Sign Up Now
Get instant access to over 1 million+ study documents
OR
Already registered? click here to login
By creating your account, you agree to our terms of service, privacy policy and student honor code.
AMZN
Key Partners
Thousands of partners
Work with thousands of direct suppliers
Work with thousands of third party vendors
Key shipping partner -- UPS and USPS
Payment partners -- the credit card companies, banks, PayPal
Has to partner with unions in Germany, much to the company's dismay
Key Activities
Amazon sells goods and sometimes services, mostly to consumers
It also provides a marketplace for third-party sellers
Amazon will offer sponsored search and other advertising products to retailers
All of its business is online
Warehousing and distribution are critical processes for the company
Shipping is done by third parties that pick up at the AMZN warehouse
Value Propositions
Large array of goods for sale adds value -- one-stop shopping
Rapid delivery
Free shipping if the order is large enough
Prime memberships
Best selection, ease of use are key value propositions
Make shopping easier, solves customer problems
Bundling products creates value for both customer and company
Customer wants lots of goods, rapid shipping and good customer service; AMZN delivers
Customized shopping experience
Customer reviews add value to help people make purchase decisions
Price is not a big value proposition -- free shipping is actually more important
The convenience factor is very important -- so one-click checkout, remembering past searches, remembering shipping information, having a board product range
Offering different prices is another value proposition
This the role of 3rd party vendors to provide a more efficient marketplace
Customer Relationships
Amazon relies heavily on customer relationships to make itself the first place customers shop
Uses software to build the customer relationship
Remembering customer searches and buying patterns is key to offering new products
Remembering payment and shipping info (1-click checkout)
Mobile apps to reduce barriers to purchasing via phones and tablets
Most customer service is automated; Amazon does not want customers to have to use customer service staff so they seek to reduce the need
Customer Segments
60% North America, 40% International
NA:...
This means AMZN knows more about its customer than any offline retailer ever could.
Key Resources
Technology is the biggest resource.
Amazon invests billions in year in R&D
A lot of this is patent-protected, like the company's systems for remembering customers and providing them with recommendations
Customer relationships are very important
Amazon spends a lot of money on this, to make itself the first place online that people look for goods.
Human resources -- in particular managerial and technical. Also marketing
Money -- Amazon is mostly financed through liabilities, mostly short-term payables
LT debt is increasing
Big data -- Amazon gains advantage from gaining and processing data about its customers, their preferences and data also helps with merchandising.
The ability to process data is of utmost importance
Tech development is huge -- both the website and mobile need to be cutting edge
Large U.S. market allows for many products to be listed.
Amazon's model works best in large markets because of the need for economies of scale in the product and service offerings (warehouses, product line breadth & depth). Not surprisingly, AMZN's best markets are U.S., UK, Germany, Canada and other large economies
A key resource now is to be able to break into some of the bigger emerging markets. So the personnel to do this will be important if Amazon wants to break into India, or compete with Taobao in China.
First mover advantage was a critical resource
Allowed AMZN to beat out competition in online retailing; especially when it started selling all…
References
Amazon.com 2013 Annual Report.
Amazon.com A Strategic Assessment of Amazons' e-Strategies Amazon's remarkable ascent as one of the top online global retailers can be attributed to the foresight they had in creating a comprehensive distributed order management, Enterprise Resource Planning (ERP), Supply Chain Management (SCM) and e-commerce series of systems. The many other e-commerce sites that rose quickly with massive infusions of venture capital just as quick exited the market, flaming out due to a lack
Amazon and Border's Books The intent of this analysis is to evaluate the history and core business of Amazon.com and Border's Books, comparing and contrasting their respective management approaches related to Internet marketing include fulfillment, which each does significantly different from the other. Three factors that contributed to the success of Amazon are provided in addition to three factors that led to Border's eventually going bankrupt despite having a flourishing and
Com. The company could start operating on a slogan such as "there's nothing you can't find here." It can also find new ways that it can turn its commerce from virtual closer to real. This would mean, for example, improving the sampling capacity. At this point, amazom.com provides features such as sample pages from a book or particular tracks from a music CD. This can be expanded on. A reinforcing loop
RJR Illustrate the difficulties of establishing and managing a subsidiary in terms of strategic ethical considerations -- not only because of differences in corporate (organizational) cultures, but also in national cultures and laws. The United States has some of the most restrictive laws regarding cigarette taxation, use of tobacco, and advertising. The government actively campaigns against tobacco use as part of its public health education efforts. Thus it behooves RJR to sell
Lululemon Athletica, Inc. Company & Financial Analysis w/ Recommendations Part 1 Strategic Performance Lululemon Athletica, Inc. was founded in 1998 and is headquartered in Vancouver, Canada. Lululemon Athletica operates under the Textile—Apparel Clothing classification in the U.S. and its shares are publicly traded on the Nasdaq under the ticker symbol LULU. The company currently employs approximately 12500 people and has risen back from a 2013 controversy in which the yoga-wear apparel maker was
Online Distribution What do you think of Amazon's move to online grocery delivery? Does it give the company a competitive advantage? Amazon's move into online grocery delivery gives the company a significant competitive advantage against other online food retailers and smaller regional food chains. The basis of Amazon's competitive strength is its extensive expertise in supply chain management, logistics, pricing and the ability to quickly ramp up warehouses and integrate them into