AMAZON THE COMPANY THAT ATE THE WORLD Kimmy

AMAZON, THE COMPANY THAT ATE THE WORLD Kimmy Ni Drew Meriwether

WHAT IS AMAZON? The world’s largest online retailer Founded in 1994 by Jeff Bezos Headquartered in Seattle, Washington Had revenues of 48 billion in 2011 Did not show a profit until 2001 http: //www. youtube. com/watch? v=LJRs. EW 3 Qhl 8

THE KINDLE FIRE 7 inch screen and $199 (less than half as much as the cheapest IPad) Easy-to-use interface that ties in with other Amazon services (e. g. cloud computer engine) Other products that tried to mimic the IPad (HP Touch. Pad, Motorolla Xoom, and RIM playbook) have failed

HOW AMAZON COMPETES WITH APPLE IPad has an Amazon app, but Apple takes a 30% cut of sales and doesn’t let Amazon refer users to its own site Amazon has opened online media stores and offers free Netflix streaming service with Amazon Prime Unlike Apple, Amazon “has no problem operating at low profit margins” $199 $499

http: //www. youtube. com/watch? v=t. Ci. C 9 h 2 tit 4 http: //www. youtube. com/watch? v=b 2 LLSrl. Kr 3 c

WHAT HAS MADE AMAZON SUCCESSFUL Went from “Earth’s Largest Bookstore” to selling millions of different products and services Borders and Circuit City have gone out of business Best Buy and Wal-Mart are losing sales Websites that match Amazon’s price and speed (e. g. Zappos, Diapers. com) have been bought out by Amazon

CHALLENGES FOR AMAZON Worker conditions aren’t so good – http: //www. mcall. com/news/local/amazon/mc-allentown-amazoncomplaints-20110917, 0, 6503103. story Employees get few benefits and perks Large sales-tax debate between Amazon and many state legislators

THANK YOU QUESTIONS?