1. COLLEGE OF BUSINESS ADMINISTRATION
Supply Chain Management (BUSI 3322)
Group members:-
Fatimah Al-Jomaie
Fatimah Al-Jishi
Alia Alnujaidi
Section:- 201
Dr. Dalia Younis

2. Introduction Amazon Web Services (abbreviated AWS) is a collection of
(remote computing services (also called web services
It is created by Launched in July 2002, Amazon Web Services provide online services for other web sites . Most of these services are not exposed directly to end users.
Fatimah Al-Jomaie

3. Customers use
Fatimah Al-Jomaie

4. Amazon Warehouses
Why ??
Amazon is building more warehouses as of now there are many customers all around the world. Thus, to fill their customer orders needs to have many warehouses from where the goods can be delivered as soon as possible. They have to have someplace to store things. A warehouse is much better than piling things up in the .street or in a parking.
Fatimah Al-Jomaie

5. How many? Where? Scale economy Strategically arrangement
Convenient communications
Renting cost
Where?
Amazon has many warehouses but has none in CALIFORNIA since the taxes are very high. The location of the warehouse should be somewhat near to the airports, railways etc. From where the transportation can be easily and effectively done.
Fatimah Al-Jomaie

6. Advantages selling books via the Internet
Selling books via internet have a very broad base and a huge target audience. This business is increasing at a very rapid pace.
Advantages
*Reduce physical and administrative cost
.*Fulfill various customers' needs
*Online bookstore is able to provide more categories than traditional store
.*Build up database system
*Online bookstore can analyze customers need through their purchase history
.*Easy to search
.*Develop additional channel for customer to see the product
* Save time
* millions of books on the internet which are available for free
Fatimah Al-Jomaie

7. .Inability to feel the physical*
selling books via the Internet
Disadvantages
Privacy problem*
*Payment security
.*Gap in perception
.Inability to feel the physical*
*Can not fulfill real-time requirement
Fatimah Al-Jomaie

8. The success of Amazon.com is a result of the following key factors:
*A strong, focus , visionary and stable leadership..
*expanding the business to different locations
*Technological innovation and development
*Diversification of products Amazon became 'everything to everybody
*Globalization of business; opened websites in France, Japan, Canada and other big markets and Built unique software technology to drive delivery of products and services markets
Fatimah Al-Jomaie

9. Amazon always stocks bestseller while buying the other titles from distributers directly when it s needed…
BECAUSE …
Costly: Other titles will cost high for remaining in stocks without buying them; however, Best Sellers are lower cost because of the very fast selling “ not remaining in stocks”
Taking place: Other titles take place for unknown limit of time which could be for a long period; however, Best Sellers’ turn over is moving more are faster.
Fatimah Al-Jishi

10. However we found out that…
In fact, Amazon’s unit prices are 11% higher than Borders’s unit prices which provides some indirect evidence of product
differentiation.
However we found out that…
The bookseller Border which has an internet channel provides greater value than internet-only company like Amazon because it also has a store not only the online site, so people buy from border’s stores and online which make a very high profit.
Fatimah Al-Jishi

11. Should traditional booksellers like Borders integrate
e-commerce into their current supply?
E-Commerce: is a type of shopping which a customer can purchase selling products with the help of internet
Traditional Commerce: is also a type of shopping which a customer can directly purchase selling products
Alia Alnujaidi

12. Easier for a customer to buy their products. More profit.
Reasons why traditional booksellers should integrate e-commerce into their current supply?
Easier for a customer to buy their products.
More profit.
Marketing and advertising.
Portable library.
New technology.
Alia Alnujaidi

13. For what products does the e-commerce channel offer the greatest benefits?
Digital books
Video games
Music
Movies
Alia Alnujaidi

14. What characterizes these products?
They don’t take up physical space
Delivery on the spot
Cheaper
Alia Alnujaidi

15. References http://en.wikipedia.org/wiki/Amazon.com