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Brief history of amazon
How does amazon.com deliver superior customer value
Brief history of amazon
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Jeff Bezos, founder, chief executive officer, president, and board chairman of the mega Internet store Amazon.com is considered one of the most innovative entrepreneurs of the e-commerce industry. At the age of 31, with just a computer science degree, little funding from his family, and a challenging idea, Bezos set out to pursuit his entrepreneurial vision of a internet bookstore which had turn into the biggest online retailer of our times (Jeff Bezos, 2007).
Born in January 12, 1964, Bezos demonstrated intense scientific and mechanical interests since an early age. Parents, Miguel Bezos, a Cuban immigrant engineer, and Jackie Gise Jorgensen were impressed when their three-year-old Jeff dismantled his crib apart using a screwdriver (Business, 2006). Bezos’ early age was not different, attending River Oaks Elementary in a Houston Texas suburb while playing scientist from their parent’s garage. From the garage laboratory Bezos assembled an electric alarm to keep his younger cousins away from his workstation. Bezos spent most of the summers at his grandfather’s ranch at Cotulla, Texas were he would display his mechanical skills by repairing tractors, windmills, among other tasks (Jeff Bezos, 2007).
In late 1970’s the family moved to Miami, Florida were Bezos attended Miami Palmetto Senior High School. The young man continued his early achievement when he was named valedictorian of his senior class in 1982, and was awarded with the Silver Knight Award from the Miami Herald (Business, 2006). Easily accepted, Bezos attended Princeton University and graduated in 1986 with a degree in computer science and electrical engineering, earning Phi Beta Kappa membership in the process (Business, 2006).
Bezos’ entrepreneurial personality...
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...e (Esten, 2007).
Bezos entrepreneurial visions when further that Amazon when in 2004 he helped found Blue Origin, a human spaceflight tourism start-up company. Recently, the 43 years old capitalist had been using a lot of his time and business knowledge to philanthropic work, heading his own foundation and addressing important issue to the whole world (Jeff Bezos, 2007).
Jeff Bezos have proved to be a very successful businessman with an incomparable entrepreneurial vision for opportunities. He led a small garage start-up e-bookstore to become the biggest online retailer in the world. During the process he reaffirmed his position as a great leader, manager, and human being. Recognized by multiple institutions in the business world and out of it, Bezos deserves the respect of the global society for having revolutionized the way the world shops online.
Mark has an MBA from the Stern School of Business at NYU and a BS from Boston University Questrom School of Business.
History”, n.d.). But the unbelievable pace at which Amazon added new products and new customers proved to be a formidable barrier for any competitors. Within the first 10 years Amazon accomplished an unbelievable feat; it had 49 million customers and 6.9 billion dollars in revenue, and it had done so by selling some products at a loss to build market share (Rivlin, 2005). At times it was difficult leveraging so much capital to grow market share, but Jeff Bezos’ focus on the customer and long term growth of the company proved to be the real reason Amazon didn’t fall prey to the .com bust like so many other internet
Brian, a young business executive, started a small software company in his mid twenties. He would invest long hours developing his business, often working late into the nights. When the business became profitable, Brian incorporated and went public through a stock offering. Flood gates open and money poured in the company coffers and Brian grew exceedingly wealthy.
Amazon was founded in 1995 by Jeff Bezos and became one of the first major companies to sell goods over the internet
Looking at Bezos’s business model from an entrepreneurial standpoint is very interesting. He decided to take a very unique approach to business and in doing so he took some big risks to get where he is today. For a company like Amazon that is constantly pushing the boundaries and moving into new territory one could do a SWAT analysis for nearly every year they have been in business and it would look drastically different. For now I want to retrospectively focus on the initial plan that Bezos laid out and strengths, weaknesses, opportunities, and threats that came with it.
Graduating in 1964, he momentarily considered pursuing a film degree but instead decided to enroll at Fordham University, and later transfer to The Whorton School of Finance at the University of Pennsylvania. During the summer, Trump would work with his father in the real estate industry, gaining experience. It was during this time that he and his father undertook the revamping of a neighborhood in Cincinnati, Ohio, The Swifton Village. After investing only half a million dollars into the units, he and his father were able to reach 100% occupancy in two years and turned over a $6 million profit (Korte 4). He graduated from The Whorton School with a degree in economics in 1968 (Encyclopedia of World Biography 4).
For our business profile project, we focused on Amazon. Amazon.com Inc. was founded by Jeff Bezos in 1994. Amazon was first started in Bezos ' garage and has turned into a billion dollar operation over the course of 22 years (Smith). Amazon is currently headquartered in Seattle, Washington and has branch locations all over the world. Amazon is most known for their kindle, fast shipping, and selling various products (Smith). With Amazon being such a large corporation professionalism, academics, character, and engagement are crucial parts of the success of the company.
Jeff Bezo’s began Amazon in his garage in July 1995 with three Sun workstations setting on wooden doors for tables and extension cords running from everywhere (Academy of Achievement, 2010). Right from the beginning he was a visionary leaving his well paying job as a senior vice president with D. E. Shaw to begin Amazon.com (Academy of Achievement, 2010). Being the visionary that he is he saw an opportunity prompted by the huge growth rate of internet use in a single year and ran with it never looking back. Jeff realized that the internet had “no real commerce to speak of” so he began researching possible businesses (Academy of Achievement, 2010). “After reviewing 20 mail order businesses and deciding which could be conducted more efficiently over the internet than by traditional means he decided on books” (Academy of Achievement, 2010). He thought books were perfect because attempting to send huge catalogs for all the available books would be expensive and cumbersome, but an online resource database that was easy to navigate would provide customers with easy access and a single point from which to shop. “In 30 days, with no press, Amazon had sold books in all 50 states and 45 foreign countries, obviously by the success of Amazon he was right (Academy of Achievement, 2010). In a case study written by Javad Kargar called “Amazon.com in 2003” he stated that “Amazon's online store was a big hit, with about $5 million in the first year of operations” (2004). This huge success so quickly would have confirmed for Jeff that his idea was viable and drove him to continue to strive for more. Jeff Bezo’s charismatic-visionary leadership is the key to his and Amazon’s success.
Customer service is paramount at Amazon and Bezos consistently reminds employees that their focus needs to consider the impact and feeling of the consumer. He is known to be an outside the box thinking daring to be bold and go against the norm. Utilizing drones to reduce delivery times while minimizing costs display Bezos focus on customers and stakeholders (Amazon Prime Air, n.d.). Bezos is a task-oriented transactional leader, who Brad Stone in his book “The Everything Store: Jeff Bezos and the Age of Amazon”, described Bezos as a micromanager who does not value the opinion of his employees (Stone, 2013). These individuals excel in achieving goals and positive outcomes but need improvement in human relations. Bezos tends to be bold and brash and not warm and fuzzy, and empathy is a critical component to others buying into your vision (Schwartz, 2015). He often becomes frustrated at his employees and berates them publicly; an unusual approach for an individual who built an amazing company. A company built on fear and stress looks beautiful from the outside but internally could quickly collapse if Bezos does not address his communications approach. Corporate culture is vital to the long-term future of business and Bezos needs to recognize how he leads the internal customer will translate over to the external consumer. Managing through fear and
My conclusion is that he is a very effective leader. If I were to become a successful CEO, I would follow his example.
Amazon.com, Inc Company started in 1994 and featured online in 1995. The company has done extremely well in the market achieving remarkable success. Initially, Amazon was known as Cadabra. Inc. however, the name of the company changes when the owners of the company knew that people confused the name for cadaver. Jeff Bezos is credited for founding the company. The company has its base in the United States of America as a multinational e-commerce company. Its headquarters are in Seattle, Washington. It has been rated as the largest online retailing company, in the entire world. It has close to three times the sales revenue that staples, Inc made as a runner up, in January 2010 (Shire, 2008).
Deutschman, A. (2004, August). Inside The Mind Of Jeff Bezos. Fast Company, 85, 52-58. Retrieved from: http://www.fastcompany.com/50106/inside-mind-jeff-bezos
Jeffrey Bezos, the founder and current CEO of Amazon.com, initially started the company as an online bookstore in 1994. Within several months, Amazon spread its operation to all 50 states and abroad. Presently, customers from over 45 countries buy at Amazon. Over a short period of time, the company expanded sales to electronics, video games, software, CDs, DVDs, MP3 downloads, food, furniture, apparel, jewelry, and toys. Today, the company even produces its own products such as the Kindle series. Also, Amazon.com is one of the major providers of cloud computing services. Currently, the company is the largest global online retailer responsible for 20% of online retail market share.
When Amazon.com first began in 1995, as strictly a book retailer, Bezos knew he had discovered an excellent company. After all, a physical bookstore cannot stock anywhere close to the number of books Amazon can offer online. Within a year, the company had a customer base of approximately 340,000 consumers and daily site visits were huge as well. But Bezos wanted to expand the company to offer music and DVDs, because he realized there was little or no barrier of entry. In the next years Amazon would emerge as a marketplace, expanding the company globally offering products from toys to kitchenware. Because of the relatively cheap prices Amazon was offering and also the growing number of online shoppers, the company was doing tremendous amounts of sales and creating profits.
In 1990, he joined D.E. Shaw and Company. He helped the company build the most technically advanced hedge funds on Wall Street. He eventually went from being a computer expert to a money manager, and became the company's youngest vice president. In 1994, Jeff read a statistic that said the Internet was growing at a rate of 2300% per year. He decided to leave D.E. Shaw and Company to form Amazon.com, which he named after the seemingly endless South American River.