1. School of Accounting www.accounting.unsw.edu.au ACCT5949 – Managing Agile Organisations

2. The e-Commerce and Online Retail Leader UNSW Consulting Group Phuong Ho Jia Lin Quynh Anh Pham Tai Tran Alexander von Kindle Elizabeth Mc iPad

3. Agenda

4. History Arrow from A to Z: all products Smile: customer satisfaction Range of products as large as Amazon river

6. IMDb

7. Joyo.com

8. Zappos

10. Japan

12. Agility Business Model Customer Focus Freedom from constraints Respond to changes and lead the change

13. Agility 1: Business Model e-Commerce Technology-based

14. Agility 1/4: Business Model (cont)

15. Agility 2/4: Customer Focus Strategy: Customer Service Quality Use Technology  Understand Customers  Personalized Experience

16. Purchase Satisfied

17. Agility 3/4: Freedom from Constraints Unlimited titles Save costs Alliance Overseeing young companies Anywhere Anytime

18. Agility 4/4: Respond to & lead changes - Mobility PC dying Books dying Newspaper dying Change: Read on the go

19. Agility 4/4: Respond to & lead changes - Frugality

20. Opportunities

21. Opportunities 1/4 US online retail industry grows despite financial crisis 2009: sales growth rate 11% Favourable for Amazon Online Retail Growth 11% Retail Growth 2.5%

22. Opportunities 2/4 Shift to Internet shopping

23. Opportunities 3/4 Consolidation of online retail business Post-crisis Consolidation

24. Opportunities 4/4 International Internet usage growth Growth: developed and emerging markets Emerging markets users: 84% online population Web users from emerging markets more likely to participate in online activities

25. Threats

26. Threats 1/4 Strained relationship with publishers Abuse buyer bargain power to enforce pricing policy on publishers and vendors $9.99 $15 Vendor/Publisher have choices

27. Threats 2/4 Global uncertainties Foreign exchange, international competition & political risks Foreign exchange risks  US$174 million  down in sales Protectionism in destination countries e.g. China

28. Threats 3/4 Consumption of media through other distribution channels Apple's iTunes vs.

29. Threats 4/4 Competition from e-commerce & retails Technology firms e.g. Apple, eBay Traditional retailer e.g. Wal-Mart

30. Through a microscope (x400 times) Amazon Kindle Ink Organic, pleasant for the eyes Single-purpose: books Apple iPad Digital Multi-purpose: entertainment Mobility & Innovation

31. Recommendations Improve core technology and innovate Leading online retail market share (12%) 75% ebooks market share Second-hand segment Fragmented Amazon has high bargain power Revamp value chain Relationship with publishers & vendors

32. Thank You! Take a look at Alexander von Kindle 

33. References Citations in Ho P, Lin J, Pham A, Tran T, 2010, 'Amazon.com, the Electronic Commerce and Online Retail Leader, Analysis of Agility', School of Accounting, Australian School of Business, University of New South Wales, 2010 E-Books reader review, 2010, ‘Kindle is lightweight‘, accessed 14/10/2010, from <http://ebookreadersreviewed.com/wp-content/uploads/2009/10/Amazon-Kindle-2-Is-Lightweight-And-Easy-To-Use-300x286.jpg> Ieplexus, 2010, 'Wal-mart & Amazon', accessed 10/10/2010, from <http://www.ieplexus.com/wp-content/uploads/2009/11/apg_walmart_amazon_091124_mn.jpg> Illustration, 2010, 'Books', accessed 14/10/2010, from <http://s3.images.com/huge.7.37389.JPG> Peters K, 2010, 'Kindle and iPad Displays: Up close and personal', BIT-101, accessed 10/10/2010, from <http://www.bit-101.com/blog/?p=2722> Photoready, 2010, 'Books sculpture', accessed 10/10/2010, from <http://www.photoready.co.uk/scenes/images/book-sculpture.jpg>