Amazon.Com’s E-Business Model Essay

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Discuss the pros and cons of Amazon’s growth and diversification of business and specialization, and make recommendations about what Amazon could have done differently. Almost each and every company wants to grow. Just about every business wants to expand. Successfully growing and expanding is easier said than done. There are many obstacles all companies face when trying to find ways to grow their business. There are many tough decisions that have to be made in regards to how they will accomplish this. One way a company can see growth is by diversifying their product base. This is a strategy that Amazon.com decided to take to grow. Amazon.com is an online company that primarily dealt with the selling of books. The company became a power house and a definitive leader in this market. Management made a decision to make a change to how the company would do business. The decision was made to begin selling many other products through their system. There are a handful of benefits Amazon.com experienced as a result of making this change. Most importantly, Amazon.com was able to make this move because they had a solid infrastructure and brand. The company was able to capture customer loyalty over the years. Amazon.com consistently delivered a user friendly online shopping experience. Consumers relied on Amazon.com to satisfy their needs when it came to their reading materials. This solid business model and brand placed Amazon.com in a position to feel confident about moving into the business of selling various products through their website. They believed that consumers would feel comfortable buying what Amazon.com had to offer because of their past experiences. By doing so, Amazon.com began to offer complimentary items. Amazon.com now offers items that would be necessary for customers to purchase when buying certain products. As a result, you no longer

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