Generally, Laudon and Laudon (2011, pp. 230) points out that, Amazon provides a range of electronic commerce services under cloud computing, which also called utility computing. This enables Amazon to share its resources and software, among its many other products and services.
Amazon together with its subscribers enjoys a number of benefits from these technology services. First, they are able to focus more on core operation competencies, because they are able to dedicate enough time on their jobs (Curtis and Cobham, 2008). Second, Amazon as well as its subscribers not only communicates faster online but also offline, which leads to improved teamwork. Malfunctions reduce as there is increased efficiency from the use of technology, given that Amazon is able to get dependable support from its technical team. Also, Amazon gains from the cut back technology equipment costs as they focus solely on it, especially in purchasing. Moreover, (Velte and Elsenpeter, 2009) states that, with technology services, companies like Amazon are able to establish a better competitive edge as far as speed and agility is concerned. Singularly, they are able to make their customers happier, since they are able to get help when they need it with reduced operating costs. Equally important, they are both able to get enhanced human resources, the environment created by technology attracts their stay in organizations hence stability in service delivery (Halpert, 2011).
Conversely, (O’Brien and Marakas, 2008) suggests that, with the above mentioned benefits of integrating information technology in an organization, there are some demerits. For example, the price for implementation of information technology is often high; especially the cost of hardware not lea...
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The most obvious technological advance that helped Amazon, and the one that launched the company, was the internet (Parnell, 2014). Jeff Bezos knew that he wanted to open an online business and decided to start with a bookstore due to low pricing and an existing worldwide demand (”Amazon.com, Inc. History”, n.d.). After deciding on a model, he chose Seattle as a home for his business due to its proximity to high tech workers and a large book distributor. The website opened with a database of more than one million titles, whereas many competitors only stocked 2,000, and the orders went directly to wholesalers. Amazon quickly expanded their database to 1.5 million books and started offering deep discounts which attracted many new customers.
Amazon.com’s US operation business model is based on “sell all, carry few”. Amazon offers consumers a wide selection of products while keeping inventories at low levels. A major interest for Amazon in the US is optimization of netwo...
Growth is core to Amazon.com's business strategy, and that has had a significant impact on the way they use technology: growth through more categories, a larger selection, more services, more buying customers, more sellers, more merchants, and more developers, increasing the different access methods, and expanding delivery mechanisms. The impact has been on many areas: larger data sets, faster update rates, more requests, more services, tighter SLAs (service-level agreements), more failures, more latency challenges, more service interdependencies, more developers, more documentation, more programs, more servers, more networks, more data centers. A large part of Amazon.com's technology evolution has been driven to enable this continuing growth, to be ultra-scalable while maintaining availability and performance.
What technology can do for a company is important. A database takes information from one location and sends it to another location. Amazon’s database is the backbone to the company because Amazon is an e-commerce base company. Amazon runs off of a Linux- based database. As of 2...
This strategy can benefit the company and its employees by direct and strict policies, in which it will relay to the employees to work harder and keep improving. In addition, this hard work and constant progress can result to the employees deeply appreciating their work and become more confident about themselves. If both the employee and managers are pleased about the performance and outcome, then the customers too will appreciate the service and product they receive. Also, a customer who becomes satisfied with their service will most likely become a loyal customer. In turn, the company will gain growth in profits and recognition from other customers. A successful business model or strategy like Amazon’s should be adapted by other companies to ensure the success and development in both the company and its employees. Just like what David Rockefeller said, “Success in business requires training and discipline and hard work. But if you’re not frightened by these things, the opportunities are just as great today as they ever
Amazon’s macro-environment is made up of six external factors: political, economic, environmental, technological, social, and legal conditions. These factors are important because they shape how the company operates and you must know each piece to be able to compete within the retail and eCommerce industry. An evolving political factor are the efforts the government has made toward punishing offenders of cyber-crime. This kind of thief wasn’t walking into your store, but hacking into your computer. This type of crime wasn’t possible before the internet. The government has started to take these crimes more serious as technology evolves. Technology is a factor that Amazon.com must invest heavily in. They are reliant on having top of the line technology to survive against cyber-crime and to stay relevant in the tech world. ECommerce is everywhere now and competition is very high. This brings in legal conditions; Amazon must know what laws exist in which countries because they are a
Amazon has been able to maintain sustainable competitive advantage based on three operational strategies. These are low cost-leadership, customer differentiation and focus strategies. Low cost-leadership is pursued by Amazon by differentiating itself primarily on the basis of price. By offering low prices to customers Amazon ensures its future success. Partially modifying the costs of lowering prices over time through achieving higher sales volumes, negotiating better terms with suppliers, and achieving better operating efficiencies. Amazon makes sure that it offers the same quality products as other companies at a considerably cheaper price. Another strategy that Amazon has is its fast delivery service and there are many delivery services that one can choose from. With Amazon Prime, there are certain, but many products that have free two-day shipping. Also, with Amazon Prime, there are many offers specifically for people that have Amazon Prime. For example,
Firstly, Amazon utilizes Amazon Web Services (AWS) to put their website in the cloud to optimize the speed of using the website. This greatly optimizes speed for both internal use, and also for customer use. Even customers wanting to rent the servers from the AWS can and they do find using this service is faster and much cheaper than setting up their own servers.
.... Amazon uses the internet to allow customers to make content searches, for instance inside books. In addition it has used e-commerce to enable customers to buy online access to certain books through its upgrade program (Webanalyticsbook.com, 2007).
Amazon.com creates value for its customers by offering customers broad array of products to select from through their website and ensuring timely delivery of products to exhibit high level of commitment towards their business and customers
Amazon is the world’s largest retailer online. Founded in 1994 it has started as an online bookstore but soon expends its catalog with software, video games, electronics, furniture, food, toys etc.
[p12] Vaquero L.M., Rodero-Merino L, Caceres J., Lindner M. A break in the clouds: towards a cloud definition. In: ACMSIGCOMM, editor. Computer communication review 2009. New York: ACM Press; 2009. pp. 50–5. (for grid virtualization)
From the consumer side, Amazon provides services like Amazon Prime, which delivers free two-day shipping on retail purchases, on-demand video streaming and a free access to the Kindle library, everything for an annual
Armbrust, M., Fox, A., Griffith, R., Joseph, A. D., Katz, R., Konwinski, A., ... & Zaharia, M. (2010). A view of cloud computing. Communications of the ACM, 53(4), 50-58.
In cloud computing, the word cloud is used as a metaphor for “the internet”. So the cloud computing means “a type of internet-based computing”, where different services such as servers, storage and applications are delivered to an organization’s computers and devices through the internet.