How Amway Use the Operation Management to Compete?

2806 Words Dec 2nd, 2013 12 Pages
Jantarika Naktawan

Introduction Amway is one of the world's largest direct sales companies. It is a global enterprise that started the company in 1959. Founded in Ada, Michigan by Rich DeVos and Jay Van Andel, the company continues to be privately owned by the DeVos and Van Andel families. Currently more than 3 million Amway salespeople on six continents sell more than 450 quality Amway products directly to consumers in over 80 countries and territories. Amway distributes a variety of products, including: 1 Personal Care - fragrances, body care and hair care products 2 Skin Care and Cosmetics 3 Durables - cookware and water treatment systems 4 Nutrition and
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A company may have shareholders who can be internal or external stakeholders. As a private company, the families who own Amway are its sole shareholders. It is important that Amway communicates regularly with its stakeholders. They can affect or be affected by the business. Amway uses different ways to communicate with its various groups of stakeholders; such as 1.) Websites, emails and voice mail updates promote products and services to ABOs and customers and keep them up-to-date 2.) Industry and trade memberships enable Amway to share and receive industry information 3.) Publications target key sales messages, for example, its monthly newsletter for ABOs, Amway Focus 4.) Events and exhibitions help Amway to communicate to ABOs, consumers and guests about running an Amway business and the products it can provide

Amway is selling directly to consumers without going through traditional retail outlets or 'high street'. The supply chain A supply chain links the finished products to end consumers. Amway has its own distinct supply chain, placing a strong emphasis on its ABOs. They are able to focus on individual customers and their needs. This supply chain is different from a more conventional supply chain that sells goods to final consumers through retail outlets.
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