A Review of Amazon

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A Review of Amazon.com—2002 The article Amazon.com—2002 relates the journey on which Amazon has been since its inception in 1994. Amazon began as a simple online book selling corporation, but has expanded its list of goods over the years. This expansion has resulted in Amazon joining with other, larger corporations in order to multiply its customer base. Its founder, Jeff Bezos, walked Amazon through this journey with all of its upsides and downsides. When Amazon reached its eighth year, Bezos found himself asking the question as to how the company could continue to deliver on its vision, “in the face of changing economics, uncertain financial markets, and a constantly evolving set of competitors . . .” (Leschly, Roberts, and Sahlman, 2003). Some of the problems that Amazon found itself facing during this tumultuous time were the doubts and reservations which were beginning to surface concerning Amazon’s business model. Also, the decision to expand with other companies put a strain on Amazon’s resources. One of the areas decided upon for expansion was apparel. While the apparel industry is quite lucrative, it is also a much more complicated business than what Amazon was currently offering. And doing business on the Internet brought its own set of problems. As opposed to traditional retail, Amazon had only a few distribution centers that packed and shipped millions of products to millions of customers. On the other hand, physical retail had the advantage of having multiple distribution centers that delivered goods to stores, not directly to customers. When traditional retailers began realizing that doing business online was complicated and difficult and only provided them with a small percentage of their revenue, Amazon began realizing that the concept of being customer-oriented was changing from customers meaning buyers, to customers now also

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