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INTRODUCTION o What is amazon? o Logotype o Products.
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INTRODUCTION o Jeff Bezos founded Amazon in 1994 o It started as an online bookstore. o Headquarter In on Seattle's, Beacon Hill, Wasington.
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COUNTRY ANALYSIS o Government can take the form of various online transactions such as company registration, taxation, applications for a variety of employee- and business-related requirements, and the like. o Economic efficiency resulting from the reduction in communications costs, low- cost technological infrastructure, speedier and more economic electronic transactions with suppliers, lower global information sharing POLITICS ECONOMY
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COUNTRY ANALYSIS o Social side, can improve in life style, quality of life and using internet make everything faster. o Technology forces. The development of ICT is a key factor in the growth of ecommerce. SOCIAL TECHNOLOGY
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WHEN, WHY AND HOW o Launch In 1995. o Amazon have built a substantial lead over their rivals by their early entry into the e-commerce marketplace. o Cost Benefit. o Efficiency. o World Free marketplace. o Focus. o Value added. WHEN WHY
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WHEN, WHY AND HOW o Promotion o Amazon.com uses a variety of online and traditional advertising, including sponsored links, e-mail, print media, direct marketing, television, and other offline advertising campaigns to reach customers. o Strong market penetration o They were one of the first, if not the first, full- service online book ordering dot-com business. Because of innovativeness and early entrance, they have a strategic advantage HOW
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WHEN, WHY AND HOW o Strategic alliances and joint ventures o Amazon.com entered into co-branding agreements with major chains such as Target, Circuit City, and Toys ‘R Us, the first such contractor o Win-win solution HOW
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SWOT ANALYSIS o Everybody can find virtually any item with lower prices. o produced wireless reading device called ‘AmazonKindle’ o Shipping free and time delivery service o International Worldwide recognized o Collects information on each customer’s likes and dislikes through email and forum STRENGTH
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SWOT ANALYSIS o Daily check and a constant maintenance of its server to ensure the functioning of its systems. o Amazon.com has sold daily goods such as cleaning cloths. Most of customers do not purchase by online, and they get in offline retail stores because it is faster and to get WEEAKNESSES
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SWOT ANALYSIS o Difficult to compete with other online stores such as eBay because similar product. o Worldwide of Amazon.com is not strong enough to compete. Because international Amazon website is same as Amazon.com, and it is not each country’s favor THREATS
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COMPETITORS o Formed in September 1995, incorporated in California since May 1996 o A Sole Proprietorship and o eBay providing the Internet platforms of choice for global commerce, payments and communications o eBay has expanded with the strongest brands in the world including PayPal, Skype, Shopping.com, and so on. eBay, Inc.
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COMPETITORS o Barnes & Noble's beginnings in 1873 at New York City. o Developed a worldwide reputation and comprehensive selection of general trade books, academic titles and textbooks, and medical books. o The company launched its own Internet site in 1997 and now has one million books for online sales. o Barnes & Noble is the world's largest bookseller and also leading book publisher. Barnes & Nobles, Inc.
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COMPETITORS o Headquartered in San Diego, CA and backed by world-class investors including Intel Capital. o S3 storage web service. o Built a global cluster of storage nodes that referred to the Storage Delivery Network (SDN), powered by the Nirvanix Internet Media File System (IMFS). o The SDN intelligently stores, delivers and processes storage requests in the best network location. Nirvanix, Inc.
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COMPETITIVE FORCE PORTER’s MODEL o That offer the same product o If Amazon has built a sustainable competitive advantages, the threat from new entrants will not much affect it due to the lack of strategic approach. o Customers may like to travel and shop either to relax, meet people or choose things by touching the merchandise. o Amazon has to be wary of these needs, and while innovating, Amazon has to integrate these aspects into their offerings. The Entry Of competitor The Entry Of Substitutes
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COMPETITIVE FORCE PORTER’s MODEL o Interested only in delivery at the best prices when has set about giving its best for a memorable ‘customer experience’. o Start similar ventures. Toys’R’Us. o many of the firms currently supplying the merchandize may start their own online retailing Bargaining Power of Buyer The Entry Of Supplier
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COMPETITIVE FORCE PORTER’s MODEL o Especially from the existing firms like barnes and noble may intensify their competition. o Because they already selling online successfully. o Barnes and noble can invest resources much larger than what amazon can and one of the main enemy in the business. Rivalry among players
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ANALYSIS OF MARKETING MIX STRATEGY o Consumers can easily collect information about products or services without traveling to stores to inspect products o The Internet enables consumers to compare prices, products, and services across suppliers Product Strategy Price Strategy
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ANALYSIS OF MARKETING MIX STRATEGY o One of the reasons why Amazon companies do not realize profits is that they spend a great deal of money o Refers to the supply chain (or value chain) for mass marketing to promote their e- brands to consumers Promotion Place
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B2B AND B2C IN AMAZON Types of Amazon B2B applications include : o Electronic data interchange. o Electronic funds transfer. o Electronic forms. o Integrated messaging. o Shared databases Business To Business
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B2B AND B2C IN AMAZON o Amazon using B2B website, e-mail, online product catalogs, online trading networks and other online resources to reach new business customers, serve current customers more effectively, and obtain buying efficiencies and better prices o Amazon offer product information, customer purchasing and customer support Amazon services online o Amazon use the Internet to build stronger relationships with important business customers Business To Business
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B2B AND B2C IN AMAZON Business To Consumers 1.Amazon through the B2C online marketing selling of goods and services online to final consumers. And online consumer buying continues to grow at the healthy rate. 2.Amazon B2C involves customers gathering information; purchasing physical goods (such as books) or information goods(such as software); and for information goods receiving products over an electronic network. 3.Amazon B2C e-commerce reduces transactions costs by increasing consumer access to information and allowing consumers to find the most competitive price for a product or service.
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HRM IN AMAZON o Amazon employed approximately 13,900 full- time and part-time employees at December 31, 2006. o In Amazon the competition for qualified personnel in industry is intense, particularly for software engineers, computer scientists, and other technical staff. Amazon HR believe that future success will depend in part on continued ability to attract, hire, and retain qualified personnel Employee
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HRM IN AMAZON o Amazon employment levels fluctuate due to seasonal factors affecting our business. Additionally, we utilize independent contractors and temporary personnel to supplement our workforce, particularly on a seasonal basis. None of our employees is represented by a labor union and we consider our employee relations to be good. HR Strategy
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FINANCIAL PERFORMANCE o For the first quarter ended March 31, Amazon made a profit of $177 million, or 41 cents a share, up from $143 million, or 34 cents a share, a year ago. Sales rose 18 percent to $4.89 billion. o Those results easily beat analysts' prediction of a per-share profit of 31 cents and sales of $4.75 billion. FIRST QUARTER
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FINANCIAL PERFORMANCE SALES AND INCOME LAST 12 MONTHS 5YEARS GROWTH SALES 24.5 BILLION 28.8% INCOME 902.0MILLIO N 8.9% DIVIDEND RATE 0.00NA DIVIDEND YIELD 0.00%
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FINANCIAL PERFORMANCE o Benefit in year2008 from high gas prices as consumers shopped online rather than drive to brick-and-mortar stores.with more consumers comfortable shopping online, Amazon wins by selling a large variety of products up and down the price spectrum. BANDWIDHTH
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FINANCIAL PERFORMANCE o Amazon is increasing their market share. Amazon is taking sales away from Internet auction site eBay and large chains with e- commerce components. “They‘re growing their customer base, and their customer base appears to be loyal. o Benefited in year2008 from high gas prices as consumers shopped online rather than drive to brick-and-mortar stores.with more consumers comfortable shopping online, Amazon wins by selling a large variety of products up and down the price spectrum MARKET SHARE
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FINANCIAL PERFORMANCE BANDWIDHTH
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CONCLUSION o The goal when launching an Amazon company is to try not to differentiate on price since information on the Internet flows freely, making the consumer highly educated about costs of products and services compared to competitors. o Amazon have strategic alliances and joint venture, marketing mix, differentiation product, B2B and B2C system, eBay is biggest competitor.
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