Problems in Management March 12, 2003 Amazon.com: Expanding Beyond Books 1. Analyze the companys history, development, and growth. §Amazon.com arrangeed in 1994 in Seattle by Jeff Bezos §Virtual store front on the internet -No somatogenetic store §As of now, 2 wareho drills and 1600 employees §$30 trillion cumulative customers §1996 -$340,000 in the first half make pass on advertising and merchandising § abolish of 1997, Amazon had found its millionth customer §In 1998 Amazon.com added music §In July 1998 perk up at the 400% level §In 1998- $26.5 million on marketing -equivalent to 23% of sales. §Sales in 1998 were $587.6 million with operate brim of 10% §In February 1999, stock at the thousand% gain level §More than 3.1 million titles in 2000 §In 2000, stock dropped 80% §On January 28, 2000, Amazon.com cut 150 employees § run unit contributed $225 million in revenue during 2001 2. Identify the companys ingrained strengths and weaknesses. Strengths § att ractor in e-commerce §Strong in-house internet technology § pure offline customer service §A full data stern of loyal customers - base of over 12 million shoppers § good variety of products and function §Distribution facilities to handle growth and fulfillment §Building world-wide front man in markets outside of the USA §Has moved away from be a low price supplier of books toward a centre of delivering outstanding service and price.
§One-click purchase patent § upset farm animal and smash approach (inventory turnover 26 quantify) §Current alliances with ToysRUs, rophy City, chawbacon! §Well established web brand §Le ader in use of technology to deliver targete! d content §Low price §Consumer notification of shipping §Database- five times big Weaknesses §High advertisement cost §High delivery cost §Low bargain power on suppliers §Internet save §Amazon.com brand has been diluted by entering a wide number of product segments, increase competition. §Need to restructure worry to drive toward profitability has meant upward(a) pressure on... If you want to get a full essay, lay out it on our website: BestEssayCheap.com
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