Amazon Case Study

5 May 2018

Amazon striver to “set the standard for web businesses. The site was intended to become as user friendly as possible with the ability to match needs to all sorts of customer bases. Features that won customers over with the company included their recommendation center, gift wrapping options, and comments page. After about two years of being in business, Amazon became public in May of 1997. Jeff Bozos was one of the original founders of e-commerce.

In 1 994, he left his job as UP of a Wall Street firm to begin working on what would become Amazon. Com. After reading a report that projected Web growth at 2,300 percent, Bozos thought up a list of 20 reduces that could be sold via the web. Seattle was chosen as the location for headquarters due to their high-tech work force. Bozos raised funds for the company while working with software developers to create the web site. After its release, Amazon became the number one book selling site on the web.A tentative timeline Of the history Of Amazon is as follows: 1995: Amazon enters the e-commerce business 1997: Amazon goes public and secures one million customers 1998: Amazon enters the online music and video business; companies are acquired in the UK and Germany 1999: The firm expands into selling toys, electronics, tools, and hardware; Bozos is named Time Magazine’s “Person of the Year” 2001 : Amazon reports its first net profit during the fourth quarter Many factors have contributed to the success of Amazon as a whole.

Amazon Case Study Essay Example

Bozos began by studying the book market before choosing it as the starting ground.His understanding of the Internet and its capabilities as a market is what brought about his willingness to invest in the latest technology that made online shopping more easily to the end consumers. Bozos also saw the opportunity to connect almost anyone with any product with the click of a button. Another success factor was Amazon’s ability to innovate. Bringing together retail and technology was the greatest selling point brought up during the upcoming of the e-commerce market. One of the areas of innovation included in Amazon was the ability for customers to filter products and search for evaluations based on a five star rating.Thirdly, Amazon offered customers a way to track inventory on each product of interest and estimated shipping and arrival dates.

This gave customers a sense of “safety” when making online purchases. Lastly, Amazon provided the ability to maximize feedback of customers. This offered a way for incoming consumers to research ratings and encourage previous buyers to contact the company with any concerns. Overall, Amazon has become very successful in the e- commerce market and has much promising growth to come. 2. (a) Describe the portfolio of new business services being launched by Amazon. Com.

In this discussion, be sure to identify each service and its features; and (b) Describe two additional new services that Amazon has offered since the time of the case. 4. Attached to this document is a recent article about an action taken by Amazon, Amazon Pushes Prime Price to $99. Describe what Amazon Prime is, ND discuss the likely response of consumers to this new pricing strategy. Amazon Prime is a membership program that was launched in the U. S. Nine years ago, offering a free two-day shipping to its members for a yearly fee of $79 or a free 30 days trial access to all of its features.

This program allows access to free unlimited shipping of goods, free music, videos, books, as well as grocery products that can be purchase through Prime Pantry for a delivery fee of $5. 99 for each Prime Pantry box. This program has also created a pleasing consumer experience by its “one click purchase” option which allows customers to save a credit card to their account and buy items with one click without having to re-enter their credit card information every time they want to purchase something. The 25% increase of Amazon Price is not expected to hurt business.Shipping costs have increased over the years and this could mean that more users might register for Amazon Prime. We believe current members will retain their membership because they have seen the benefits of their membership as well as their cost savings of shipping. However, for new Amazon prime members it may not seem as an attractive as it was for cast members because of the higher cost.

We believe that new Amazon prime members need to ask themselves “How often do I shop on Amazon and how much am spending in shipping for each product I purchase? 5. Find another recent article that has been published in a major business publication (Wall Street Journal, Businesslike, Forbes, Fortune, and so on that provides new information on marketing strategy actions by Amazon. Com. Summarize the contents of the article. Amazon Inc. Is known for delivering superior products to consumers, offering up to 1-7 days standard shipping to consumers doorstep. Amazon is now focusing its marketing efforts on delivering email to consumer’s office inbox.

Amazon discussed the latest technology called “Work Mail,” which is an email and electronic calendar service aimed toward the corporate- email market segment. According to the article from the Wall Street Journal, the email service could produce up to 1 billion dollars of revenue annually. Amazon plans to offer a rate of $4 dollars per a box to use Workmate. Although the email industry has many competitors Amazon believes their company can make more companies satisfied and improve technology. According to the marketing vice president f Amazon, “Customers are not happy with their current email solution. Amazon feels they now have a great opportunity to market their new service. The vice president also explained how current email services are too complex and expensive.

Amazon has two points to their email service. One in which to provide reliable security, and the other in regards to the simplicity of the service. Workmate will allow corporate workers to use email applications such as Microsoft Outlook. However, according to the Wall Street Journal, Amazon will be replacing the “unseen technology, mostly from Microsoft, that powers report email in data centers. This application may help companies decide to choose Amazon since they will not have to deal with the obstacle of switching over to another server. Just like anyone, people may have a hard time switching over to something they are not familiar with. Amazon will also provide the most up to date security, enabling Workmate to run through Amazon’s security network.

Amazon is dealing with a tough market, competing against very two large industries, Google Inc. , and Microsoft. It will be interesting to see if Amazon’s big move will pay off in the end.Amazon Starts Email Service for Companies Move Aimed at Invading Market Dominated by Microsoft, Google By SHIRR OVOID and GREG BINGER’S Updated Jan. 28, 2015 5:55 p. M. ET 19 COMMENTS Amazon .

Com Inc. Started out delivering books to your doorstep. Now it also wants to deliver email to your office inbox. The company on Wednesday announced an email and electronic calendar service called Workmate that is aimed at grabbing a slice of the corporate-email market largely controlled by Microsoft Corp.. And to a lesser extent Google Inc.The new email service is the latest chapter in Amazon’s transformation from e-commerce powerhouse onto major seller of corporate technology, until this point largely acting behind the scenes as computing muscle for Nettling videos and Milliner websites.

Amazon’s move also spotlights how technology giants including Faceable Inc. , Google and Microsoft increasingly view the workplace as a central battleground in the wars for users and dollars. While email is a crowded field, Amazon believes it can deliver improvements and make companies more satisfied. Customers are not happy with their current email Sleepily, marketing vice president for Amazon Web Services, said in an interview Wednesday. A lot of customers feel those solutions are expensive and complex. ” One of the original digital workplace tools, email may seem musty, but it remains a must-have entry point for tech companies seeking sales to big organizations. Joining Google and Microsoft, International Business Machines Corp.

. Last fall launched a new email service for workers. Startups such as Dropped Inc. Also offer email applications for businesses.WAS. D WAS. D is the Journal’s home for tech news, analysis and product reviews.

Can Apple Keep up Its Growth Spurt? Samsung Offers Sign of Bottom in Mobile Qualm Lowers Outlook, Cites Phone Shifts China Raps Alabama Over Fake Goods Is Tech Liberating or Squeezing the New Class of Freelance Labor? Drone Maker to Prevent Some Device Flights Over D. C. Email services could bring Amazon $1 billion in revenue annually, said Colon Sebastian, a Bird Equity Research analyst, based on his estimate of sales for Google’s business software. It is realistic to assume that Amazon can reach a similar revenue threshold,” he said. Mr.. Sebastian also said Amazon could eventually broaden its offering to include other cloud, or Web-friendly, workplace productivity tools-?which would further compete with Google and Microsoft.

Amazon’s email pitch revolves largely around two points: Simplicity of use and security. Workmate lets corporate workers keep using Microsoft Outlook or other familiar email applications; Amazon is replacing the unseen technology, mostly from Microsoft, that powers corporate email in data centers.That may get companies over a big obstacle when switching employee email technology: Some workers have a tough time adapting to an unfamiliar email user interface. On the security front, Workmate runs through Amazon’s computer networks, which encrypts, or scrambles, messages so prying eyes can’t make sense of intercepted email. Customers will control the keys to unscramble the contents. In a feature especially appealing to regulated industries or privacy-concerned European companies, Amazon will ensure companies that their email is stored only in designated geographic regions. It just seems completely unnecessary -?Nathan McBride, a Google APS for Work customer who helps oversee technology services at MAGMA Pharmaceuticals Inc.

, on Amazon’s new email service Amazon said it would offer Workmate to companies at a monthly cost of $4 per inbox, a price range similar to that offered by Google APS for Work ND Microsoft’s Office 365 service. The Google and Microsoft services also include capabilities other than email. Microsoft, asked about the Amazon Workmate service, cited its long heritage in email technology and Ongoing investments in improving workplace tools. Email is and will continue to be a critical tool for getting business done, which is why Microsoft has been deeply invested in business email for over 20 years,” said Julia Whiter general manager for Microsoft Office marketing. A Google spokeswoman declined to comment. Amazon has a track record of breaking into corporate technology areas here potential customers have established operations and relationships with other vendors. For nearly a decade, it has let companies pay by the hour to run corporate websites, APS or other digital services on its computer networks.

That business, called Amazon Web Services, has become an enormously influential force in technology, and thousands of companies have used the service instead of running their own computer servers, digital data storage or number-crunching databases. SAWS may bring in nearly 56 billion in revenue this year, up from $4. 3 billion in 2014, according to Piper Jeffrey analyst Gene Muenster. Amazon doesn’t disclose financial results for SAWS. The long-term prospects for SAWS are a primary reason some investors continue to hold Amazon stock as its traditional retail business struggles to be profitable.

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