Amazon (D) Prof. Zhenyu Liu
Prof.Zhenyu
Synopsis
• is the“poster child”of e-commerce.Founded by Jeff Bezos in
1994out of his garage near Seattle, had grown to
become a$1.65billion business by the end of1999with its number of
registered customers growing to16.5million.During the Holiday Season
gvmt>mona1999,42%of all online shoppers had said that they made a purcha with 1999f ll li h h d id th t th d h ith
<
books1999•In addition to being the number one retailer for books,at the end of1999, had and E-Toys as the number one o e eta e,espect ve y,o us c,toys a d boo s o y a
ccou ted o online retailer,respectively,for music,and books only accounted for one-half ’s revenue.’s apparent success, Bezos’business strategy,however,was not without controversy.
1995 After launching the booklling category in Summer1995, subquently began to pursue other retail categories:•Video,music,auctions,home improvement goods,electronics, Video music auctions goods electronics toys,zShops,computer software and so forth.
submit是什么意思•In addition,the company made equity investments in numerous addition
< companies such ,,
Sotheby com八年级下英语单词表
•With operating loss of$605.8million being recorded in1999 and the building of ven domestic warehous that to take on over$2billion in debt,investors and analysts have been sharply divided over ’s l t h b h l di id d h th A’business strategy of“getting big fast”made n–which makes this collection of cas a great class discussion.
thi ll ti f t l di i
b•Proponents ’s strategy realized the need for the company to“scale-up”quickly,to establish itlf as the dominant online brand,and to cross-ll across veral different retail categories to realize greater profitability long-term.•Critics ’s strategy charged that the company
low shouldergy g p y was unfocud by pursuing so many different retail categories ,p g p y g at once,would suffer cash flow problems during2000in paying off its debt,and wondered aloud how far the“”brand could be stretched.
•Since its stock has grown from a split-adjusted IPO price of$1.50per share in May1997to a high of $123per share in December1999–leading to Bezos’being named Time Magazine s Man of the Year in1999.In October “Time Magazine’s Year”1999
2000,the stock was trading at$29per share.
Teaching Objectivesadjuster
Teaching Objectives
p g g •Demonstrate the importance of branding in establishing a"first mover"
advantage in a business-to-consumer tting.
•Demonstrate how the7C's relate to the business-to-consumer tting.•Demonstrate why"scaling in size"is important ’s success--and many other Internet start-ups.
•Show ’s organization–free of any cannibalization of a traditional“bricks-and-mortar”channel-is able to scale its online channel quickly.
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公务员备考
在线英翻中•Ask what brand stands for–a collection of retail categories or providing the best customer rvice in the online world.
charmeworld •Ask whether Bezos strategy“to get big fast”should be pursued instead of
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one that focus on“becoming profitable first.”
