Is Amazon Fear The Fittest

In the recent past, Amazon has developed an important online payment system that has seemed to improve the customers’ concerns related to online safety and privacy. The approach has become a significant advantage for Amazon over E-bay as the recent struggles to deal with the development of a secure payment platform. On the same note, Amazon has a critical opportunity that is related to the possible development of more products under the entity 's brand, as opposed to using third-party products and goods (Bensinger, 2016). The company has the chance to increase more of the Amazon brand products in the process of reducing stocks from other partners. Amazon can exploit the current online markets and building capacity in new markets that include new countries that have not yet experienced the impact of online markets.

Neil Irwin of The New York Times writes of Amazon: “The online retailer is on a collision course with Walmart to try to be the predominant seller of pretty much everything you buy. Each one is trying to become more like the other — Walmart by investing heavily in technology, Amazon by opening physical bookstores and now buying physical supermarkets.” Something similar, says Irwin, is happening in “nearly every major industry,” benefiting “the biggest and best-run organizations, to the detriment of upstarts and second-fiddle players.”

Many consumers go for what appears to be cheapest and most convenient. The reality is, Amazon’s increasing dominance comes with high costs. “These consequences have gone largely unnoticed thanks to Amazon’s remarkable invisibility and the way its tentacles have quietly extended their reach” (LaVecchia, 2016). It is vital that consumers are aware of this superpower that is taking over.

The article “Amazon.com Is a 21st Century Deal with the Devil” from author Amy Koss (first published in the Los Angeles Times) talks about how Amazon is taking over malls, losing jobs, and how it is an overall scheme from Lucifer, which I disagree with. Why is Amazon seen as the antagonist when other major corporations are taking over online and physically too? Companies like these include ebay and Walmart/jet.com. As you can see, I disagree with the author because to be honest, the people whose jobs are being lost probably shop on Amazon themselves. Those who do not adapt to technology do not benefit from its advantages which help people find different products that would not be found in stores, for a better price, and delivered right to

Wal-Mart’s toughest competitor today is Amazon. Amazon is the world’s leading e-commerce retailing company. Amazon started as an online book merchant but quickly expanded into a host of other product categories. The company model sells, publish, market and advertise their products where the consumer can buy from the comfort of their own home. Most of which can be delivered within 48 hours. The company sells millions of products each and every day to its consumers. Unlike, Wal-Mart who sells just new products, Amazon sells brand new products along with used products from three parties. The model sells standard products by publishing and advertising goods on the internet. Amazon also sells and markets their own innovative technology such as the

Moreover, Development of technology has led to an increase in competition between online stores. Now there exists unlimited number of online stores in every country having multiple branches leading to the fact that they provide cheaper services to customers. Keeping this in view Amazon is now compelled to change its traditional style of business. Apart from this, Amazon has also realized that having a physical store, where customers can shop like regular markets would give an extra value proposition to the company. (Lee, 2014)

Amazon, Inc. is considered to be the leading online retailer in the world today with a platform of sale for over 40 different goods categories ranging from machine/motor auto parts, books, groceries and electronics. Apart from this, the large organization also has a platform for internet technology and ecommerce, a platform for internet advertising, a platform for logistics and fulfilment, an internet incubator for startups, and a search technology. The company was started in Seattle, America back in the year 1994 in July by Jeff Bezos, who was a former New York investment banker. Before Amazon achieved its great success, it was the original idea of Jeff to start a bookstore to sell books online. The company has tremendously advanced from an online bookstore to a globally known online Wal-Mart where many products are sold such as Hardware and Tools, games and toys, Cookware and Music CDs. Amazon gross sales over the years have shown the company’s incredible growth with revenues back in 1997 being $150 million growing over $100 billion today (Kargar, 2004; Mellahi & Johnson, 2000).

Kargar reports, “the company had a weak balance sheet [and] massive negative operating cash flow” (Kargar, 2004). Throughout the company’s financial history there have been many monetary losses. According to Robert D. Hoff and Heather Green, in 2002, “the company still carried $2.2 billion in long-term debt” (Business Week, 2002). In International Journal of Cases in Electronic Commerce, Pauline Ratnasingham reports that “Amazon.com shareholders lost 80% of their value in 2000” (Ratnasingham, 2006). Though sales increase rapidly, losses continue to soar as well. Despite the financial failures, in 2006 Bezos’ still believed that his investments would yield big payoffs in later years and that Amazon.com would be a “meaningful business...one day” (Hoff, 2006).

Amazon.com first started as online bookstore but soon it diversified into selling apparel, software, food, furniture, toys and jewelry. Nowadays Amazon produces consumer electronics like kindle book e-reader and the kindle fire tablet. Amazon’s mission was “to be Earth’s most customer-centric company, where customers can find and discover anything they might want to buy online, and endeavors to offer its customers the lowest possible prices”. Amazon.com began to offer it e-commerce platform to other retailers and individuals sellers in 2000.

This report is based on Amazon a global online retailer and web service provider. Amazon provides a broad range of products that includes apparels, beauty and health products, auto and industrial items, electronics, grocery, jewellery, kids and baby products, movies, music, sports goods, toys, books, games, tools and others. It also provides services such as home delivery and shipping, website hosting and other web related services. It offers its products via company-owned retail websites. It also produces and sells Kindle devices. Amazon offer programs that allow authors, musicians, filmmakers, app developers and others to publish and sell content. Geographically, Amazon operates in North America and other international locations through its affiliates. Amazon has its headquarters in Seattle, the US. In 1995 Amazon.com launched on the web and in 1997 the company became the first retailer to secure consumers and the number of the consumers is one million. In 1998 it entered into the online music and video, business and in 1999, it increased its business by selling toys, electronic, tools and hardware. In 2001, Amazon reported its first net profit

Amazon is a pioneer in online retailing. Through 3 third party agreements, the company offers the world’s largest choice in consumer products including but not limited to books, CDs, DVDs, electronics and office furnishings. The company has offices in 138 locations in 32 countries. Initially, the company’s purpose was to offer customers the opportunity to purchase books quickly and cheaply. Amazon has however grown since then to offer a wider variety through partnerships with more established companies such as Yahoo, Inc., America Online Inc., Netscape. They allowed the companies to use their website to promote its services and reach a greater audience. The company is worth 29.7 Billion Dollars and is traded on the US stock

Target’s main competitors are Walmart and Kmart who operate similar discount retail chains, with the former leading by employing competitive pricing through a lesser focus on quality and dominating the market with its massive product mix. Amazon, the e-commerce king, is another key player within the competitive environment. Its digital focus, obvious lead, ubiquitousness and minimized physical infrastructure make it a serious barrier to entry into the online retail market, a point that, as digital purchasing becomes more prevalent, all retail brands are having to reckon with.

The one constant worldwide activity is the buying and selling of goods and services. One of the leaders in retail is Amazon.com. A company that started in the infancy of the Internet as an on-line bookstore has grown to global market dominance from selling a large range of products with its Amazon Marketplace. As the company’s logo suggests, Amazon sells everything from A to Z. Amazon has used technology and innovation to change how the world shops and established the e-commerce industry as the growing trend for all retail business.

Amazon is a global expanded company offering online service to consumers making convenient for them to buy anything at any time. With growing competition in the market with other companies coming up with more range in products and online service, Amazon has maintained its competence level and an image among consumers by applying different pricing strategy to attract more consumers and remain competitive in the online retail market.

The article “Amazon.com Is a 21st Century Deal with the Devil,” explains the effects and reasons why online shopping stores, like Amazon, are causing a major downfall in physical shopping receptacles like shopping malls and boutiques. Using extreme exaggeration and writing in a way that the reader will relate to, the author emphasizes their belief that websites like Amazon.com are no good and do nothing except ruin many hardworking and familiar retail chains.