Amazon.com, Inc. - Overview, Competitive Advantages, and Environmental Analysis

Amazon.com, Inc.
Introduction
Amazon.com, Inc. is a multinational and technological company established in
Washington that emphases on cloud computing platform. The year 2015, Amazon
exceeded as greatest valued merchant in United States by market capitalization.
Amazon was further launched its operation in India in June 2013, latterly the company
launched its website. The organization widely offers variety of choices in books,
televisions show, movies, house items, glossaries among other personal requires
(Hardey, 2009).

Overview of Amazon Company
 Amazon.com, Inc. has a unique and pulverized breaking deviations in both business and
technology, and over the past eras it has formed an ongoing IT infrastructure defy for many
senior expert executives. Amazon has a web system, "full-featured service that includes
computing and storage capacity, content delivery, data management, software, networking,
payment and billing systems and other applications” (amazon.com Inc.,). According to (Varia
and Mathew, 2014) Amazon Web Service should be prolonged to enable the developers meet
their needs. The Amazon Web system has short term and long term profitability and growth
(Varia and Mathew, 2014).

According to (Varia and Mathew, 2014);
 The reasoning behind their low short term profitability is because Amazon has large capital
investments. It is long term profitability is high because it is a very high growth market.
 There are several pros and cons to the Amazon web as well, some pros are there is available
capital, it can grow pretty big and it helps in expanding customer base several cons are it is an
untested market, and it has a short life span in technology.
 Some consistence’s that Amazon has with this service is that they are still favoring long term
profitability over short term; they are also being consistent with resources because they are
just expanding. In the end Amazon has great potential and is a successful growing company
and it going to do great things (Varia and Mathew, 2014).

Competitive advantages over its competitors
 Amazon can gain a competitive advantage over its competitors (Haucap and Heimeshoff, 2014). I believe
this because they have grown so much just, from where they started off which was just an online company.
 They started solely as an online book store and now they are selling so many products. They sell books,
music and movies, consumer electronics, computers and office supplies, tools and stuff for cars, food and
household items, toys, video games sports and fitness equipment, clothing and stuff for people of all ages
and they have the kindle (Haucap and Heimeshoff, 2014). Not only do they sell all of these products they
have several non-retail items like their web service, fulfillment by amazon and commission based selling.
 They also made smart decisions in buying out several companies like IMBD, exchange.com, musicfile.com,
planetall.com, jungle.com, and bibliofind.com this was a smart move for amazon because it gave them an
advantage because now they have rights to sell more items and they took over some of their competitors to
gain an advantage(Haucap, and Heimeshoff, 2014).