book retailing as an industry segment that could exploit the power of emerging Internet technologies and found the Amazon.com, which enjoyed several years of tremendous growth, from an online bookstore into an online superstore, expanding the online business from retailing to auctions and marketplaces. He propelled the company through the dot com crash by partnering with traditional retailers and on to being a highly profitable online retailer.…
An effective supply chain strategy makes the company is able to respond high level of responsiveness. Amazon balances between cost of distributions and level of services by having the efficient distribution centres and multi-tier inventory networks.…
The company was founded in 1994 by Jeffery P. Bezos. In the early years of Amazon they were mostly known for selling books. The idea behind it was that traditional brick-and-mortar stores could not hold more than a few hundred thousand books, whereas Amazon being an online store could hold an infinite amount of books (“History of amazon.com,”). Since its early days of being an online book store Amazon as grown to become a fortune 500 company with a global reach. Amazon operates in over 10 countries worldwide with over 88,000 employees (“Inside amazon,”). Amazon is one of the most visited sites in the world, with over 500,000,000 monthly visitors, and over 100 million active members (“Top 15 most popular websites”, 2014).…
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.[15] 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.…
In the immortal words from a Grateful Dead Song from the 1980’s, “What a long, strange trip it’s been” for Jeff Bezos and Amazon.com. Mr. Bezos decided in 1994 to leave his lucrative position as a Senior Vice President at D.E. Shaw, a Wall Street Investment Bank firm and move to Seattle, WA with an idea to make money from the burgeoning idea of the internet and selling products over the internet. He had read that internet usage was growing at 2,300 per cent per year, and he was confident that this was his opportunity to make his million. Mr. Bezos hit upon books – with over 3 million in print at any one time, he knew that no physical bookstore could stock more than a fraction of that number. His idea then of a virtual bookstore that could offer a much greater selection and compete comfortably on price because there were less overhead costs, made sense to him. He also saw that the dynamics of book publishing were also favorable. He knew that there were over 2,500 publishers in the United States and the two largest retailers, Barnes and Noble and…
Amazon began in 1994 created by Jeffrey Bezos a computer science and electrical engineering graduate from Princeton University. Amazon was created to be an online bookstore that would be customer friendly, be easy to navigate, provide buying advice, and offer the broadcast possible selection of books at low prices and submit product reviews. Bezo operated from his garage in Seattle. Bezo launched his online venture in 1995 with 7 million in borrowed capital. Because Amazon was one of the first major Internet or dot com retailers, it received a huge amount of free national publicity, and the new venture quickly attracted more and more book buyers. Amazon has a 200,000-square-foot warehouse and distribution center. Amazon employed a relatively small number of workers about 2500 worldwide. Amzon employees own over 10% of their company, a factor behind Amazon.com’s rapid growth. Amazon has pizza teams that are given considerable autonomy to develop their ideas and experiment without interference from managers. Those pizza teams come up with most of the innovation.…
Amazon was established in 1995 by a certain Jeff Bezos. The company was established with an objective of using internet to transform book buying into a faster, easier and better shopping experience. It started with a selection of 1 million titles to finally claim the title of the earth’s biggest book store. The strategy used by Amazon was to maintain modest amount of inventory and highly rely on the wholesalers for source of vast selection. Amazon placed an order with its wholesalers as soon as it got orders from customers eventually to set up direct accounts with the publishers.…
Two factors accounting for 15% of the internal matrix were management. One of Amazon's greatest strengths is its management team. Amazon set out from the very beginning to hire the best…