Amazon.Com Case Study
1. How would you define Amazon’s industry? What difficulties do you encounter identifying primary competitors and key lines of business?
Amazons primary industry is electronic commerce. At its core Amazon is an electronic commerce retailer. But over the years the brand has developed into something grander. Originally the company started out as an online bookstore but now has diversified its inventory to include dvds, software, video games, electronics, furniture, apparel, food, toys, and jewelry. Amazon has also become a producer of their own brand of consumer electronics, most notably their line of Kindle e-book readers, Fire Tablets, Fire TV, Fire phone, and is now a leading provider of cloud computing services. Now Amazon
…show more content…
Amazon is a perfect example of this mantra. Jeff Bezos founded his company at a time when the internet was still in its infant stages and was growing at an exponential rate. People were still discovering the internet’s full potential and how it could be exploited. Online shopping was a new entity at the time of Amazon’s founding. In the beginning Amazon faced a myriad of competitors all offering the same service and experience, fighting for the same market share. But through the practices I outlined in the previous paragraph, Amazon was able to beat its competitors and establish itself as top dog. Today Amazon is a multi-billion dollar giant. A company attempting to mimic Amazon would not succeed because the niche it would be trying to fill is already occupied by Amazon. For a company to usurp Amazon’s spot it would need to reinvent what Amazon already does in a way that would appeal much more to the public. Amazon has been so dominant because it is consistently evolving and adding services essentially forcing its competition to constantly play catch up. By the time the competition puts out a service similar to that of Amazon’s, it is already too late, as Amazon has already moved on to revolutionizing something else.
4. With myriad websites that offer price comparisons that exist for book and other e-tailers, is it possible for Amazon to maintain a strong customer base