The success of Amazon.com and its causes

Amazon.com is an American electronic commerce company in Seattle, Washington. Amazon was founded by Jeff Bezos in 1994 and launched it online in 1995, which is an e-commerce best known as the first online retailer of the Internet world. Amazon has established separate websites in Canada, the United Kingdom, Germany, France, China and Japan.

Amazon.com does not only sale the book, it also sale variety of electronic items such as video, music, health and fitness, wireless cell phones, house holds, software, and many more stuff. Besides that, Amazon.com also offer more types of products, more conveniently, and at lower prices to fulfill the customers need.

Amazon.com has been success in the field of e- commerce because the effective management and consumer identification in the market. The strategy for Amazon.com for selling the product is different from other e-commerce organizations. Its prudential approach generated a marginal increase to the revenues as well as expanded its existing commercial activities. So, when the market is slow, Amazon.com also has the globally customer base with a steady increase from its sales products.

Values play an important role in Amazon.com’s succeeding. There are two values that are practiced by Amazon.com. These are customer satisfaction and operational frugality. Due to frugality value, Amazon,com paid the lower rate of salary to employees compare than other company. So, it can invest more on branding and business expansion. However, Amazon.com sustain employee loyalty through employees own the company’s share. Therefore, when Amazon.com earns the profit, their shares will profit too.

Another factor that causes it success is customer services. This success is based on customer-value proposition, such as leave a positive impression to the visitor when they visit the Amazon.com site, while also providing buyers with reasons to visit the store again. Besides that Amazon.com has to perform as their promised, such as punctual delivery.

In 2008 Amazon expanded into film production and is currently funding The Stolen Child with 20th Century Fox. The domain amazon.com attracted at least 615 million visitors annually by 2008 according to compete.com survey.