Amazon Case Analysis

5207 words - 21 pages Case Analysis

Internal & External Matrix, Matrix Analysis and TOWS Summary, and Quantitative Strategic Planning Matrix

Executive Summary

This case analysis serves the purpose to provide an analytical framework to evaluate from an internal and external perspective, and to provide strategic direction based upon the internal and external evaluation. The case will begin with an introduction to


Jeffrey Bezos, formerly a senior vice president for D. E. Shaw & Company, founded in 1994. D. E. Shaw is a Wall Street-based investment bank, and Mr. Bezos was assigned to find good Internet companies in which to invest. During the summer of 1994, he stumbled across a Web site that showed the number of Internet users was growing by 2,300 percent per month. He quickly realized the vast potential of the Internet, and began putting together a list of possible products that he could sell on the World Wide Web. He eventually narrowed his list to music products and books. Although music products and books both had enormous potential, he eventually selected books because he believed that he could compete more evenly in the book segment due to the lack of a very dominant player. "In contrast, the music industry had only six major record companies. These companies controlled the distribution of records and CDs and, therefore, had the potential to lock out a new business threatening the traditional record-store format" (Kotha, p.11).

To begin his new venture, Mr. Bezos left New York and moved to Seattle. He decided to move to Seattle for two reasons: 1) Ingram Book Group's warehouse is located near Seattle; and 2) Because of the Seattle area's reputation for computer expertise. In 1995, Amazon began selling books entirely online, operating out of a rented facility and using doors laid across sawhorses for desks. He soon was able to generate several million dollars from venture capitalists, and sales were astounding. Sales for 1995, 1996, 1997, 1998 and 1999 were $0.5, $16, $147, $610 and $1,640 million respectively.
Amazon's customer base has increased dramatically from 180,000 in 100 countries in 1996 to 12 million in 160 countries by mid-1999. In 1998, Amazon began to expand into other product categories. The Company began to sell music products and videos, and within two months of these additions, Amazon became the number-one seller of books, music, and videos on the web. During 1999, the Company further expanded its product line. Amazon now offers toys and video games, electronic greeting cards, electronics and software, home improvement supplies, online auctions, DVDs, and an online mall called zShops. More recently, Amazon has begun to expand internationally (Bartlett, p.21). Next, an analysis of Amazon's mission statement will be performed.

Mission Statement Analysis

A mission statement should be comprised of, or address, nine essential components:...

Find Another Essay On Amazon Case Analysis

amazon and ebay Essay

6411 words - 26 pages A Comparative Analysis of eBay and Amazon 29 Copyright © 2004, Idea Group Inc. Copying or distributing in print or electronic forms without written permission of Idea Group Inc. is prohibited. Chapter III A Comparative Analysis of eBay and Amazon Sandeep Krishnamurthy University of Washington, USA ABSTRACT Even though has received most of the hype and publicity surrounding e- commerce, eBay has quietly built an innovative

Amazon Strategic Research Project Essay

1041 words - 4 pages statements and an assesment on the external environment. Also included in this research are the intensive strategy used by Amazon in market penetration, market and product development. Additionally, a SWOT Analysis is provided along with the recommended five-year corporate strategy.Vision and Mission vision and mission statements are one. "Our vision is to be Earth's most customer centric company; to build a place where

Amazon Evolution Paper

2004 words - 8 pages AMAZON EVOLUTION PAPER PAGE \* MERGEFORMAT 1 AMAZON EVOLUTION PAPER PAGE \* MERGEFORMAT 8 Amazon Evolution PaperBIS/219May 19, 2011Amazon Evolution is currently the largest online retailer and has demonstrated a viable business model throughout its tenure. In this case study the subject is to analyze this company's business strategy, competitive advantage and business model. It is also important to review and evaluate

Marketing plan for amazon



1171 words - 5 pages . From this, the growth of the economics and the customer will be enjoy of the variety of product that can be bought.   2. What are the benefits of Web services to Amazon, eBay, and their developer partners? There are a lot of benefits of Web services to Amazon, eBay and their developer partners. The first one is it allows an explosive business growth in globally because it is not only on domestic as Web services are invented for organization


2511 words - 10 pages Table of Contents1.0 Brief History about ........................................................................................... 22.0 Types of Information Needed for the Success of 22.1 Comprehensive Help Database....................................................................................... 32.2 Amazon Web Services (AWS

Deforestation In The Amazon Rainforest

1116 words - 4 pages deforestation, Amazon still contains 94% of its greenery, as concluded by the Landsat Data of an analysis carried out by the National Institute of Research in Amazonia . Morano’s claim is argued by Patrick Moore, a founding and former member of Greenpeace, who says that "only 10 percent of the Amazon has been converted to date from what was original forest to agriculture and settlement." . Scientists for pro arguments who say that about 50,000 species are

Evaluating Translations Produced by Amazon Mechanical Turk

1940 words - 8 pages Abstract We investigate the use of Amazon Mechanical Turk for the creation of translations from English to Haitian Creole. The intention is to produce a bilingual corpus for Statistical Machine Translation. In several experiments we offer varying amounts of money for the translation tasks. The current results show that there is no clear correlation between pay and the translation quality. Almost all translations show a significant overlap with

Exotic Adventures, Inc. - The Amazon Voyage

1392 words - 6 pages Running head: EXOTIC ADVENTURES, INC. CASE ANALYSIS 1 PAGE \* MERGEFORMAT 6 Running head: EXOTIC ADVENTURES, INC. CASE ANALYSIS Exotic Adventures, Inc.: The Amazon Voyage Case AnalysisCase SynopsisThe following is an analysis of the case, Exotic Adventures Inc.: The Amazon River Voyage. It details why tour operator, Exotic Adventures, Inc. (EAI) should proceed with their tours on the Amazon River between Brazil and Peru amidst concerns

External & Internal Analysis of Amazon during 1997. Example of a Strategic Management in the New Economy.

2445 words - 10 pages "External & Internal Analysis of Amazon during 1997"Strategic Management in the New Economy24/09/02What are the opportunities and threats that faced in 1997?In all the proceeding cases, we analyzed the various levels of the external environment, moving through the remote, to the industry and finally to the operating environment. Through doing this we saw where Amazon's potential opportunities and threats lay. We also applied

Possible Solutions of Deforestation in the Brazilian Amazon

2776 words - 11 pages there is such corruption case in such level, what could be happening at lower political levels? Solution of extending protection areas is behalf, but again it needs money. If protection areas extends, securing it will demand more funding. In addition, it is quite impossible to protect whole Amazon considering that it is the largest rainforest in the world and if protection areas cover a part of Amazon, especially biological hotspots, then it will

Similar Essays

Amazon Analysis

1594 words - 6 pages leaders as e-books are much cheaper. We can consider that Amazon is the market share leader as its most known online shopping system. SWOT analysis Strengths: Number 1 online shopping system; Market share leader; Price leaders

Amazon Case Study

3392 words - 14 pages Ed.Gregory R. Heim & Kingshuk K. Sinha, 2011A taxonomic Analysis of Electronic food Retailers.Websites:

Amazon A Company Analysis

1625 words - 7 pages the cost leadership strategy, and offers the widest range of products. According to the offered statement, above all, the company values the customer’s satisfaction by providing convenience, innovations, and low prices. References (n.d.). About Amazon. Retrieved from Chaffey, D. (2012). case study. Smart Insights. Retrieved from http

E Business Amazon Essay

1416 words - 6 pages case Amazon after the initial purchase, assuming they have got the best offers. However, it is difficult for Amazon to sustain customer loyalty without the lowest price, which has been a strong selling point of Amazon. In general, consumers have low switching cost; they can easily switch Amazon to other online retailers due to the simplicity in the Internet product search and comparison. As a result, if Amazon does not offer the most desirable