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Amazon's Operations Management, Kaplan Business School, Australia

Subject Code: MBA503

Subject Name: Operations Management and Decision-Making Models


Question 1: Amazon began as an on-line book retailer. How has it grown to be known as the "everything store"?

Answer: Amazon has been one of the giant American players for the e-commerce and the cloud computing business. It has been working on the different bookstore operations which is online for everyone. The commencement of the organization includes the delivery of the books, but now it has become the "the everything store". It has changed the way how the sellers are able to sell, and the buyers are able to find their products online. Amazon has been able to turn into the most well-known company as it has been able to develop the biggest online organization as well. The company is working on the improvement through valuable brands from all around the world and is working on the portable business as well. As per the research, Amazon mobile products reach out 68% of the smartphone users in US. The addition to this, includes the retailers from Amazon Prime who are using the paid prime membership with the offering of the free two-day dispatch in US and then marking down the one-day shipping prices as well. The organization has been able to offer the products with the line of individual electronics and the kindle products. It is able to offer the essential tablets which is unequivocally affected by the digital book deals. Amazon has been about handling the generation over $107 where the annual revenue is generated at the end of 2015 (Romani et al., 2017). The company is working on the different segments, where Amazon International and AWS services are focusing on the online retail sales through the prime membership and the marketplace. The company is working on handling the three segments which helps in serving the customers and plan about the sellers and the developers with constant content creators. The analysis is based on the logistics and the management of database system software which allows to grow and then manage relationship with customer relationship. The effectiveness is to map through different products where the high workforce is able to locate the book distributors closely. Apart from this, it is working on the expansion of the products from the pharmaceutical products to the toys and the food. The sales and the service models are actually to handle the competitors who are working over the business to sales and services models. The investments are based on the innovation resources rather than just sticking to the core products. It is working on the enhancement of the satisfaction of the customers and then eliminate, raise, create and then reduce the framework for the business models (Badenhorstet al., 2016). The possibilities are defined through offering the new services and then acquiring the companies to explore better technologies. Amazon has been investing in the testing and building the new technology which can help in the next business opportunity as well, along with allowing the customers to compare the products which are being available online for the different options and they are of a competitive brand as well.

Question 2: What aspects of Amazon's operations management are based on the increased globalisation of world trade?

Answer: According to the analysis, there are different factors where Amazon is working on the different standards. It has been handling the disruptions over which the people shop and how they are able to create the economic ripple effects which can go beyond the wallet of the customer directly and indirectly. They come with the impact of the economic activity and then there are major impact on the inflation, jobs and the investments. Amazon is looking for the expansions and planning opening for a second full fledged headquarters. The closeness to the customers is to ensure that the increased possibility is to ensure and plan about offering the different competitive features which helps in working over the Amazon strategies. The company also relies mainly on the deals and plans about the partnership with the retailers (Bereznoi, 2015). The globalization generally leads to the strength that can help the markets to focus on the fewer and the sharpening competitive edges. This is for the means where disposal are confounding and then there are overpowering of the rivals as well. The strategy has to be to plan bigger with dwarfing the rivals and then focus on the recent controls of the 90% of the market. The analysis is also about the integration of the national economics which allow the easy access for the operations to the goods and the trading sector. The planning needs to be done to allow the rise of the regional economic integration blocks which help Amazon to provide with the better investment options. The dimensions of the growth are defined through handling the financial flow and then allowing the free flow of the goods. The globalization helps in handling the reduction of the barriers to the trading, where Amazon has been able to integrate the different investment sectors with reducing the tariffs and then making the foreign trade easily accessible as well. The company is found to be market liberalized and adopting the free markets which could help them with better cost-effective solutions. The industrialization, economic development and modernization is about the emerging markets, to plan about the production and enhancing standards of living. The company needs to work on the improvement of the transportation where there are increased number of the same-day deliveries with warehouse safety as a major priority (Sihiteet al., 2015). Amazon has been operating in the global market and working on the macro environmental forces. The influence on the business growth and the sustainability comes to the global business which is set for the different legislative framework. The operations need to comply with the legislative frameworks which helps in analyzing the cultural needs and the requirements for the targeted consumers. The understanding is about the range of theories and the models where the constraints are on the major limitations which prevents form the relevant information of the authentic resources. With this, the evaluation of the range of theories and models are considered to be relevant for handling Amazon's increased globalization.


Question 3: Amazon's marketplace focuses on smaller sellers and manufacturers by linking them with a huge customer base and fulfillment program. Can e-commerce ever truly replace the in-person shopping experience?

Answer: The marketplace of Amazon focuses on the different millions of customers where there are possibilities that they can hope for finding the only online retailer which is considered to be one of the most-visited websites by the people (Grant, 2016). There are independents to find fighting against the biggest competitor which is Amazon. The biggest impact of e-commerce holds the ability to focus on the impact sales and the marketing which is done. As per the research, there are internet factors which increase the potential customers for the company and then it also help them to drive the profitability standards. The e-commerce technology directly affects the demands and the supply fundamentals. The markets are defined through working over the supply chain and then handling the impacts of the market outcomes in a proper manner. It impacts the pricing, marketing shares or the profitability through setting the different firms in the operating market. The e-commerce helps in working over the different sectors where the assessment is done for the set through handling the development with accompanying and planning about the e-commerce. The strategies are for the ordering of the forms and the payment interface, where the business policy is based on the security, privacy and the confidentiality. It is important to understand about how the company is able to work on the forms with e-commerce is interesting and fascinating (Converse et al., 2016). The possibility is to focus on the business and opportunity, where the planning is done for the comfort levels and the technology at large. Amazon has been able to create the online shopping experience that helps in setting it apart from the rival retailers. The usability is for the two-fold purposes, where the users are able to analyze about the products and how the sellers are able to handle the strategy of tailoring the content for the specific users. The tracking is important for the behavior of the user which helps in customizing the user experiences based on the prior researches and the page views. Amazon has been working on the platform which is helpful for driving the force behind the success. It is working on the long-term growth with the achievement by diversifying the industries through adding the business units and acquiring the other companies. Amazon has been working on the policies and procedures to facilitate the good strategy execution with the long-term growth. Amazon management information needs to plan about the dynamic and the adaptable forms which works on the web-based company. The adaptable process enables the personnel to carry out the different strategic roles. Hence, Amazon deals with the information to save the opportunity with offering web services to help them for a fee. The services and the strategies of the company are to handle the evolvement of the information age environment, thereby, giving the company a proper competitive advantage (Reimers et al., 2017). Amazon is working on the growth, expansion and planning the new business which helps in adapting the dynamic information and information systems that help in propelling the company with the distinctive competencies. The competition comes from the different retailers like the Walmart, and eBay.

Question 4: What are (or could be) the real long-term implications of the increased presence of Amazon to the Australian Retail Industry?

Answer: Amazon has been working in Australia with the simple online marketplace which is based in US. the company is able to handle the sellers which offer the processes of international shipping with plans to focus on the establishment of the huge warehouse. Australians are then able to benefit from the stock inventory with the lowering of the products and the shipping pricing. It comes with the handling of Amazon marketplace with planning out to roll the Amazon Prime Now App which helps in offering the better delivery on the items. Amazon has been working on the serious ambitions for Australian retail sector where the company is planning to roll out the suite of the products. There are plans about the US site with already converting into Australian shoppers into sales (49%). The evidences are about the shopping and the long delivery times which is coming from the overseas website, with consumers value handling the product range and the customer experience for easy-to-use website (Teece et al., 2016). Amazon is able to launch and improve its market in Australia as it target the more sophisticated and convenient shopping experiences. The dominance is on the market and how it is able to handle the different products with retailers working on adapting to Amazon in Australia. There are forms which includes the business that can turn a profit even with the better and drastic pricing reductions. It involves looking forward to the new means of production and the suppliers. The company is partnering with the other companies who can offer the complementary products and better services for providing the customers with the package deals. The business needs to consider about the faster delivery system as well with meeting the increased expectations of the customer. Amazon tend to make use of the logistics framework that will help in working over the items with warehouse for delivery. Australian retailers need to understand about the popular sales with the customer buying habits that needs to make the products available, as per the requirement. The retailers also need to turn over the sophisticated data and the analytics with understanding over the customer shipping habits and preferences. The online and offline data will require the end-to-end customer experience which will make it seamless for the company. The factors also include the page loading speed and the mobile usability which has a major impact on the ROI of the retail company. The introduction of Amazon Australia with retailers to ensure that the websites, apps and the other online platforms working on the technological benchmarks. The user experiences for the different channels need to focus on the Australian business with the customer first environment online and the offline medium. The company has been also improving the advertisement of the products with leveraging the technological capabilities in an effective manner.


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