Download Amazon PDF

TitleAmazon
File Size584.1 KB
Total Pages35
Table of Contents
                            The Ultimate Amazon Product
SWOT Analysis Amazon
	Opportunities.
	Threats
	Strengths.
	Weaknesses.
Corporate Social Responsibility At Amazon Business Essay
	Struggling with your essay?
	Introduction
	1. Methodology
	2. Sales Taxes
	This essay is an example of a student's work
	3. Work conditions and anti-unionization effortshttp://www.thebiographychannel.co.uk/biographies/jeff-bezos/mainPhoto/jeffbezos225.jpg.html
	Freelance Essay Writing Vacancies
	4. Taking public subsidies
	5. Carroll`s Four-Part Definition of CSR
	This essay is an example of a student's work
	Conclusion on Carroll's pyramid of CSR applied to Amazon
	6. Conclusions and Recommendations
	7. Lessons learned - A personal view on CSR
	Struggling with your essay?
                        
Document Text Contents
Page 1

AMAZON

INTRODUCTION

 Amazon.com, Inc. is an American electronic commerce company with headquarters

in Seattle, Washington. It is the largest Internet-based retailer in the United States.

Amazon.com started as an online bookstore, but soon diversified, selling DVDs, Blu-

rays, CDs, video downloads/streaming, MP3 downloads/streaming, software, videogames,

electronics, apparel, furniture, food, toys and jewellery. The company also

produces consumer electronics—notably, Amazon Kindle e-book readers, Fire tablets, Fire

TV and Fire Phone — and is a major provider of cloud computing services. Amazon also

sells certain low-end products like USB cables under its in-house brand Amazon Basics.

 Amazon has separate retail websites for United States, United Kingdom & Ireland, France,

Canada, Germany, The Netherlands, Italy, Spain, Australia, Brazil, Japan, China, India and

Mexico. Amazon also offers international shipping to certain other countries for some of

its products. In 2011, it had professed an intention to launch its websites in Poland and

Sweden.

HISTORY

 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. 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.

http://en.wikipedia.org/wiki/E-commerce
http://en.wikipedia.org/wiki/D._E._Shaw_%26_Co.
http://en.wikipedia.org/wiki/Cloud_computing
http://en.wikipedia.org/wiki/Fire_Phone
http://en.wikipedia.org/wiki/Fire_TV
http://en.wikipedia.org/wiki/Fire_TV
http://en.wikipedia.org/wiki/Tablet_computer
http://en.wikipedia.org/wiki/Kindle_Fire
http://en.wikipedia.org/wiki/E-book_reader
http://en.wikipedia.org/wiki/Amazon_Kindle
http://en.wikipedia.org/wiki/Consumer_electronics
http://en.wikipedia.org/wiki/Consumer_electronics
http://en.wikipedia.org/wiki/Video_game
http://en.wikipedia.org/wiki/Software
http://en.wikipedia.org/wiki/MP3
http://en.wikipedia.org/wiki/Amazon_Instant_Video
http://en.wikipedia.org/wiki/Compact_Disc
http://en.wikipedia.org/wiki/Blu-ray
http://en.wikipedia.org/wiki/Blu-ray
http://en.wikipedia.org/wiki/DVD
http://en.wikipedia.org/wiki/Bookstore

Page 2

http://en.wikipedia.org/wiki/Fluid_Concepts_and_Creative_Analogies
http://en.wikipedia.org/wiki/Fluid_Concepts_and_Creative_Analogies
http://en.wikipedia.org/wiki/Fluid_Concepts_and_Creative_Analogies
http://en.wikipedia.org/wiki/Douglas_Hofstadter
http://en.wikipedia.org/wiki/Washington_(state)
http://en.wikipedia.org/wiki/Mail_order
http://en.wikipedia.org/wiki/Brick_and_mortar
http://en.wikipedia.org/wiki/Ingram_Content_Group
http://en.wikipedia.org/wiki/John_R._Ingram_(businessman)
http://en.wikipedia.org/wiki/John_R._Ingram_(businessman)
http://en.wikipedia.org/wiki/Bookstore
http://en.wikipedia.org/wiki/McDonald's
http://en.wikipedia.org/wiki/Jeff_Bezos

Page 17

SWOT Analysis Amazon

Amazon is a profitable organization. In 2005 profits for the three months to June dipped 32% to

$52m (£29.9m) from $76m in the same period in 2004. Sales jumped 26% to $1.75bn. Until

recent years Amazon was experiencing large losses, due to its huge initial set up costs. The recent

dip is due to promotions that have offered reduced delivery costs to consumers. This SWOT

analysis is about Amazon.

Opportunities.

 The company is now increasingly cashing in on its credentials as an online retail pioneer

by selling its expertise to major store groups. For example, British retailer Marks and

Spencer announced a joint venture with Amazon to sell its products and service online.

Other recent collaborations have been with Target, Toys-R-Us and the NBA. Amazon’s new

Luxembourg-based division aims to provide tailored services to retailers as a technology

service provider in Europe.

 There are also opportunities for Amazon to build collaborations with the public sector. For

example the company announced a deal with the British Library, London, in 2004. The

benefit is that customers c an search for rare or antique books. The library’s catalogue of

published works is now on the Amazon website, meaning it has details of more than 2.5m

books on the site.

 In 2004 Amazon moved into the Chinese market, by buying china’s biggest online retailer,

Joyo.com . The deal was reported to be worth around $75m (£40m). Joyo.com has many

similarities to its new owner, in that it retails books, movies, toys, and music at discounted

prices.

Threats

 All successful Internet businesses attract competition. Since Amazon sells the same or

similar products as high street retailers and other online businesses, it may become more

and more difficult to differentiate the brand from its competitors. Amazon does have it s

brand. It also has a huge range of products. Otherwise, price competition could damage the

business.

 International competitors may also intrude upon Amazon as it expands. Those domestic

(US-based) rivals unable to compete with Amazon in the US, may entrench overseas and

http://www.marketingteacher.com/swot-analysis-marketing-tools-from-marketing-teacher/
http://www.marketingteacher.com/swot-analysis-marketing-tools-from-marketing-teacher/

Page 18

compete with them on foreign fronts. Joint ventures, strategic alliances and mergers could

see Amazon losing its top position in some markets.

 The products that Amazon sells tend to be bought as gifts, especially at Christmas. This

means that there is an element of seasonality to the business. However, by trading in

overseas markets in different cultures such seasonality may not be enduring.

Disclaimer:

This case study has been compiled from information freely available from public sources. It is

merely intended to be used for educational purposes only.

Strengths.

 Amazon is a profitable organization. In 2005 profits for the three months to June dipped

32% to $52m (£29.9m) from $76m in the same period in 2004. Sales jumped 26% to

$1.75bn. Until recent years Amazon was experiencing large losses, due to its huge initial set

up costs. The recent dip is due to promotions that have offered reduced delivery costs to

consumers.

 Customer Relationship Management (CRM) and Information Technology (IT) support

Amazon’s business strategy. The company carefully records data on customer buyer

behaviour. This enables them to offer to an individual specific items, or bundles of items,

based upon preferences demonstrated through purchases or items visited.

 Amazon is a huge global brand. It is recognisable for two main reasons. It was one of the

original dotcoms, and over the last decade it has developed a customer base of around 30

million people. It was an early exploiter of online technologies for e-commerce, which

made it one of the first online retailers. It has built on nits early successes with books, and

now has product categories that include electronics, toys and games, DIY and more.

Weaknesses.

 As Amazon adds new categories to its business, it risks damaging its brand. Amazon is the

number one retailer for books. Toy-R-Us is the number one retailers for toys and games.

Imagine if Toys-R-Us began to sell books. This would confuse its consumers and endanger

its brands. In the same way, many of the new categories, for example automotive, may

prove to be too confusing for customers.

 The company may at some point need to reconsider its strategy of offering free shipping to

customers. It is a fair strategy since one could visit a more local retailer, and pay no costs.

However, it is rumoured that shipping costs could be up to $500m, and such a high figure

would undoubtedly erode profits.

Page 34

As a final recommendation it would big improvement if the company would be more open about

its activities and especially about those in the field of CSR and Sustainability. In the history of the

company it has never published any report on one of those topics. It is therefore difficult for

NGO's, Non-profits or even the media to report on issues with the company and to encourage

them to improve.

7. Lessons learned - A personal view on CSR

The combination of writing this report, attending CSR lectures at the Hanze University, preparing

a group presentation on CSR and the guest lecture of Mrs. White have helped me to develop a

good understanding of CSR. During the second period the importance and difficulty of this topic

became clear.

The main knowledge I will take away from this course is the impact of CSR on the long-term of

companies. As many cases have shown companies who have been conducting bad CSR will be

known for it even decades after it happened. On the other hand companies which are considered to

be "world shapers" such as the Body shop benefit from this over a longer period of time as they

are considered to be one of the leading companies in CSR.

Struggling with your essay?

As I pointed out in the section above the effects of CSR are mainly affecting the marketing and

PR activities of a company. For me it is therefore difficult not to connect CSR practices at large

corporation to efforts to enhance their image. Especially companies of which the core activities

are morally wrong and are deploying CSR programs are hard to believe.

On the other hand companies who have a laissez-faire or reactive style are difficult to understand.

Especially those who are using the laissez-faire strategy are wilfully wrong in their business

activities. For these companies the importance of money is placed above that of the society. In my

opinion many companies are using the reactive strategy which is not necessarily bad. They are not

behaving in a bad manner but are merely following those who set the standards or adjusting to

new legislation.

The guest lecture of Mrs. White has also thought me about the impact of (mass) media on the CSR

practices of company. There are so many media channels through which consumers can be

informed about the (bad) CSR practices of a company. Through TV channels consumers all

Similer Documents