Competitive Analysis: Buy.Com Amazon and Overstar

Topics: Enterprise resource planning, Electronic commerce, Competitor analysis Pages: 3 (839 words) Published: May 16, 2010
Competitive Analysis

In a hyper-competitive world economy and with increasingly rational buyers, the competitions among e-commerce businesses are becoming more and more intensive. Given the priority of competitiveness in modern companies, practitioners of competitive intelligence need to come to terms with what business and competitive analysis is and also how it works. In order to survive in such a competitive environment, a company must deliver superior customer value over its competitors. Three competitors that CanGo analyzed are,, and We focused on areas like personnel, products, and facilities. Amazon is an American electronic commerce company that has become an icon of internet business. The company was founded the company in 1994 and launched on the Internet in 1995 as an online bookstore. The business is built around two values, frugality and customer service. Amazon has been ranked number one in customer satisfaction and service. A key to Amazon’s success was the decision to forego early profits to secure market share. As a result, Amazon is one of the most recognizable online retailers. Amazon’s shipping costs are relatively high in comparison to other online retailers. Despite increases in shipping costs they have yet to adjust their pricing strategy. Dependence on the North American market, despite expanding into international markets is another weakness. Amazon still derives 55% of its sales, from the North American market. This dependence could have adverse affects on Amazon’s future market growth. was launched in November 1997, with 30,000 high-tech products. In one year, sets first-year record with $125 million in sales. The company has expanded in numerous profit sections such as entertainment parks, subsidiaries, and large international breweries. continues to introduce new brands. The target market is college campuses and sports. Currently, is spending...
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