Bus 508 Assignment #2: Amazon.Com's E-Business Model

In: Business and Management

Submitted By DeAnna1983
Words 488
Pages 2
Assignment #2: Amazon.com’s E-Business Model

To be successful in business, Strayer graduates must not only be capable of using various technologies, they must also know how to use the Internet to exchange information with customers and vendors, research market trends, track competitors’ products and pricing, and buy and sell goods and services.

Amazon.com was founded in 1994 as an online book retailer. Now, the largest retailer of books has also become the largest online retailer with a customer base of over 30 million people. Amazon competes in a vast array of markets including: books, movies, digital readers, computers, consumer electronics, pet needs, groceries, health and beauty aids, toys, clothing, jewelry, shoes, sporting goods, tools, automotive, hardware, building supply, and more. Despite their large product offering, Amazon has maintained its strong brand.

Imagine if Toys-R-Us, the largest toy retailer began selling books or if the NBA began selling hardware online. The threat of consumer confusion would rise thus bringing into question the value of the Toys-R-Us and NBA brands. Some analysts question the wisdom of Amazon.com selling products that are typically sold in the business-to-business markets. For example, you can now purchase industrial, laboratory and scientific supplies from Amazon.com.


1. Review the most current Amazon.com Annual Report at: http://phx.corporate-ir.net/phoenix.zhtml?c=97664&p=irol-reportsannual 2. Browse www.Amazon.com, www.BarnesAndNoble.com, and www.Borders.com.

3. Create a table to compare and contrast the Websites: www.Amazon.com, www.BarnesAndNoble.com, and www.Borders.com, using the following criteria: functionality, design, content, originality, professionalism and effectiveness. Include the table as an appendix to the required paper.…...

Similar Documents

Amazon.Com’s E-Business Model

...Assignment #2: Amazon.Com’s E-Business Model Je’neen A. Wilson, B.S. The Business Enterprise – BUS508 Strayer University – White Marsh Prof. A. Kobina Armoo Has Amazon Lost Its Identity? Amazon.com is a famous Internet retail company in E-commerce. Its business includes B2B and B2C. It opened its business in July 1996. Today, Amazon.com has expanded its business in more than two hundred and twenty countries and this company sells various products like electronics, books, music, DVD, House wares, PCs and cars (Amazon.com Announces 4th Quarter Profit 2002). It is the biggest retail store in E-commerce. Even though Amazon.com owns these accolades, this company is struggling to survive. Amazon.com had a $19 billion market value before its stock prices decreased from $75.25 to $9.25 (German, 2001). The problem is that Amazon still has not made real profits since it opened. How to help Amazon.com keep standing on the stage? If Amazon.com wants to survive in E-business and start making real profits, Amazon.com should merge with other retail companies, operate a new E-business strategy, and rebuild its financial structure. Business strategies and activities play a very crucial role in the future development of the organization. These strategies become more important, in case of e-business organization such as Amazon. Every organization uses different business strategies in order to remain in business. Some adopt customer- centric strategies; some uses strategies to......

Words: 1103 - Pages: 5

Amazon.Com’s E-Business Model

...Amazon.com’s E-Business Model Pros and Cons of Amazon’s Growth and Diversification of Business and Specialization Amazon.com is a digital shop, open around the clock. Consumers are able to access amazon.com literally at any moment, on any given day, due to its real-time optimization. Amazon provides unlimited reach to the worldwide market, with no substantial boundaries. Amazon has unlimited inventory and is just as diverse in categories which helps promote a speedy inventory turnover. Their focus on low prices, a diverse selection and customer convenience has proven to be successful. Amazon also has endured one of the fastest growths in the internet’s history reaching almost 3 billion dollar in sales within the first five years. Amazon is considered an ecommerce giant and has over 30, 000 thousand employees and brings in more than 30 million in revenues annually, topping Barnes & Nobles and Borders. Amazon owns many companies consumers use every day not knowing they are owned by such. Zappos, fabric.com, pets.com and audible.com are each owned by Amazon. Furthermore, entities of Amazon often used are AmazonBasics: amazon branded electronic products, AmazonFresh: sells and deliveries groceries, AmazonStudios: online social movie studio and AmazonWarehouseDeals: offers discounts on refurbished products. Amazon also facilitates many other businesses, such as providing web services for companies like: Netflix, Etsy, Papaya and Reddit, to name a few. So not only is......

Words: 1164 - Pages: 5

Business 508 Assignment 2

...Acquisition of Motorola Eric Brown Dr. Ross Contemporary Business February 13, 2014 Acquisition of Motorola Google’s acquisition of Motorola Google announced on August 15, 2011 that it will acquire Motorola Mobility Inc. (MMI), for a sum of $12.5 billion. This was a vertical form of merger as the supplier (software provider) acquired its hardware client (Motorola). Reasons for acquiring MMI * Google’s android operating system has been sued by companies like Microsoft and Apple for patent infringement. The company sought access to just MMI’s patents and hence ensured the independence of MMI as a separate company. * MMI is a big market player for mobile phones hardware. Its phones with Android platform proved to be huge success. Joining hands with Google will increase its ranking in the market. * MMI’s smartphone sales increased over the past year. Here, Google had a big opportunity to improve its share in the smartphone market. * MMI had developed and launched many breakthrough products over the years. MMI was the first company to introduce portable cellphones. Google hoped to benefit from technological innovations of MMI. * The two companies will be integrated to provide complete mobile phones and thus they will be better able to compete in the market with other top players. Impact of the deal The two companies together were expected to accelerate innovation and choice in mobile computing. Since Motorola is good at devices and Google is......

Words: 1273 - Pages: 6

Bus508 Assignment # 2 Amazon.Com's E-Business Model

...In: Business and Management Bus508 Assignment # 2 Amazon.com’s E-Business Model Date: Oct. 31, 2010 Instructor Professor: Wesley E. Phillips, Jr., D.M. (ABD) Khaled El_Khodari Strayer University 1. Discuss whether or not Amazon has lost its identity by expanding into markets well beyond books. 2. Recommend what Amazon should do to protect its brand. 3. Recommend what Barnes & Nobel and Borders Barnes & Nobel and Borders should do to recapture some of their online share. 4. At one time Dell sold computers exclusively online, now the same computers are available in retail stores (Wal-Mart for example). Discuss whether or not you foresee Amazon expanding its channel of distribution to include retail locations. Create a table to compare and contrast the Websites: www.Amazon.com, www.BarnesAndNoble.com, and www.Borders.com, using the following criteria: functionality, design, content, originality, professionalism and effectiveness. Include the table as an appendix to the required paper. Company / Criteria | Functionality | Design | Content | Originality | Professionalism | Effectiveness | Amazon | | | | | | | Borders | | | | | | | Barnes and Noble | | | | | | | Reference List Entrepreneurial Strategies, Drucker, Peter F., California Management Review, Winter 85, Vol. 27 Issue 2, p9-25, 17p;  (AN 4761590). How Can SCORE Help Me? Retrieved from http://www.score.org/index.html People, Passion, Perseverance: You've Got Entrepreneurship Podcast:......

Words: 265 - Pages: 2

Assignment 2: Competitive Strategies Bus: 508 Contemporary Business

...Assignment 2: Competitive Strategies Dr. Kathleen Irwing BUS: 508 Contemporary Business Strayer University Nov. 5, 2013 Competitive Strategies: Apple vs. Google Competitive strategies between businesses have changed the world. And sometimes business strategies can get quite intense. Thomas Edison once electrocuted an elephant to demonstrate the danger of a competitor's technology. (Colvin, 2013) An example of a competitive market in which there are ever increase consumers and sellers is the smartphone industry. There are so many competitors bringing smartphones to the market, but the two at the top are Apple and Google. Apple and Google’s corporate cultures have distinct differences that set them apart from each other. Their competiveness and driven innovation and stifled collaboration. Apple’s corporate culture is one of extreme secrecy. In a field where new technologies are being developed and released often, keeping information under lock and key is important. Employees wouldn’t even discuss projects with close friends and family. This keeps Apple in complete control of the message. Culture at Apple is strictly top down: any attempt to streamline, impact change, or even discuss a better way to do anything is strictly frowned upon when it comes from the bottom. The brand is guarded with an eagerness that borders on obsession. All the maple surfaces in all the retail stores are harvested at one particular time of the year in Canada so they all look......

Words: 895 - Pages: 4

Business 508 Assignment 2

...Assignment #2 Mergers and Acquisitions Bus 508: Contemporary Business ABSTRACT Berkshire Hathaway is “a holding company that specializes in insurance-related companies, but has a wide array of interests, making it a conglomerate (investorwords.com)”. The company is well known due to its owner, investment icon, Warren Buffet. “The second-richest American’s net worth continues to surge, despite his giving away billions, thanks to the juggernaut performance of Berkshire Hathaway (Forbes.com)” His current net-worth is $71.2 billion Jorge Paulo Lemann, Marcel Telles, and Carlos Alberto Sicupira established 3G Capital in 2004. The firm has offices in New York City and Rio de Janeiro. 3G Capital is a global investment firm focused on long-term value, with a particular emphasis on maximizing the potential of brands and businesses (3GCapital.com). The company is known for large acquisitions such as Anheuser Busch & Burger King. H.J. Heinz is a 144 year-old Pittsburgh based company. H.J. Heinz Company, offering “Good Food Every Day”™ is one of the world’s leading marketers and producers of healthy, convenient and affordable foods specializing in ketchup, sauces, meals, soups, snacks and infant nutrition. Heinz provides superior quality, taste and nutrition for all eating occasions whether in the home, restaurants, the office or “on-the-go.”(Heinz.com) Heinz is a global family of leading branded products, including Heinz® Ketchup, sauces, soups, beans,...

Words: 1047 - Pages: 5

Amazon.Com's E-Business Model

...Amazon.com's E-business Model by: Rebecca Hovanec Instructor: Veronica Brown-Corbin Business 508: The Business Enterprise April 28, 2011 Pros and Cons of Amazon's Diversification Amazon’s growth and diversification is unusual if only because it happened gradually and no one was expecting that it took off like it did. There have been both pros and cons to this growth. Since it was done gradually, there was little chance for it to backfire on Amazon. The design of the marketplace can help to influence success by improving the flow of information, thereby reducing stress and enabling buyers and sellers to function more effectively (McMillan, 2002). By setting the main page to show favorites based on prior purchases, Amazon was building a loyal customer base from which they could try different marketing and selling strategies with. The company used this customer base to expand and diversify, based on their needs and wants. They have also allowed small businesses and individuals to partner up with them to expand business even more. They helped to pioneer the Business to Consumer e-business during a time when many dot coms were going by the wayside. In doing this, Amazon provides better risk control in an ever changing economic climate by not being reliant on a single market. The cons of diversification include a lack of basic knowledge of a new industry, having double the sales team, and may be incompatible businesses (Diversification in Business, 2011). All......

Words: 1642 - Pages: 7

Amazon.Com’s E-Business Model

...Amazon.com’s E-Business Model Introduction In this paper we will explore the rise of a mega business empire, Amazon.com. From the beginning of just books sales to the current diversified online store and why it has gained world wide recognized by branching out to other sales items besides books. As CEO Bezos stated in their 2010 annual report, “ Amazon.com opened its virtual doors on the World Wide Web in July of 1995 and offers Earth’s Biggest Selection. We seek to be Earth’s most customer-centric company for three primary customer sets: consumers, sells and enterprises” (Bezos, 2010). It is apparent that CEO Bezos understood that customer service and listening to the consumer would separate them for the rest. This paper will also compare and contrast competitors in the book sale market, competitors such as Barnes and Noble ad Borders and what has separated Amazon.com from them. Has the diversification of Amazon.com helped them gained global recognition? Or has a solid understanding of the market and customer needs propelled them to where they are today? The Pros and Cons Amazon.com jumped into the market in 1995 with an effective business tactic of online book sales. Not only did the company launch an English version of the website, but they also launched a Chinese, French, German and Japanese version to gain a global audience quickly. Amazon also receives about 615 million visitors annually according to a survey by complete.com (History of Amazon). Some dare......

Words: 1707 - Pages: 7

Amazon.Com's E- Buisness Model

...AMAZON.COM’S E-BUISNESS MODEL CYNTHIA SMITH INSTRUCTORS: BRUCE CHAPMAN &; MIKE O’KEEFE COURSE TITLE: BUS 508: THE BUISNESS ENTERPRISE JULY 27, 2010 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. Founded in 1994 Amazon.com has become the world’s largest e-retailer with nearly three-times more sales than its closest competitor. Initially beginning as an on-line bookstore, in no time at all the company soon diversified into sales of DVDs, CDs, MP3 down loads, computers software, video games, electronics, apparel, furniture, food and toys. Amazon’s dedication to innovation can certainly be a testament to the company’s continued growth and diversification. Along with the Kindle reading device other innovations that have kept the company highly competitive include: a booming internet hosting business, an Apple I Phone App for comparison shopping, video streaming for Amazon Prime members and a Google Android App store. Last March Amazon.com launched Cloud Drive which allows users to store music and other multimedia files that are easily accessible from their desktop or smart phone (Amazon.com website2011). Another significant advantage is the infrastructure which Amazon built in terms of its facilities along with its internet platform. The customer experience on the web-site is a simple and pleasant one, shipments are very fast......

Words: 1503 - Pages: 7

Amazon.Com’s E-Business Model

...Amazon.com’s E-Business Model Donna Lowther Dr. Kitoko Contemporary Business July 30, 2011 1. Discuss whether or not Amazon has lost its identity by expanding into markets well beyond books. According to Sandoval (2001) Amazon is losing its original identity because it is losing ground in the book selling department, for which it was created and because Amazon may have diverted its attention from books or, worse, spread the company too thin to compete effectively in any single area, by expanding into other areas. Though I do no ever remember a time when Amazon was just strictly books I would have to agree with Sandoval, since Amazon now sells items such as video games DVDs, toys, electronics, software, and home-improvement products as stated by Quittner (1999). Quittner (1999) also states that Bezos has further expansion plans such as: “washing machines, cars, rubber gaskets, Prozac, exercise machines, marmalade, model airplanes, everything but firearms and certain live animals.” Looking at this shows that Amazon has definitely lost its identity as strictly a bookseller. I think Amazon’s identity is becoming close to that of e-bay, in so far as the fact that Hof (1999) states that Amazon now has daily auctions. In their annual report for 2010 Amazon (2010) states “this expansion increases the complexity of our business and places significant strain on our management, personnel, operations, systems, technical performance, financial resources, and internal......

Words: 1786 - Pages: 8

Amazon.Com’s E-Business

...Amazon.com’s E-Business Contemporary Business - Bus 508 Dr. Ronald Posluns July 27, 2011 Founded in 1994 by Jeff Bezos, Amazon has grown to be the front runner in online sales. Amazon started out just selling books, but their business inflated to selling “mp3 downloads, video games, DVD’s, computer software, furniture, food, toys, and etc.” (Amazon 2004) They inflated from being a small company to going international. People from all walks of life and different countries use Amazon to obtain goods. The business specializes in providing individuals with a platform to sell their product in a competitive market. Whether it may be a new author trying to sell his new book, or even a new artist trying to push their new album, they provides the tools needed to make money without going through major distributors, and recording labels to do so. Amazon growth and diversification comes from the strategic marketing strategy of keeping the main brand on the forefront of the retail industry. However being this successful always brings forth more calamities. Sure enough Amazon is very successful in how their company is formatted, but through several different periods of litigation Amazon had to change some things. Mostly in slogans, due in part of law suits from companies such as Barnes and Noble, Wal-Mart, and others. Amazon also didn’t think about the taxing phase of the point-of-sale. Many states are trying to implement laws that tack on taxes...

Words: 1525 - Pages: 7

Bus 508 Week 2 Assignment Diversification Strategies

...BUS 508 Week 2 Assignment Diversification Strategies To Buy This material Click below link http://www.uoptutors.com/BUS-508/BUS-508-Week-2-Assignment-Diversification-Strategies BUS 508 Week 2 Assignment Diversification Strategies A big question in business is: To Diversify or Not to Diversify? Some corporations (e.g., Amazon, 3M and General Electric) have diversified broadly over the years and have had great success. Other diversification attempts (e.g., Time Warner’s purchase of AOL) have taken companies away from their core businesses and their experiences are less successful. Research two corporations that have had different outcomes (one successful and one unsuccessful) with their diversification strategies. Compare and contrast each corporation’s diversification strategy and evaluate the reasons for each one’s success or failure in the venture. Write a 4-6 page paper in which you: 1.    Compare and contrast the two businesses—core business, their size, financials, global presence, use of e-business (marketing, sales, etc.). 2.    Compare and contrast their outcomes (one successful, one unsuccessful). 3.    Analyze the three primary reasons for the different outcomes. 4.    Recommend two actions the unsuccessful one could have made to make their diversification venture successful. 5.    Use a minimum of three (3) quality external resources from the last five (5) years to support the content of the paper. (Note: Do not use Wiki sites.) Your assignment......

Words: 311 - Pages: 2

Amazon.Com’s E-Business Model

...Amazon.com’s E-Business Model Contemporary Business – Bus 508 Dr Linda Harris July 21, 2011 Question 1 1. 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. As the economy continues to grow and change so will consumers with how they shop and purchase their everyday needs. Having a successful business online takes time and effort to ensure that consumer needs are being met. This paper will discuss how Amazon has been able to stay so successful with new and upcoming competitors. In addition to discussing the success, the struggles will be evaluated as well as ways to improve the company. When visiting Amazon, one obtains several products at one time;-it is a one-stop shop similar to an online “Seven-Eleven Store. “ Amazon is the largest online book retailer composed of a multi million-customer base. Jeff Bezos, the founder of Amazon, had great confidence in the World Wide Web even before the dot.com boom. He used the internet as the core of Amazon's business model. Amazon customers are able to search inside the book before buying it, read customer ratings on products of interest, and purchase products at low prices. Amazon’s initial target market of online book consumers, proved to be very lucrative. In addition, the expansion into more diverse product offerings beyond books, such as music, DVD & video, toys, electronics, home improvement and......

Words: 2201 - Pages: 9

Amazon.Com’s E-Business Model

...America and International. Websites are also being individually focused for UK, Germany, France, Japan, Canada, China, and Italy. Other than those countries, Amazon also provides them internationally shipping for some products. Amazon succeeds in its online business, and gains more net incomes than some competitor on ground such as Barnes and Noble, and Borders. Amazon’s e-business strategy is a combination of products. The company started with online books then other products to gain customers in a wide range. However, offering a large product variety, Amazon has still maintained its strong brand. 1. 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. Amazon plays strategy planning on the growth and diversification which objects to provide a “One Stop Shopping” for its customers. Amazon serves customers through the website focusing on selection, price, and convenience. There are million of unique products across 12 categories to be sold by Amazon and third parties. Amazon also manufactures and sells the Kindle E-book, which so far is the biggest electronic library. Customers can instantly download e-books, music or video from anywhere and anytime. It even costs less than traditional product such as a book almost half price. Additionally, Amazon is using two strong valued strategies, which are customer satisfaction and operational efficiency. These two......

Words: 1791 - Pages: 8

Bus 508 - Assignment #2

...Diversification Strategies: Best Buy vs. Circuit City BUS 508 Contemporary Business 25 April 2011 Diversification Strategies: Best Buy vs. Circuit City Diversify, diversify, and diversify! It’s something repetitively said to high-schoolers seeking pre-college extra-curricular memberships, employees seeking investment options, as well as businesses seeking to remain viable. But what is diversification? Diversification as it relates to business is defined as a “business development strategy allowing a company to current products, services, and markets” ("What is diversification?" 2011). This strategy enables a corporation several key benefits such as enhanced shareholder value, distribution of risks across several related or unrelated businesses, as well as the ability to offer lower prices than their competitors. Additionally, the company can benefit from entry into new markets. Although these are very great benefits, diversification requires very extensive research and market analysis in order to be successful. If not implemented correctly, the company could face brand confusion, loss of sales due to customer alienation, as well as lack of establishment of a loyal market following. Here we will explore both the diversification strategy and outcomes of consumer electronics retailers Best Buy and Circuit City. We will also explore possible decisions that led to the drastically different outcomes as well as alternative strategies that could have been employed......

Words: 1380 - Pages: 6

Techno (Radioshows, Podcasts, Livesets, Mixes) | Maou Dante | BootIt AIO Retail, Gestor de Arranque Múltiple.