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The Globalization of Amazon

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The Globalization of Amazon
Globalization of Amazon.com
Zheng, Li # 5263512
Yitong, Fu # 5263587
Xuanyu, Hou # 5263629
Gupta, Radheshyam # 5072517
Jiagen, Hao # 5287701
Hang, Xu # 5129804

MBAB 5P22 Section 01
April 1, 2013

* Introduction
Amazon.com, Inc. was founded by Jeff Bezos out of his own garage in July 1994 under the name of Cadabra. It went online in as Amazon.com in 1995. Since that time it has never looked back and is now the world's largest online retailer. It is an American multinational electronic commerce company with headquarters in Seattle, Washington, United States. With a total revenue of US$ 61.09 billion, it has a total of 88,400 employees as of December, 2012. At first it started as an online bookstore, but soon it diversified itself selling DVDs, CDs, MP3 downloads, software, video games, electronics, apparel, furniture, food, toys, and jewelry. It also produces consumer electronics mainly the Amazon Kindle e-book reader and the Kindle Fire tablet computer . It is a major provider of cloud computing services. It has its presence in many countries. Amazon has separate retail websites for many countries such as US, Canada, UK, France, Germany, Italy, Spain, Brazil, Japan, and China, with international shipping to certain other countries for some of its products.
Next, in this paper, we try to use the “strategy tripod” to analyze the complex drivers for Amazon.com going globalization. * Industry-based View Rivalry Rivalry among competing firms is high. Amazon’s Marketplace (Amazon Auctions) directly competes with auction web sites like eBay, Ubid.com, and Yahoo!Auctions, and also indirectly compete against traditional brick-and-mortal stores, like Wal-Mart and BestBuy. A new form of competition arose with Google, Apple and other pure Internet corporations when the company announced to enhance the provision of Internet content service. These competitors all have their own unique marketing mix that makes them hardly beaten. For example, ‘Everyday



References: Amazon Inc. (n.d.). International apparel seller drives sales, cuts costs with FBA. Retrieved March 28, 2013from http://services.amazon.com/content/case-studies-doublju.htm?ld= Annual Reports and Proxies. (2011). Amazon.com Investor Relations. Retrieved from http://phx.corporate-ir.net/phoenix.zhtml?c=97664&p=irol-reportsannual Bartlett, C. A., & Ghoshal, S. 2000. Going global - Lessons from late movers. Harvard BusinessReview, 78(2): 132-+. Donici, A.N., Maha, A., Ignt, I., & Maha, L.G. (2012) E-Commerce across United States of America: Amazon.com. Economy Transdiciplinarity Coginition, 15(1), 252-258 Retrieved from http:// www.ugb.ro/etc/etc2012no1/33fa.pdf Gillespie, E. M . (2011, February 11). Amazon: E-commerce success story. Retrieved from http://www.cbsnews.com/2100-205_162-706351.html?pageNum=2 Mattison, D. (2013, March 4). Doing Business Online in China-Part 1 of 2 [Video file]. Retrieved from http://www.youtube.com/watch?v=lk6D-uGwnt8 Mattews, C. (2012, July). Will Amazon take over the world?. TIME, 180(29). Retrieved from http://business.time.com/2012/07/16/will-amazon-take-over-the-world/ Peng, M.W., Wang. D.Y., & Jiang, Y. (2008) An institution-based view of international business strategy: a focus on emerging economies. Journal of International Business Studies, 1-17. Shead, S. (2013, January 29). Insight Amazon London digital development center. Retrieved March 28, 2013, from http:// http://www.zdnet.com/uk/inside-amazons-london-digital-development-centre-7000010415/ Soto, M. (2012, April 22). Amazon faces big test in international markets. The Seattle Times, Retrieved from http:// http://community.seattletimes.nwsource.com/archive/?date=20020422&slug=amazon22

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