Amazon’s Operational Management

Amazon’s Operational Management 1
AMAZON’S OPERATIONAL MANAGEMENT
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Professor
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City and State

Amazon’s Operational Management 2
Executive Summary
Amazon has is regarded as the founder of the E-commerce industry. Alternatively, the current
establishment in the E-commerce industry has improved the interplays between customers, and
enterprises, which forced Amazon to provide more precedence on a custom-built IT. Hence, E-
commerce is slowly replacing the in-person shopping center as retail stores strive to combine real
with the virtual, and provide options for all consumers. In Australia, Amazon.com brings the
volume of buying to the convenience of the buyer, and it has an impact in reducing the price of
the products.

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Introduction
For the past two decades, Amazon has emerged as one of the best online retailers in the
E-commerce industry. The firm is American-based, and its growth is attributed to cloud
computing services. Notably, two telecommunications have facilitated the steady development of
the company; customer integration relationship management, and information management to
the general enterprise approach. Consequently, Linux is a primary strength behind Amazon’s
technology. The IT structure of the firm has been developed such that it can handle more than
millions of operations. In spite of this fact, the organization can handle queries, and sensitive
issues of more than half of the sellers’ volume. Just like any other E-commerce company,
Amazon encountered threats of securing and storing the debit and credit card information of
more than 1000’s of consumers daily. Fortunately, the firm utilizes the consumer relationship
intendance computer circuit under business resources operation to store customized data, and
buying trends of its buyers. It is integrated with the advertising and marketing campaigns of the
brand.
Amazon’s sales strategy have been exquisite, and they reflect its Management
Information Systems (MIS). Demir (2017, p.12) mentions that the goverance of the enterprise
have made a transformation from a “single-level” sales approach to a “multi-level” E-commerce
approach. The previous development of the company was influenced by business to customer
replicas of selling, and enterprise to the business operation style. Consequently, the current
establishment in the E-commerce industry has improved the interplays between customers, and
enterprises, which forced Amazon to provide more precedence on a custom-built IT. It was vital
as it would value and respect evaluations of all the consumers as part of its business oversights.

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Therefore, retailers’ exclusion has facilitated the development in Amazon.Com as it enables the
buyers to buy and sell the products using its platform.
Factors Influencing the Growth of Amazon to an Everything Store
The inspiration of Bezo to develop an online enterprise store came after his former
supervisor required him to find business opportunities that could be managed with internet
technologies (Naranjo, 2015, p.30) asserts that Bezo was aware of bookstore values, although he
was uninterested in maintaining a regular stock of books in a particular warehouse. Amazon
began by focusing on a business model that could oversee a fast-turning inventory from a
centralized location, and a low-overhead intendance. Importantly, the merit of operating a
website is that external infrastructure already exists such as internet connections and computers.
This assisted Amazon to reach a worldwide audience with its unique central location. Amazon
was able to provide an experience that previous E-commerce retailers could not as it allowed
buyers to explore goods at any time of the day, regardless of their social class or income.
The firm began as “Cadabra” but later adopted the name Amazon as the online book retailer.
The name change was significant such that Amazon appeared on the top of the alphabetical
order, which contributed to the growth of the enterprise (Xu, 2016, p.32). Amazon’s mission had
always been to offer value for its buyers, which influenced the enterprise to begin selling music
videos and DVDs, then a year later it started selling electronics, home appliances, video games,
toys, and software. Murrell (2014) suggests that Amazon has surpassed expectation as it pays
attention to its virtual data, which enabled the firm to have the most extensive book catalog
worldwide, and a vast network with third-party sellers of used and new books. Ritala, Golnam,
and Wegmann (2014, p.245) assert, “Amazon generates revenues from third-party sellers
through a service called Fulfillment by Amazon, which helps handle third-party sellers’ back-end