The paper shows strategic management as a vital concept of business management. it elaborates the strategies and defines the major concepts in the operation management. The role of the business activities keeps huge importance in the organization to attain competitive advantages. This paper will elaborate the business activities in depth manner by taking consideration of Amazon Company. The service delivery process of each company is different due to different goals and it is vital for the company to focus on such strategies by which the company can approach high level profit. The discussion will be made regarding making improvements in the service delivery process in Amazon Company. Amazon Company is well known company all over the world and the reason behind its success will be demonstrated under this assignment.
Background of the company
Amazon is an e-commerce company of America that founder is Jeff Bezos. It was founded in 1994 to provide online services to the number of customers. There are various services provided by the company such as electronic items, grocery products, information and technology, books and many more. The company has gained remarkable growth in last few years and become famous company after Alibaba in respect of total sales. A headquarter of the company is situated in Washington. Along with that various kinds of internet activities are involved in the company such as cloud-based services and rewards to their customers through which small businesses have become more productive in providing high quality of services to the customers.
The major driver of Amazon Company is to diversify the business activities that helped them to enhance revenue streams from digital media. Amazon is well known company that provide high quality and every kind of services and products to the customer and make their life easier. It has become convenient for many people to get desired things without going outside with the help of Amazon. The business activities have been expanded by the company to spread business and to make satisfy the customers (Morganti, Seidel, Blanquart, Dablanc and Lenz, B2014). Despite their amplifying diverse business operations, high level of advantages still come from online retail, where Amazon starts to engage a globally dominant position in the form of high level of shop in the world. It has been found that the company has attained a noteworthy milestone in the relation of transforming the huge level of retailer in the USA in the context of the market capitalization. The business activities of Amazon will be mentioned below:
Business to Business
Amazon has given attention towards business to business commerce in the year of 2016 and provides different kinds of operations such as shipping, checkout services, packaging, advertising and warehouse. Furthermore, Amazon is the company that helps in fulfilling the desire of the business and aids other business to sell their products. It has been found that the businesses revealed that outside sellers accounted for 41% of units handled on the company in the range of topical sector (Matlaba, Maneschy, dos Santos and Mota, 2018).
The major activities of the company covers the large cloud infrastructure that it leases out to companies that need loading space in order to keep the data or information. Along with that it gives an effective access to their users in order to improve t he productivity of the business. The company handles and focuses on advanced technology to make world advanced in the context of the technology. It has been found that Kindle e-reader is a book developed by Amazon in order to read electronic books. The company takes care of their customers for which they provide tracking system to their customers so that they can track their ordered products.
In the business activity of Amazon, it is cleared that Amazon provides the platform on which one can buy and sell any kinds of products. It is the activity in which various kinds of products and services included by Amazon (Pérez, Bilsborrow and Torres, 2015). The company provides a high extent of user interactivity in which shoppers are allowed to purchase and place comments on closely every page. Due to this activity, Amazon is not only famous for largest retailer but also for huge online community. It has been found that the company has invested in high range in customer service. The company is providing 24*7 services to the customers to make them satisfied in which all queries of the customer is resolved via phone, web-chat, email along with that giving facilitate forums where users can seek advice from the online community (Kuo, 2011).
The business activity of the company is not limited up to certain term as the company is finding new approach day by day to satisfy the customers. Amazon provides customized gifts to the customer which make easier for them to surprise their dear ones by giving them surprise without going anywhere. The main facilities are given by the company that the customer can personalize the gift as per their suitability and affordability. The company has potential to track online behaviour of the customer by which the company is able to give them what they want and fetch their attention towards the products.
The service delivery process
The service delivery process of the company is entirely relied on the web services of the company on which the company offers the platform to deliver its products. It has been analyzed that the web services process of the company is classified into APN executives with customers’ knowledge and depth understanding of exact AWS (Amazon Web Services). It has been found that the delivery process of the company permits the partners of APN (AWS Partner Network) to categorize them in order to showcase their service information. There are numerous kinds of advantages of AWS program such as increase visibility, effective connections and depth understanding. Increase visibility facilitates to become more visible to AWS customers and internal AWS teams (AWS, 2018).
Various kinds of data services have been found by Amazon to deliver products, for illustration, Amazon aurora, Amazon RDS, AWS database migration service. In the context of Amazon Aurora, it has been found that the client of this webs services take use of MySql process for the purpose of combining the speed and availability of commercial data vases with taking consideration of simplicity (Subashini and Kavitha, 2011). It is the service in which they allow customers to access their mobile phones on such platform to place order from Amazon (De Jong and van Dijk, 2015). Despite that Amazon RDS partners offer a method to deal with more complex and time-consuming projects, for example, storage management, PostgreSQL software implementation and backups for disaster recovery.
With respect to AWS Database Migration Service Partners, it facilitates customers to use AWS Database Migration Services to migrate databases in order to make easy AWS system and handle them securely at the time of reducing application downtime. It is the delivery system that give supports not only to homogenous migrations like Oracle to Oracle but also provide supports to Amazon Aurora to MySQL. The company has major three steps in delivering the products to the customer that entails pick up, drive and deliver. The customer select things and place order after that the confirmation is directly pinged at the site of manufacturers or retailers (SHORO, RAJPER and BALOCH, 2017). The detail of the customer can be fetched by the retailer from Amazon sites in order to deliver the products to the customer at proposed time. The routine technology of Amazon offers a platform to the customer by whom the customers are allowed to track their order and get delivery on time. Along with that the company put option of cancellation and post query in case of any preference towards the delivery of the products (Zhang, Cheng and Boutaba, 2010). Along with that the company do not forget link with customer after delivering the parcel. After delivering the parcel, the customer got messaged that he or she received products from company and in case of any issues; they can get back to the company. Along with that the return policy is there for the customers by which the company can return products and get paid amount instantly in case of not fulfilling the expectations of the customers.
Recommendations for improvement in the process
It has been found that there are various approaches have been taken by the company in order to make improvement in the function of the delivery services. Amazon prime is an advanced technology developed by the company which facilitates customer to get their order within 24 hours. The role of fast shipping keeps huge importance in e-commerce industry and there are few companies that focus on improving their services through taking consideration of advanced information technologies such as artificial intelligence and cloud computing. There are some steps which can be taken by the company in order to bring improvement within the business to attract large number of customers towards services.
Involvement of third party logistics
The involvement of third party logistics in the delivery process would be effective for the company in order to drop ship directly to the location of the customers. an expensive warehouse can be handled by the company with supplier companies to ship items to the door of the consumer (Ritala, Golnam and Wegmann, 2014). Along with that the company can choose third party logistics as per their own choice to reduce the delivery time.
Use of EDI technique
Electronic data interchange is a process exploited by frequent transporters that fundamentally replaces out fashion material with electronic information. Dispose printed materials are liable to bring a lot of speedier in the delivery process. An extensive measured of traditions workplaces can use this method as it helps a lot to be ready in the meantime.
Reason behind Success
There are various reasons behind the success of the company that amplified their sales by 44% in the year. There are various factors that contribute in the success of the company. These are innovation, execution, customer service and diversification. Amazon is focused on latest technology in order to bring change within the business along with that the company improve the productivity (Alimi, Chen, Kutscher, Liu, Rahman, Song, Yang, Zhang and Zong, 2012). Along with that the customer services is outstanding of the company through which customer loyalty is increased day by day (Robinson, 2008). It has been found that the company gets the whole thing when implementing customer orders and it opts products and services that customer need and provide various services related to the distribution across the world. The company is famous all over the world due to diversification as the company provides number of products, services, information and technology to the customers at one place. This kind of activities help customer to not go out to find something as they get all things at their place with a lot of options and facilities. The payment system of the company is effective as customer can choose what they want to pay amount for their ordered products and services.
It can be concluded from above discussion that Amazon has put a lot of efforts in attaining competitive advantages and succeeded in the e-commerce industry due to its high quality services. The company provides a platform to buy or sell of any kind of products. This report has entailed information of the company and their business activities from which it can be concluded that the business activities are liable behind the success of the company. The discussion has been made on the delivery system of the company in which web service has been mentioned. At last the recommendations have been focused in order to make changes in the delivery system of the company.
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