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Assignment 2 2011

Assignment 2 2011 - Abstract Amazon.com is a famous...

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Abstract 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. This paper will answer the following: 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. Determine the impact if Amazon.com had split up and become a family of. Determine if it would be possible for Barnes and Noble or Borders to extend their markets in the same way that Amazon.com has. Determine what Amazon.com would need to do to expand their distribution chain to include some brick and mortar outlets, and whether or not this would be a good idea. 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.
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Amazon has proven to be a successful industry to date in terms of growth. Although their growth revenue may not be sustainable and the percentage growth rates may decrease but their operating profit growth depends solely on the continued growth of demand for their products and services offered by Amazon and/or the sellers. The pros can be good customer services: the one-click service function lets customers feel a sense of immediacy when ordering online and satisfied with the improved electronic confirmations service. Fast access to supply: when customers find the products and click the order key. The data of order will be transferred to one of Amazon's servers. Then inform the employee to take the product and pack them by customers desired. International recognition: anyone who wants to buy books online will first go to Amazon. Amazon uses online advertisements and referrals from their customers to inform people of their services. Provide safe and convenient shopping services: credit card transactions can reduce the risk of being robbed or losing cash. Customers can avoid exchanging currency. The cons are waiting for a product delivery is a weakness of Amazon. Although the item offered is immediately shipped and instantly have the item they want. Unmanageable operation: Amazon lost money due to their operation policy. Bad investments: Amazon invested in an
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