While Amazon.com ships more than one billion dollars worth of products annually, it has yet to make a dime for investors in profits. However, even though it has less market share than Barnes & Noble, which makes money for investors, its stock market value has surpassed Barnes & Noble’s. The contention of this analysis is that the unique vision of the founder, Jeffrey P. Bezos, revolutionary merchandising and distribution methods, and expensive and effective marketing strategies have been the primary causes behind Amazon.com’s success. However, the analysis also contends that the utopia-like E-Commerce firm must accept some dystopia realities, or we will likely see it go from being the darling of investors to the basement of Wall Street.
An introduction to the paradox of Amazon.com, a company that is the darling of Wall Street investors with a stock market value higher than Barnes & Noble, even though it has never shown a profit.
A brief biography on Bezos’ background, and his experience with real revolution.
A summary of the vision that allowed Bezos to power Amazon.com to its present day stock market height.
The revolutionary business model used by Amazon.com will be discussed, including its lack of need for inventory, warehousing, and its unique distribution methods.
The marketing strategies that enabled Amazon.com to surpass the value of Barnes & Nobel on the stock market will be discussed, particularly its massive expenditures on advertising.
The internal strengths and weaknesses of Amazon.com will be analyzed, including its huge advertising expenditures and its failure to make a profit despite distributing over $1 billion in product annually.
The threats and opportunities facing Amazon.com will be analyzed, including the fact that Barnes & Nobel is changing its tactics to better compete with Amazon.com and its huge resources that enable it to do so.
The conclusion will address the likelihood of Ama…