Amazone

2630 mots 11 pages
AMAZONE CASE

1. What industry is Amazon in exactly and what are its competitive dynamics? List direct and indirect competitors and substitute products/services.
Since its creation in 1995, Amazon became a global brand. The company is actually one of the most recognized brands in the world and has been the number one global online service in 2003. It was first a book online seller then they progressively diversified selling music, movies, electronics goods etc… Thanks to its creator, Jeff Bezos, Amazon was an early exploiter of online technologies for e-commerce which made it one of the first online retailers in the world. Indeed, he was a precursor and came up with “the statistic that the electronic world, known as the World Wide Web, would grow at the incredible rate of 2,300 per cent monthly”. Obviously, Bezos was totally right.
Amazon success is built on a main strategy since 1995, a strategy centered on customers by constantly improving innovation on their website. Amazon’s customers can find anything they want online due to the biggest collection of goods and services and that for the lower price of the market. Amazon is also well known as being “the Wal-Mart of the internet”, they want to be all things to all people.
The “one click order” processing made Amazon the favorite customer website (awarded in 2002 by receiving the higher score ever recorded in customer satisfaction from the American Customer Satisfaction Index). The company is famous all around the world, thanks to different websites in several countries. With the advantages they had to be first on the market and with the high level of innovation they provided, Amazon is now beneficing of a very important amount of repeat purchasing online, customers once they used the website, they usually use it again and again which give Amazon a very good position on the market. This customer’s loyalty and the capacity to reach a huge worldwide audience made Amazon one of the main actors of this business

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