#business ,amazon, supply chain management ,modified

1. A journey through the
Business plan of Amazon inc
Submitted by,
Ashik S Nair
Submitted to :-
Valentine Miralda

2. Introduction
American international electronic commerce
company with headquarters in Seattle, Washington.
They began as an online bookstore, but soon
diversified, selling DVDs, VHSs, CDs, video and
MP3 downloads/streaming, software, video
games, electronics, apparel, furniture, food, toys,
and jewelry.

4. Amazon plans to expand them self to all around the globe and act as the
supreme link that connects even local traders to big business tycoons with the
amazon customer Sitting in his home. Amazon aims to achieve this through:-
1. Creating and Maintaining customer relation
2. providing opportunity and Scope of expansion for local firms
3. Maintaining a well efficient ,accurate and flexible network which is a mix of
Plan

5. Strategy
● Competitive strategy
Respond to wide range of demand
Fulfill orders in short lead time
Meet high service level
● Supply chain strategy
Both cost effective and responsive
Facility: more towards centralization
Inventory: high
Transportation: Faster
Information: high investment

6. tactics Used
● Amazon web service: allow partner retailers, the individual sellers
and developers to advertise their products through Amazon.com by
building their web based applications in a reliable, scalable, and low
cost way.
● Simple storage service: designed to make web-scale computing
easier for the business partners and developers by web service
interface to keep and receive any data, any time, from anywhere.
● Smart analytic search: allow detecting and decreasing the
examples of fraud in Amazon web site by analyzing the behavioral
patterns of fraudsters and designing the predictive scores.
●The mainframe of the company’s information system is focused on
Service Oriented Architecture.
●Transaction processing system: based on creating convenience
for users.
●Online payment system: allows customers to pay via their Amazon
account by controlled access

7. ● Sourcing
1.Websites
Ashford.com
Della.com
Drugstore.com
Gear.com
Greenlight.com
komso.org
HomeGrocer.com
2.Brands
Nike
Apple inc
Adidas
Motorola
LG
Toshiba
Samsung
Whirlpool
3. Local vendors and
manufacturers
They forms the backbone of amazon
inc , and includes thousands of small
and large retailers and or wholesalers
Amazon thusly sells a variety of
products that won't be even available
on the tangible market .

8. Supply chain
diagram

9. Pricing
● Amazon does make millions of price
changes daily
◦ In March 2014, Amazon changed prices on
an average of 15-18 percent of its assortment
every day and this number is growing. Many
retailers today are struggling to emulate, or
even react to, this level of price dynamism.
● Price dynamism varies by season
● Some categories are more price-
dynamic than others.
◦ Amazon's price dynamism varies between
categories,

10. Make
one surprising fact about amazon is that , even though they sells
almost anything , still they don't make a thing. Yeah , most of their products are sold
under The name of the vendor himself ,and they acts as a reliable intermediary
connecting , both the seller and buyer .
Apart from their regular products , amazon sells the following ,which are produced by
some other companies and sold under ,Amazon's own Brand name .
Kindle devices
Being first of its kind , it had a competitive advantage. Kindle was a device that focuses
On providing the ultimate reading experience to its users
Fire tablets
These are budget tablets ,powered by amazon's os ,and entertainment services.
Echo devices
These are devices intended to provide the ultimate voice recognition experience . They
are capable of connecting with other Bluetooth speakers and or smart devices.

11. ● Kindle devices -
● Fire tablets -
● Echo Devices -
(Echo dot , echo etc)
FoxConn - Taipei,Taiwan .
Quanta Computer
Yamabiko Corp , Japan .
NOTE:-
These aren't all but ,are just some among the few devices , sold by amazon in their brand name
Actual manufacturers of amazon products

12. ● Inventory
◦ High inventory
◦ Multi-tire inventory network.

13. ● Transportation
◦ rely primarily on national parcel couriers
⚫UPS, FedeX
⚫Own logistics network

14. Cyclic view

15. Customer order

16. RETURN
What Can you return ?
1. Any books in its original condition
2. Any unopened cd/DVD/similar materials
3. Jewellery , watches ,Shoes clothes and
accessories ,as it is received( without removing the tags)
1. Electronic Items on defect , if they carry a warranty
2. Products sold under Amazon's policy
What happens to a returned product?
1. If its still brand new , it is returned to the regular inventory
2. On the other hand ,its sold under Amazon warehouse deals
3. If it's useless , its returned to the manufacturers on a pre agreed contract
Then after reaching the manufacture , the products are under gone through
Quality check and sorting in which they are
● repaired and refurbished ,if it's possible
● recycled for spares and parts
● Tossed and Dumped as garbage