In 1995, Jeff Bezos launched Amazon.com. Today, Amazon is a Fortune 500 ecommerce company and the largest online retailer in the United States. Amazon.com has become well known as a company that enables sellers to sell their products on its website as well as their own branded websites and to fulfill orders through them. Amazon introduced the Kindle
Fire HDX in 2007 with an Android operating system, access to their own media and ecommerce services and low pricing for the Kindle device. Features such as the 7 inch screen helped the demand of the product.The Kindle line has shown wild success, Bezos will once again try to revolutionize the online retailer industry with the release of the Kindle Fire, which will attempt to do with all of Amazon’s digital media what the original Kindle did with eBooks.
Today, most people are familiar with the Amazon Marketplace, a place where buyers and sellers could interact and exchange a variety of goods. Such a forum led to the development of one of Amazon’s greatest strengths: network effects, which helped to establish the Amazon brand. The huge number of interactions let Amazon establish customized consumer suggestions, and led to the creation of the loyalty program Amazon Prime, which offers deals on shipping and other perks. Because of these efforts, Amazon has over 75 million customer accounts today.1
Amazon continues to service consumers through its retail website, and focus on selection, price, and convenience as they have one of the least expensive products on the market.
Problem/Situation Alex
Amazon’s Kindle was a huge success, selling over 30 million units in five years. It changed the ebook market. In 2010 profit margins began to decrease due to other ebook competitors, more powerful mobile phones, and the new innovation to the tablet market. In 2010 Apple unveiled the iPad. This new product instantaneously became a hit product. The iPad finally met up
References: October 28, 2014 Emily Lorenz, Ashley Unterseher, Renan Silva & Alex Carlson