1) Amazon started as an online retailer in 1995 selling books without holding any inventory itself. It later had to build warehouses to satisfy growing customer demand. 2) Amazon initially struggled with inventory management as it grew rapidly and held excess inventory. It then outsourced inventory to distributors and adopted a drop-shipment model to improve efficiency. 3) These changes allowed Amazon to reduce inventory costs, free up working capital, and increase fulfillment capacity. Its improved inventory management helped it become profitable by 2001.

1. Inventory ManagementPresented by :Ashutosh Kumar Jha(91011)Deepinder Singh(91016)DivanshuKapoor (91017)Harsh Agrawal (91022)Nishant Singh(91039)SwetaAgarwal (91059)

2. "In the physical world it's the old saw: location, location, location. The three most important things for us are technology, technology, technology."- Jeff Bezos, CEO, Amazon.com

3. Amazon.com One of the first online shopping sites launched in 1995.

4. Consistently ranked as one of the best retail sites on the Internet.

5. According to an analyst, "When you think of web shopping, you think of Amazon first."

6. It is an American electronic commerce company based in Seattle, Washingtonwith an additional office in Coffeyville, Kansas. It has six global websites to serve domestic customers in the US, the UK, Germany, France, Japan and Canada Features include: one-click shopping, customer review and e-mail order verification.

7. The company is in coalition with other retailers and offer various new, and used items in categories.

8. It has expanded from its existing business of selling books to selling a wide variety of products such as DVDs, music CDs, computer software, video games, electronics, apparel, furniture, food and more HISTORYJeff Bezos, in 1995, started AMAZON.com as a “virtual” retailer – no inventory, no warehouses, no overhead; just computersAmazon owed its popularity to its excellent customer service, which was due to its effective inventory management.

9. TYPES OF INVENTORIES Raw materials (items to be used for manufacturing)

10. Work in process(semi finished items that are stored temporarily)

11. Finished goods(waiting in stores for delivery)

12. Transit inventory (need to transport items)

13. Buffer inventory(uncertainties of supply and demand)

14. Anticipation Inventory(anticipation of a possible future event)Reasons for Huge inventories Customer’s orders in anticipation

15. To protect against stock-outs

16. To take advantage of quantity discounts

17. To protect against inflation

18. To protect the uncertainties of supply and demand

19. Unpredictable events

20. Seasonal increase in demand