Amazon.com is an American electronic commerce company which is the world’s largest online retailer. The company which began as an online book store has since diversified its products to include selling DVD’s, CDs’, software, video games, furniture, food, toys, jewellery and electronics. Looking at the company’s business model, it proves that the company is not a traditional retailer. Retail is only a part of the company and although Amazons products are sold at a standard mark-up, the company has also established alternate retail strategies by representing themselves as the gateway for other retailers and selling used goods. Other Non-retail services that amazon provides include referrals and commission based selling, Amazon Web Services (AWS)
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Firstly Free shipping, the company had to find a way of providing this service without losing profit. Amazon has managed to come up with a way to provide its consumers with free shipping costs by placing a minimum purchase amount that covers their average shipping costs and provides enough profit to increase their average order value. Secondly onsite product reviews, thousands of people prefer to research their products online before they purchase them. Amazon has understood that it needs to provide consumers with onsite product reviews to avoid the consumer from leaving the site to find a product review as they often do not come back to the site to purchase. This strategy has given Amazon a competitive advantage of their competitors. Lastly cross selling related products, the cross-sell is a very vital ecommerce strategy for increasing that all important average order value. Amazon has taken advantage of this by providing: each product for sale includes a "customers who bought this item also bought" section, a "customers who bought this also viewed" section, and a "frequently bought together" section. Amazon has managed to provide customers with pictures of products that might be of use to them after they have managed to find the products that they are looking for, helping them avoid the hassle of …show more content…
This attack is characterized by an explicit attempt by attackers to prevent users from using an e-business system. Amazon has been subject of a DDOS attack in the year 2008 and was put of service for some time. Such an attack is bad for business as the customer develops mistrust against the system and fears using the system which could lead to business closing down. Wireless and mobile issues often occur as many customers use wireless internet connections and mobile devices to access the e-business becoming a problem as outside users can eavesdrop on wireless communications. Eavesdropping can occur when the information that is being transmitted is not secure and encrypted then attacker can hack on the network and gain access to sensitive data. Other attacks to look out for in an e-business network include Mobile Devices Pull Attacks, Mobile Devices Push Attacks, Lost Device, and Multi-protocol Communication.
Other challenges of doing e-business that Amazon is facing besides security issues include the dependence on vendors like the bargaining power that they poses which can impact the company specifically if they provide a service that is not provided by many vendors. Although Amazon has established itself as the leading online retailer, the company is still faced with fierce competition from its competitors. Keeping up with government laws and
Firstly Free shipping, the company had to find a way of providing this service without losing profit. Amazon has managed to come up with a way to provide its consumers with free shipping costs by placing a minimum purchase amount that covers their average shipping costs and provides enough profit to increase their average order value. Secondly onsite product reviews, thousands of people prefer to research their products online before they purchase them. Amazon has understood that it needs to provide consumers with onsite product reviews to avoid the consumer from leaving the site to find a product review as they often do not come back to the site to purchase. This strategy has given Amazon a competitive advantage of their competitors. Lastly cross selling related products, the cross-sell is a very vital ecommerce strategy for increasing that all important average order value. Amazon has taken advantage of this by providing: each product for sale includes a "customers who bought this item also bought" section, a "customers who bought this also viewed" section, and a "frequently bought together" section. Amazon has managed to provide customers with pictures of products that might be of use to them after they have managed to find the products that they are looking for, helping them avoid the hassle of …show more content…
This attack is characterized by an explicit attempt by attackers to prevent users from using an e-business system. Amazon has been subject of a DDOS attack in the year 2008 and was put of service for some time. Such an attack is bad for business as the customer develops mistrust against the system and fears using the system which could lead to business closing down. Wireless and mobile issues often occur as many customers use wireless internet connections and mobile devices to access the e-business becoming a problem as outside users can eavesdrop on wireless communications. Eavesdropping can occur when the information that is being transmitted is not secure and encrypted then attacker can hack on the network and gain access to sensitive data. Other attacks to look out for in an e-business network include Mobile Devices Pull Attacks, Mobile Devices Push Attacks, Lost Device, and Multi-protocol Communication.
Other challenges of doing e-business that Amazon is facing besides security issues include the dependence on vendors like the bargaining power that they poses which can impact the company specifically if they provide a service that is not provided by many vendors. Although Amazon has established itself as the leading online retailer, the company is still faced with fierce competition from its competitors. Keeping up with government laws and