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Amazon.com, Inc. is an American multinational technology company and largest digital marketplace in the world which founded by Jeff Bezos in Bellevue, Washington in 1994 and its headquarter is located at Seattle, Washington. Its businesses focused on e-commerce, cloud computing and online streaming. The mission of Amazon is becoming the earth’s most customer-centric company (Amazon.com Inc, 2020), whereby the clients can easily find anything that they wanted to buy on digital or physical store, and endeavors for offering the products at reasonable prices. It is guiding by four principles which are customer obsession rather than competitor focus, passion for invention, commitment to operational excellence, and long-term thinking with matching with its core value to succeed.
Besides that, Amazon is selling the unique products and services through digital and physical stores to increase the concentration on better selections, affordable prices and convenience among the customers. As a manufacturer, Amazon produces and sells electronic devices including Kindle, Fire TV, Echo, Ring, Alexa and other devices. In addition, it also sells software, books, clothing, shoes and jewelry and toys and games to satisfy and maximize client’s needs. Customers are able to access its offerings through online platforms such as mobile apps, online websites and physically to visit its stores. Amazon also offers different product and services through advertisement and provides retail websites for some countries and international shipping of products and services to other countries. It seeks to offer fast, shorten time and free delivery, easy-to-use functionality, convenience and high-quality customer services.
Amazon has targeted different market segmentation to serve its customers, sellers, developers, enterprises and content creator. For developers and enterprises of all sizes, it has offered a broad set of global compute, storage, database, and other services through Amazon Web Services (AWS) segment. It provides Amazon Prime which is a membership program that including unlimited free shipping, access to unlimited streaming of movies and other advantages. Amazon has more than 175 fulfilment centers and 150 million square feet of space where associates choose, pack and transport its orders to customers (Amazon.com Inc, 2020). It is the online retailer to enable all seller to sell and store products in their warehouses and resell them to customers for earning the fixed fees, interest, a percentage of sales, per-unit activity fees.
Amazon’s Management Functions
Planning
Firstly, Amazon’s goal remains continuously to improve the bar of customer experiences by using the methods of digital ecosystems and high technology to serve customers for finding, discovering and buying anything they want. It also empower businesses and content creators to maximize their prosperity. The system and infrastructure have to be sustained by investment to facilitate outstanding customer’s convenience, choice and service. Therefore, Amazon is planning to expand the music services to its product offering and over time it believes that other products may also be prudence investment. Also, Amazon has an accomplishment by serving global customers better with reducing delivery times and enhancing the customer experiences in order to expand its businesses.
Organizing
In order to attain a goal, Amazon employees are organized across 12 levels of hierarchy which included the highest level of Jeff Bezos, CEOs, VPs, directors, senior managers, managers and individual contributors, the lowest level is staffs, fulfilment center workers (Objective Oulook,2017). Amazon has distributed its operations into three segments which are North America, International and Amazon Web Services (AWS). It has a feature to accomplish a goal which is organizing the feature ‘1-click checkout’ (Jolly, 2017). This shows that, it is able to save multiple credit cards and addresses and its powerful search function can help customers to accelerate their shopping time. This design feature is organized well with Amazon’s team to improve their customer experiences. Besides that, Amazon’s management has organized the ‘Question mark’ emails to response all the customer’s feedbacks (Jolly, 2017). For example, Amazon has always ready to help customers to solve the problems on 24 hours services. This is one of the ways to attain a goal for collecting all the customer’s response inside the organization to make better decision.
Leading
Besides that, Amazon also provides several training programs to improve the employees’ professional skills which are Career Choice and Career Skills programs for an-in demand of choice, regardless of whether the skills relate to a job back at Amazon. Career Choice is available to Amazon employees who have been employed at hourly for one continuous year. With this program, Amazon has pre-paid 95% of tuition and fees for workers to gain certificates and high demand occupations in employee degrees such as aircraft machines, computer-aided design, medical laboratory science, and others. With the great interest of Career Choice, Amazon has built 39 onsite classrooms to encourage college and technical classes can be taught inside the fulfilment center to motivate employees’ participation in Career Choice. This led to enhance employment opportunities in high demand jobs. In addition, Career Skill is free, an onsite training and development programs for all Amazon employees. This program offers classes on a variety of skills such as resume building, interviewing skills, effective speaking and time management to develop the employees’ knowledge and professional skills. Not only that, Amazon offers performance appraisal to all full-time employee with health insurance, 20 weeks paid maternity leave, and other encouragement.
Controlling
Lastly, Amazon has monitored the progress toward its goal and reached a success that will be the shareholder value it created over the long term. The shareholder value will be a direct result of its ability to extend and solidify their current market leadership position. The stronger of Amazon’s market leadership, the powerful of economic model. This will lead to greater revenue, higher profitability, higher capital velocity and correspondingly stronger return on invested capital. In the beginning, Amazon is targeting its own marketing leadership such as growth of customers and revenue, creates the customer loyalty to continue purchases from Amazon, and strong brand awareness. Amazon has invested and will continue to invest aggressively for larger growth capability and leverage its customer base, brand and infrastructure as Amazon moves to establish an enduring franchise. Also, Amazon will keep focusing on hire and retain versatile and talented employees and weight their proper compensation for boosting overall employee performance and achieve its goal.
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