Amazon: Amazon. Com and Mortar Outlets Essay

Submitted By goberdober
Words: 1452
Pages: 6
Open Document
Assignment #2: Amazon.com’s E-Business Model

Assignment #2: Amazon.com’s E Business Model
Jeff Jones
Professor Michael Padgett Contemporary Business July 22, 2009
Abstract
This paper discusses Amazon.com’s business operations, the pros and cons of Amazons growth and diversification, along with determining the impact of Amazon.com if it had split up and become a family of brands. Also in this report an evaluation to determine if it would be possible for Barnes and Noble or Borders would be able to extend their Markets in the same way that Amazon.com has and finally determine what Amazon.com would need to do to expand their distribution chain to include some brick and mortar outlets, and whether or not this would be a good idea.
Assignment #2: Amazon.com’s E-Business Model

Discuss the pros and cons of Amazon’s growth and diversification of business and specialization, and make recommendations about what Amazon could have done differently.

One would have to look at all aspects of the benefits along with the pros and cons of trying to bring growth and diversification, especially in an internet environment. The main factor of choice would be the peoples trust in the company. When looking at a one word name, there should be several things that come to mind which would ensure that people will remain connected to the brand. Right now Amazon’s name stays on peoples mind as of now, and the plan is for the name to stay there, but to make that happen Amazon is faced at looking at what it has already and what it can do to structure change for the better. To do this, Amazon has to evaluate its pros and cons.

People know when it comes to online buying, Amazon’s name stand out for the most part because people can purchase many different items through the Amazon website. Amazon has provided a way to have attractive schemes to gain the interest of many types of consumers by pitching adds on various websites with direct links to Amazon.com. Having diversity in Amazons business benefits them in ways that Amazon has entered in to many different markets so that they can sell almost anything. Having relations with other retailers where Amazons logo is presented helps retailers get product normal that may not have been sold of the shelf because of the popularity that Amazon has.

Having the opportunity to shop on Amazon.com and actually put many different things in a cart that normally one would have to shop at different locations or websites is also a direct benefit from shopping at Amazon.com along with its price savings. Growth and diversification has always been the main idea of running Amazon, it has the capabilities to have leverage of economies of scale, increased market share, increased power of the brand, and have a strong marketing platform. Some cons would include cost of entry into new business verticals, diluting the brand by overreach, and diversion of core resources to non-core competencies.

Determine the Impact if Amazon,com had split up and become a family of brands (for example, “Amazon” for books, “Supertoys” for toys etc.), each with a different public face but all run by the same parent company. I think in order for Amazon.com to make improvements in their process, they have to somehow use another marketing tool to separate their business in to smaller sub-categories. Another aspect to look at is how Amazon in its diversification process, remain efficient to handle the transition it is trying to make. It is one thing to be an “all in all” company, but with being that, certain qualities should not be compromised in the process of making this happen which could result in poor performance. The cost to separate the website into different segments would cost extra money in the process which means the over-all cost to run the business would increase.
Show More

Related Documents: Amazon: Amazon. Com and Mortar Outlets Essay

Strategic Analysis Of Amazon

Managing Strategy 1 Amazon STRATEGIC ANALYSIS OF AMAZON Submitted for: MBA IN MS (MANAGING STRATEGY) TUTOR: PAUL ANDERSON SUBMITTED BY: C0411672 Managing Strategy 2 Amazon CONTENTS Title..................................................................01 Contents....................................................... 02 Introduction.................................................03 Section 1 Current strategic position......................04 Macro environment..............…

Words 5881 - Pages 24

Essay on Amazon Kindle Fire2

Amazon Kindle Fire Case Study MSIT 451 Strategic Marketing Winter Quarter 2015 Professor Mulherm Gladiators Group: Jeff Aalto and Lisa Guinta January 22, 2015 Problem Jeff Bezos, Amazon’s CEO, faced a significant challenge from 2011 to 2013. During this period of time, the sales of tablets was skyrocketing. Amazon was known for its Kindle device which was the leading e-reader on the market. However, Bezos was contemplating a shift from a straight e-reader product, such as Kindle…

Words 2647 - Pages 11

E-Book and Its Effect on the Industry Essay

have been with us for some time. They have replaced print versions completely in some areas of publishing. Those parts of publishing are largely invisible to general readers, whose view of publishing is framed by the books available through retail outlets, but have contributed significantly to the overall profitability and success of the Australian publishing industry. These days the publishing industry has hived o its digital segments into separate companies as print has ceased to be the most common…

Words 4928 - Pages 20

4779 19129 1 PB Essay

offer a 50-percent stake in the business to the formidable Amazon.com. Jeff Bezos, Amazon’s CEO, who took the opportunity in his effort to move from books, videos, and CDs into offering consumers “anything they might want to find online.” i Along with Amazon, blue-chip venture capitalists Hummer Winblad Partners, Bowman Capital, and Catalyst Investments LLC raised nearly $110 million in four rounds of private-placement funding by December, 1999. This capital allowed Pets.com to invest in the necessary…

Words 2252 - Pages 10

Marketing: Retailing and Asos Essay

SLEB111 Assignment 5 Business Innovation Report www..com i Executive Summary The purpose of this report was to examine current business processes administered by the ASOS online fashion retailer. At the same time an excellent opportunity to announce and introduce the forthcoming implementation of the newest innovation from ASOS on their website, the ‘Virtual Fitting Room’. The problematic element in most online fashion retailing has been identified as consumer hesitancy. Other product…

Words 2742 - Pages 11

Essay about Netflix Case Study

pioneered the online rental service. Since then other major companies like Blockbuster began offering a lower monthly rate in addition to in-store renting. Netflix will not be able compete with in-store renting for the fact that they do not have brick and mortar establishments. With the new entrants in the industry the price of renting movies will become better for the consumers. In order to attract the biggest customer base the companies will need to battle over the best offer. As the competition occurs…

Words 8872 - Pages 36

What Is E-Store Loyalty

online shoppers do not engage in extensive searches (Johnson et al., 2004). Indeed, Forrester.com Internet consultants (2000) reports that customers are significantly more likely to repurchase products from their e-stores than from traditional retail outlets; that is, e-stores are ‘‘sticky’’ (Reichheld and Schefter, 2000). Overall, the dominant e-shopping developments are that (a) the percentage of total retail sales accounted for by e-commerce is likely to continue growing and (b) the majority of e-tailers…

Words 8811 - Pages 36

Managing Information Technology (7th Edition) Essay

CONTENTS: CASE STUDIES CASE STUDY 1 Midsouth Chamber of Commerce (A): The Role of the Operating Manager in Information Systems CASE STUDY I-1 IMT Custom Machine Company, Inc.: Selection of an Information Technology Platform CASE STUDY I-2 VoIP2.biz, Inc.: Deciding on the Next Steps for a VoIP Supplier CASE STUDY I-3 The VoIP Adoption at Butler University CASE STUDY I-4 Supporting Mobile Health Clinics: The Children’s Health Fund of New York City CASE STUDY I-5…

Words 239873 - Pages 960