Project Submitted by – Akash Bisht

About the Company

• Founded by Jeff Bezos on July 5, 1994

• American electronic commerce and cloud computing company

based in Seattle, Washington
• Largest Internet retailer in the world (Revenue and market
capitalization)
• amazon.com started as an online bookstore and later
diversified to other categories
• Amazon has separate retail websites for the US, UK, France,
Canada, Germany, Italy, Spain, Netherlands, Australia, Brazil,
Japan, China, India, Mexico, Singapore, and Turkey
• Amazon is the second most valuable public company in the
world (behind Apple), the largest Internet company by revenue
in the world, and after Walmart, the second largest employer in
the United States
 Key Success Factors – Amazon

• Direct to consumer online model

• Low inventory risk – Strategic location, Optimum level

• Huge economies of scale – Virtual barrier for new entrants

• Presence around the world – 15+ country specific websites

• Entry through strategic acquisitions

• Diversified product mix (Retailing, AWS, Alexa, Kindle, Fire,

ATS, Prime
Video, Prime Music)

• High customer retention – Customer centric approach

• Local language (amazon.in is also available in Hindi)

• First mover advantage – Online Retailing

Amazon’s Competitors across major countries
 SWOT Analysis - Amazon

● Powerful global brand

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Diversified portfolio (Products & Services)
Customer Support (Earth’s most customer centric company)
Presence in global landscape

● Third party sellers on website (Lesser Control)

● Dependence on third party logistics

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Huge Capital being wiped off due to competition (Sale)
Stockpiling (Slow moving and Non moving goods)

● Backward Integration (Amazon Basics products)

● Strategic acquisition of local players (eg. Walmart-Flipkart)

O ●
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In-house payment service Amazon pay (Developing Nations)
Opportunities in Middle East and Africa

● Intense competition in China, a major market. Competitors

T
such as Alibaba, JD already have the first mover advantage.
● Low entry barriers means tough competition, price wars,
shrinking margins & losses