Company Conerns

Competition
  • price war with giant retailer, Wal-Mart
  • Google, Wal-Mart, Barnes and Noble and Plastic Logic developing e-books to compete against Kindle

Company

Continuing to move from book store to general retailer

  • purchased Zappos
  • powers and host CDNow.com
  • powers and operates online advertisement for Target, Bebe, Lacoste, and many more
  • according to compete.com in 2008 amazon had double the web traphik of it's competitor Wal-Mart.com

Introduced new products

  • New Kindel released: pre-sale orders outperfomed projected numbers
  • Amazon EC2
  • Amazon S3

Expanded Operations

  • Operates internationally

Coupled with top companies

  • coupled with various companies
  • developed iphone application that allows consumers to perform a "quick purchase" of book

Huge gains in third quarter

  • Shares increased 27% to an all time high
  • 68% increase in its third quarter profits

Industry: Retail, E-Commarce

2009 was a sluggish year for the retail industry
  • according to Forbes Magazine the third quarter saw a 2% decline in sales as compared to last year
  • industry, however, is greatly positioned for spark growth during the holoday season
  • Consumers seeking to avoid lines in stores are looking to online shopping
  • introduction of moblie commerce capable phones also helping sales

Introduction

  • Online commerce comany launched in 1995
  • Based in Seattle, Washington
  • Headed by Chairman and CEO Jeffery Bezos
  • It is publically traded on the NASDAQ under the e-commerce sector within the Retail industry
  • Operates under internet based Business to consumer (B2C) model
  • Provides products ranging from books, to CD's to furniture and appareal
  • According to NY Times is fast on it's way to becoming the "Wal-Mart of the internet"
  • As of 2008: 20, 500 employees

Operating income of $842 million

Net income of $645 million
  • Main source of competition is internet giant and online auction E-bay and the super retail store Wal-Mart