Solved: The following describes the competition between

Google and Amazon for

The following describes the competition between Google and Amazon for

The following describes the competition between Google and Amazon for fast delivery of
customer products.43

In 2011, Google, Inc. began to challenge Amazon's e-commerce dominance by engaging in

discussions with major retailers and shippers about creating a service that would let customers
shop online and receive their orders within a day for a low fee. This was a direct challenge to
the Amazon Prime program that, for $79 per year, offered customers fast shipping at no
additional charge for many items on the company's website. Amazon Prime increased the
company's sales by 42% in the first nine months of 2011. Google did not plan to sell products
directly to consumers. The goal was to meld its search engine's product-search feature with a
new quick-shipping service that Google would control. Both Google and Amazon had been
moving toward similar strategies. Amazon had become a destination for product searches and a
big seller of online advertising, encroaching on Google's territory. Google responded by moving
into the online retail industry, dominated by Amazon, that was expected to grow 12% to $197
billion in 2011. new strategy would also put it in competition with eBay and Shoprunner Inc.,
both of which had fast-shipping programs.

Describe the strategies used by these oligopolists to fight the fast-shipping wars.

The following describes the competition between Google and Amazon for

ANSWER
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