MARKET REVIEW REPORT ON THE GROWING POWER OF AMAZON BY OLUWADAMILOLA O. ASHIRU PROGRAM: MSc MANAGEMENT STUDENT NUMBER: 11691573 MODULE TITLE: COMPETING THROUGH MARKETING (7BSP0395) TO BE SUBMITTED TO: MODULE LEADER: RON WELLS DATE OF SUBMISSION: 15TH NOVEMBER‚ 2012. NUMBER OF WORDS: 1620 INTRODUCTION An Amazon.com Annual report (2011) states that Amazon.com opened its virtual doors on the World Wide
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be applied primary vs secondary Porters competitive forces model view of firm‚ competitors and environment Traditional Competitors New Market Entrants Substitute products and services Customers Suppliers Analyze Amazon and Walmart.com using the value chain and competitive forces model Amazon Activity Example Secondary Activity Administrative‚ finance infrastructure Legal‚ accounting‚ financial management HR Management Personnel‚ lay recruitment‚ training‚ staff planning Product and technology development
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Situation overview In 2003‚ Amazon Europe was faced with the challenge of restructuring it’s distribution network in order to meet growth demands. After five years of operations through three independently run organizations in the UK‚ Germany‚ and France‚ the company recognized the need to adapt it’s business structure and positioning in the markets. Although many areas of the supply chain had already been optimized‚ there was significant room for further improvement. The European markets were
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the following recommendations: 1. Develop and implement a B2B exchange for supplier’s manufacturers‚ distributors‚ and retailers to use. 2. Amazon should expand its online auctions. 3. Develop an effective differentiating enterprise wide strategy to survive and prosper over the competition for the long-term future. 4. Amazon should use a web-based model to personalize service. 5. Increase advertisement to have brand awareness. I. The Company’s Current Objectives
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AMAZON IN THE YEAR 2000 – report summary Ravi Suria painted the picture of company growing money. The only triple-digit growth that mattered‚ he argued‚ was in Amazon’s cash-flow losses. The report shook many remaining stalwarts‚ and the stock dropped 19% in one day. Suria addressed Wall Street’s darkest fears‚ that the business model on which Amazon--and for that matter‚ most e-tailers--is based may be flawed. Arguing that excessive debt and poor inventory management will make Amazon’s operating
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actually be‚ an owner.” Financial Amazon has profited three years in a row and has increased revenue every year these past 2 years. Benchmarks Amazon was able to be able to control the majority of the American Android Tablets market. Organization structure U.S. Market Share of Android Tablets by Unique Devices Dec-2011‚ Jan-2012‚ Feb-2012 Total U.S. Source: comScore Device Essentials* | | % Share of Android Tablets | | Dec-11 | Jan-12 | Feb-12 | Amazon Kindle Fire | 29.4% | 41.8%
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CASE STUDY 1 1. In 2004‚ Toys R Us sued Amazon.com for violating terms of the agreement between the companies; specifically‚ Toys R Us objected to Amazon.com’s permitting Amazon Marketplace retailers to sell toys (Note: when the lawsuit was filed‚ Amazon Marketplace was called “zShops”). Amazon.com responded by filing a countersuit. After more than two years of litigation‚ a New Jersey Superior Court judge ruled that the agreement had been violated by both parties. The judge ordered that
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After years of deforestation of the Amazon rainforest‚ Brazil is starting to open their eyes. Brazil in the passed has allowed for deforestation of the amazon. They are finally starting to see the effects of it and are trying to turn it around. Brazil allowed land clearing for use of cattle farms‚ soy bean crops‚ mining and logging. They allowed for this to increase income and decrease the amount of poverty in the country. The effects of doing so are detrimental to the environment. The increase
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The analysis on industry and competitor environment is important for organizations‚ because its useful for managers to understand the competitive forces acting on and between the organizations’s in the same industry. Porters Five Forces in the E-Retailing Industry Porter’s Five Forces analysis is used to assess the attractiveness of different industries‚ and therefore‚ it can help in illustrating the sources of competition in a particular industry. The competitive rivalry amongst the e-retailing
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is unique in that they have a 90 day return to store or ship it back type policy. Amazon has a 30 day return policy where you have to pay shipping if the reason for the return wasn’t their fault. Amazon also has a wish list feature that Wal-mart does not. Amazon sets-up a customized store based on you past purchases and targeted to your individual tastes. 2) It remains to be seen whether Wal-mart will over take Amazon. Wal-mart certainly has the infrastructure and supply chain relationships to capitalize
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