Amazon Failure Case Study

Decent Essays

Why has succeeded online when so many other companies have failed?

Amazon has always understood the importance of selling prices at a low and competitive price. The company has continued to promote the lowest prices for the most popular brands and products which has been a major success point for the company and a spot where many other competitors have. Amazon wasn’t the first store to exist online, but they have shown to be the most innovative. Amazon makes the customers and sellers happy by investing in the latest technology, for example integrating cloud technology. By keeping up with the latest technology, customers are able to have a shopping experience that is faster, more convenient and rewarding. (Keller & …show more content…

In short, Amazon gives the customer a pleasant experience whilst shopping, but also after the product is received. In addition, products can be returned if a customer isn’t satisfied and replacements can be offered as soon as next day depending on the location of the customer. Lastly, Amazon’s customers can enjoy a personalized shopping experience. The system is set up to a way that it gathers information from the customer’s previous searches and then shows the customer similar items from there on. This allows the customer to shop just for items that are needed and provides a personal experience to each individual. Amazon’s rapidly changing and evolving innovations based to consumer needs and wants has been the base of their success. The company isn’t afraid to try new ideas but also isn’t afraid to drop and dismiss them if they’re not successful. These kind of reversible decisions are what have made Amazon so well-adjusted in the e- and m-commerce marketplace.

2. What’s next for Is cloud computing the right direction for the company? Where else can it grow?

Amazon’s next step could be to expand its’ technological framework and channel of services. Cloud computing, Amazon Web Services, has definitely been a right direction and sales have skyrocketed. In addition, the company just bought Whole Foods, which threw the grocery industry a major curveball. Whole Foods items now are sold on Amazon, and Amazon lockers are

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