Amazon Company Description, History, and Reasons for Success

Subject: Case Studies
Pages: 1
Words: 294
Reading time:
2 min
Study level: College

Amazon is the largest and number one E-commerce company based in the USA that sells its services online. It is a store that consists of electronic and media, furniture, home and design equipment, clothes, jewelry, and other items. The founder of the company based in Washington is Jeff Bezos (Jordan, 2020). The company started selling books online in 1994, with the owner having the idea of growing big and fast for its success.

The company listed its shares on NASDAQ as an AMZN stock symbol. Currently, the company is generating healthy revenues, which are also traded standards and poor. They are firstly applying a “penetration strategy” while introducing their products (Ladd, 2018). They kept their prices low to attract customers to shop in their stores compared to their competitors like Flip kart, Snapdeal, and Homeshop. Amazon’s success may be attributed to two factors: the integration of two stores in one location. It has two Walmart, which has vendors that provide Amazon with merchandise, and eBay, which has sellers who sell directly to customers.

The application of six sigma principles in their supply chain is the key to success. This ensures that all their products are delivered on time. Maintenance of brand quality all over the world is the most vital aspect for huge volumes of sales across the globe. The liquidity and profitability of Amazon currently are very sound, with a large number of supplies making it a strong business that attracts many customers daily (McFadden et al., 2021). The selection of combining “buy box” and “flywheel” has enabled Amazon to offer the quickest delivery to its customers. This tactic has placed the company to be the best online store all over the world and has seen it expand more shops across the globe.

References

Jordan, F. (2020). Why is Amazon so successful? – Factors Explained | Sellics. Web.

Ladd, B. (2018). These tools are why Amazon is successful. Web.

McFadden, C., Papadopoulos, L., Paleja, A., Brahambhatt, R., & Paleja, A. (2021). The rise and rise of Amazon: A brief history of the everything store. Interestingengineering.com. Web.