Zappos' Swot

2308 Words10 Pages
Established in 1999, has quickly become a leader in online apparel and footwear sales by striving to provide shoppers with the best possible service and selection, with gross merchandise sales exceeding $1 billion annually. Zappos’ company culture delivers happiness. 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. In 2010, Amazon bought the company for $1.2 billion. Although Hsieh had rejected an offer from Amazon in 2005, he believed that this buyout would be better for the company than management from the current board of directors or an outside…show more content…
Employees receive detailed information about the company’s performance and are encouraged to share information about the company. Zappos believes that employees should develop open and honest relationships with all stakeholders with the hope that this will assist in maintaining the company’s reputation. Until now I discussed Zappos’ background, service systems of customers, relationship with their co-workers. Following step, I will analyze Zappos’ competitive environment. Next, I discuss about Zappos’ strategies in competitive environment. Many companies struggle to incorporate today’s new business memes. The e-commerce landscape is growing more competitive as the number of entrepreneurs entering the online marketplace is increasing, according to online payment service provider PayPal. Zappos struggled for its first few years, making sales but not generating a profit. The dot‐com crash forced Zappos to lay off half its staff, but the company recovered. In 2003, the company decided that in order to offer the best customer service, it had to control the whole value chain from order to fulfillment to delivery and began holding its entire inventory. Zappos also started to be recognized for its unique work environment and approach to customer service. The Zappos business model is built around developing long‐term customer relationships. In 2012, Zappos has become the best seller of shoes online ahead of J.C. Penney, Macy’s, Foot Locker by stressing customer
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