Sunday, March 10, 2019
Analyzing Strengths and Weaknesses of Amazon
Strengths virago has proven to be a successful and profitable organization in terms of growth, with a current net income in 2008 of 663 million dollars. The caller-up uses Customer Relationship Management (CRM) and Information Technology to record node buying habits, investing a lot of time and money researching node trends. Doing this they are able to locate and prepare for sales estimated from previous years.A high percentage of their clients buy during the holiday season knowing this enables amazon to offer distinguishable promotions and selling strategies tailored to meet the customers demand and needs. virago has a huge global brand and is listed as 130 on the Fortune 500 list. Amazon was one of the first companies in e-commerce which has allowed them to verify a huge percentage of the market share. Amazon recently bought JOYO, bring ups largest online retailer, creating an even bigger market share in China, save still left with room to grow.Amazons Inventory turn everyp lace rate is phenomenal, even in the current economy. They have been able to book a 34 day inventory to turn over, which equals out to over 10 times a year. This is beneficial, because it allows Amazon to adjust to seasonal products and different product trends, without large amounts of excess inventory. Adding to that Amazons total debt has been change magnitude year over to a low of $. 67 in 2008. This path that for every $1 Amazon has $. 7 in debt. This has been declining signaling play along growth. Weaknesses Amazon has continually added new products and services to customers and is known for their great customer service and quality products. Something for them to consider is, when adding new products or categories of products, they could damage its brand. In order to be competitive with other companies Amazon has to broaden the thread of products, but cannot become a swap meet either.