Abstract
Discover the innovative technology powerhouse behind Amazon's success. As a pioneer in e-commerce, Amazon has expanded far beyond its retail roots, leveraging cutting-edge products like Amazon Prime, Kindle, Amazon Web Services, and Amazon Marketplace to revolutionize the digital landscape. With a relentless focus on customer satisfaction and a culture of innovation, Amazon has achieved remarkable growth, with online sales contributing 40% of its revenue, followed by Amazon Marketplace (23%), and AWS (17%). Learn how Amazon's strategic evolution, led by visionary CEO Jeff Bezos, has enabled the company to stay ahead of the competition, drive efficiency, and deliver unparalleled value to customers worldwide.
Extract
[...] Brandt, R. L. (2012), The Secrets of Jeff Bezos' Successs, Editions Télémaque. Byers, A. (2006), Jeff Bezos: the founder of Amazon.com, The Rosen Publishing Group, 2006 Chen, L., Mislove, A. et Wilson, C. (2016), "An Empirical Analysis of Algorithmic Pricing on Amazon Marketplace", 1339-1349, ACM Press. Groupe de Recherche pour une Stratégie économique alternative (GRESEA), "Amazon". [...]
[...] Due to a low price policy and the cost of shipping orders, Amazon finds itself in a deficit of $52,000 in 1994 and nearly $300,000 in 1995. In 1996, revenues increase each month by 30 to which leads the company to move into a larger building due to lack of space. Additional employees and equipment are also hired in this growth race. Amazon experiences rapid growth, reaching 180,000 customer accounts in December 1996, And less than a year later, in October 1997, it had one million customer accounts. [...]
[...] At the very beginning, the Amazon model did not rely on any management science: no stock was managed internally by Amazon. It then had only about ten books in stock in its Seattle warehouse, but offered more than 1.5 million books on its site. Once the order was recorded, the book was ordered by Amazon at a wholesale price, corresponding to half of the selling price displayed at one of the two large book distributors, which shared the US market. [...]
[...] Despite the 2008 economic and financial crisis, which translates to a decline in global consumption, Amazon takes advantage of the bankruptcy of its competitors to continue its diversification and offer products at increasingly lower prices. Amazon's sales continue to grow despite the global recession. It thus buys in 2008 its main competitor in online clothing sales, Zappos.com, for $900 million. In 2008, Amazon buys Reflexive Entertainment, which allows it to launch Amazon Games. Similarly, in 2011, Amazon Appstore is available for Android smartphones. [...]
[...] Thus, it allowed Amazon to sell a variety, a range of products far superior to that of its competitors, without necessarily having to invest in inventory, or to deal, negotiate with suppliers But at the same time, Amazon has not prevented other sellers from competing with it on their own turf: in segments or products where competitors could sell at lower prices, it was a signal that it needed to gain in efficiency or negotiate better contracts with suppliers. Amazon Marketplace is thus a typical case of coopetition (cooperation and at the same time, competition), as shown by Ritala et al. (2014). [...]
