Advance Marketing - AMAZON

Running Head: MANAGEMENT 0
ADVANCE MARKETING -
AMAZON

MANAGEMENT 1
Amazon Case Study
Initially, Amazon was created as a bookstore in 1995. However, throughout the years
Amazon made their website for more than just books. Amazon’s website is now selling
anything and everything a person needs or wants. It sells movies, electronics, clothing,
groceries, furniture, housewares, and many other goods. These items are sold through the
website either directly from Amazon or as the middleman between other retailers. Amazon
has established a way to revolutionize how people shop in today’s world (Cukier & Mayer-
Schoenberger, 2013).
Amazon’s Success
In relation with the article, Amazon achieves success when so many other
organizations have failed as they are always on their A game. For too many organizations,
larger the size it became, the warehousing and distribution structure became complex.
However, in case of Amazon, the company has taken in the right direction and not only that it
just start off as a book selling organisation they have exceeded that and became a technology
centred organisation. The company keep them updated with the greatest tech and latest trends
and they also have maintained extensive distribution network in extent with various suppliers.
In addition, Amazon allows business and consumers to sale and market their own products on
their website. In addition, Amazon considered their distribution system as a part of their core
competencies and do continuous invest in it to rationalize every expense (Mohammed, 2018).
Hence, the innovative and efficiently controlled distribution allow the company to offer
quicker deliveries, promise the exact delivery date and keep its assurances on product quality.
This aid in immense success of the organisation

MANAGEMENT 2
Amazon’s Pricing Model
Considering Amazon pricing model, it is based on low and affordable prices. They
pay customer so that they can market their products on the company website and also
promote their website on their app and page. In context with Amazon prime members, the
company offers two day shipping facilities which ease the way when the user continuously
book order online. These practices are known to be effective as they reached out to more
consumers and they provide a quick and easier process to acquire products. Moreover, getting
products on low prices help Amazon to retain customer over longer period of time. Taking
out Amazon competitor, the company beat their rival with a long shot as these competitors do
not provide the same quality and timely services that Amazon provide and there prices are
also not competitive enough to match out with Amazon. In addition, the Amazon has huge
list of suppliers that help the company to control over the pricing policies and ultimately the
benefit is being transmitted to the final customer (Winn, 2016).
Maintaining a Competitive Advantage
In a differentiation strategy, a product or service is provided with distinctive
attributes, in relation to the competitors to reach to a wider market (Zhou, Brown & Dev,
2009). In relation to differentiation strategy, Amazon offers various products under its private
labels such as kindle, fire stick and echo device. These particular products help Amazon in
gaining competitive advantage due to their affordable nature and features unlike the
competitors can offer. For any organisation, the first and foremost factor for sustainable
competitive advantage is to position the brand in a customer mind. Their positioning can be