Competitive Profile Matrix for Amazon Essay Example | Topics and Well Written Essays - 500 words

Competitive Profile Matrix for Amazon - Essay ExampleWhy did Amazon.com rally and how did it soma the company to become leader of Internet commerce and enjoy its first annual profit in 2004First, Amazon was a pioneer in bookselling, with solely an Internet site with easy access and no bookstore chain. It was able to stock warehouses and avoid the middle man, thereby offering a discount that didnt live on at that time in regular bookstores. Second, when the business grew beyond expectations, Amazons CEO Jeff Bezos put the money back into the business instead of trying to make a profit (Frey & Cook, 2004). Realizing that bookselling by itself was not making the best use of technology, he added music CDs, movie videos, toys, electronics, software, video games, and home improvement, putting the company in straightaway competition with eBay and Wal-Mart (Mullen, 2005). In order to make full use of Amazons popularity, he then created an online shopping portal, adding apparel from compan ies like Nordstrom and Gap, as well as showy goods, gourmet foods, jewelry, and health and beauty (Timeline, 2006). But, for purposes of Amazons competition in the field of books, how does the site compare with other bookselling sites onlineThe following Competitive Profile Matrix, based on precise success factors, is a comparison of online companies that sell, among other things, books, but the rankings relate specifically to bookselling from 5 (the best) to 1