Daniels Fund Ethics Initiative University of New Mexico http://danielsethics.mgt.unm.edu Zappos: Delivering Happiness to Stakeholders INTRODUCTION Can a company focused on happiness be successful? Zappos, an online retailer, is proving that it can. The company’s revenue grew from $1.6 million in 2000 to $1.64 billion in 2010. Tony Hsieh, Zappos’ CEO says, “It’s a brand about happiness, whether to customers or employees or even vendors.” Zappos’ zany corporate culture and focus on customer satisfaction has made it both successful and a model for other companies. This case examines how Zappos’ focus on stakeholder happiness has contributed to its success. First, we examine the history of Zappos, its core values, …show more content…
Products are grouped in specialized segments, with some (like outdoor products) on their own mini‐sites. Customers can view each product from multiple angles thanks to photographs taken at the company’s studio, and Zappos employees make short videos highlighting the product’s features. Zappos analyzes how customers navigate the site to improve features, adapt search results, and plan inventory. 3 The spirit of simplicity, innovation, and great service extends to Zappos’ inventory and distribution systems as well. Zappos has one of the few live inventory systems on the web. If the Zappos website displays an item, it is in stock. Once the company sells out of an item, the listing is removed from the website. This helps to reduce customer frustration. Its inventory and shipping systems are linked directly to the website via a central database, and all its information systems are developed in‐ house and customized to the company’s needs. Their warehouses operate around the clock, which allows them to get a product to the customer faster. Fast shipping creates an instant gratification that is similar to shopping in a physical store. Most companies have a negative view toward returns, but Zappos’ mentality is the complete opposite. It sees returns as the ability to maintain customer relationships and to increase its profits. Zappos offers a 100% Satisfaction Guaranteed Return Policy. If a customer is not satisfied with
In what ways does Trader Joe's demonstrate the importance of each responsibility in the management process—planning, organizing, leading, and controlling?
In the modern world of business, it’s possible for a business to cater for both its best interest and that of the consumer conjointly. The best interests of most companies, for example those in the fast food industry, include maximizing profitability by increasing sales (Forschler, 2013). However, it’s possible for them to cater for the best interest of the consumers, such as increasing consumer satisfaction, only if they utilize state-of-the-art
Wal-Mart is an American multinational retail corporation and one of the leading discount department retail stores (Wikipedia). It is the highest- grossing company in the United States (Fortune 2008a), and is by far one of the most successful companies worldwide. Wal-Mart offers a place to buy the majority of our goods under one roof like electronics, furniture, clothing, pharmacy, sports, food, books etc. Wal-Mart sells good at lower price than the others and this is even shown by its slogan “save money, live better”. It drives out smaller and sometimes even the expensive stores out of business due to its lower prices. Wal-Mart provides jobs for thousands of
Zappos (the Company) is an online shoe retailer that started its business in 1999. The Company later expanded and increased the variety of the products it sells by adding clothing, beauty products, and housewares product lines. Additionally, the Company created a brick and mortar storefront to expand the business from online only and increase sales. The Zappos Customer Loyalty Team Case Study emphasizes the customer service department and the drop ship method.
This paper includes a study about Zappos Online Retailer Company. The purpose of this study is to do a detailed analysis of the current situation of this company and the service issues that they are facing in order to find solution to reach their goals.
Costco is a recognized and successful retail chain including several locations, glowing feedback, and a wonderful overall reputation. Known by several audiences to be considered a “big-box” store, Costco offers various products in its stores at low, discounted prices, accompanying a membership card. Before and after researching this company, the author of this paper has heard exceptional feedback regarding the company for its initiative to keep prices low, employee morale high, and customer satisfaction to be one of its top priorities. Within this body of work, the author will dissect and discuss some of Costco’s stakeholder perspectives and how some of the perceived initiatives may help aid the company within its
Another social factor is demographics. As Lululemon products are highly prices, it is important to research the social economic aspects of the neighborhood. Moreover, Lululemon faces high rates of obesity and overweight in America and Australia, hence the importance for well-trained “educators.” As Lululemon incorporated e-commerce in 2009, a technological as well as an external factor is to ensure customer service provides the same level of customer services as the face-to-face interaction in the stores, and to maintain the website up-to date. It is important for Lululemon to maintain a user friendly website that would encourage people from all ages to buy Lululemon’s products.
There is an ongoing debate on which store, Target or Walmart is the most ideal. This essay will compare their missions, product quality, customer service, and overall superiority. A mission statement can say a lot about a business, so we will analyze them both. Product quality isn’t about how sparkly the dress is, it’s about the fabrics lifetime and quality. Customer service could be the thing that keeps customers coming or drives them away. what I’m trying to solve is, which store has the best of which and what store will get the job done
A firm’s performance and financial standing can be measured by a number of valuations and techniques. Financial data is used to perform a financial analysis on a business to determine the company’s stability, profitability, and liquidity. For instance, J.C. Penney’s financial stability was drastically damaged leaving all external and internal stakeholders questioning the value of the department store. J.C. Penney’s has a number of stakeholders that should always be satisfied while making business decisions. One of J.C. Penney’s most valuable stakeholders is its customers. J.C. Penney’s customers expect the retailer to provide them with up-to-date products at an affordable cost, while also expecting trained personnel to attend to their needs. One of J.C. Penney’s main goal is to get new and repeated customers; therefore, it is critical for J.C. Penney’s to develop a strong understanding of its customer base. During J.C. Penney’s failure, many customers reported that employees did not make an effort to develop a professional relationship with them.
Zara is a high-end street store offering the latest tastes in fashion for women, men, and children alike. Amancio Ortego, Zara’s founder, has made the store grow with rapid success in both its home country, Spain, and internationally. One of the distinct reasons why Zara is such a unique company compared to its competitors is its foundation of the quick response system. Today, Zara’s cycle time is six weeks, in which it responds to its customers’ demand very quickly, unlike most stores that take half a year. Overall, Zara is distinct from most apparel stores in its ability to travel globally and from its international strategy.
The foundation of the “mission” statement is the customer’s happiness during a shopping experience with no reference to employee respect or happiness.
When natural and social issues began to be at the top of the brain for customers, organizations can no more exist in the corporate world. Now- a-days customers aren 't simply searching at the best cost and quality, they expect the organizations to do something that brings a positive effect on their general surroundings.
Organizations like Amazon store realized that attaining long-term customer value through delivery of quality services is the key to their existence. Also, be alert to the customer’s needs and wants, because having a loyal base of satisfied customer brings relevant performance indicators. For example, increase in sales improved profits, and possible higher market share (Shamma & Hassan, 2013).
In a modern fast paced world, people seek instant gratification. On a national level this can be seen in companies such as Mc Donald’s which have adopted this notion by preparing hot, quick food for customers. This can be delivered on a local level as well as we see in a company like Comet Cleaners which offers a same-day service. According to Entrepreneur and Online Marketing Expert, Neil Patel, “Humans are hardwired to want things -- now. It’s called instant gratification, and it’s a powerful force.” The sensation associated with instant gratification is a delightful feeling. A feeling of seeking pleasure, which can be easily fulfilled in today’s world. One simple form of instant gratification is the desire of wanting packages to arrive faster. While online retail stores utilize standard mail carriers, Amazon.com, has found a way to meet faster delivery demands. Releasing their new, self-service lockers, Amazon is able to leverage their title as the “e-retail giant.”
content with the goals of the site. In this paper, both the retail-apparel and non-profit sectors are