Does even Amazon need an introduction? All of us, at least, might have heard about Amazon, a worldwide renowned e-commerce store where vendors showcase their products and shoppers buy those products which they like. But you may not know that the company owns a broad range of products, including Amazon go, Amazon Prime Video, and Amazon Pay.
Presently, online shopping is an essential part of the daily lives of most of us. Thus, the number of e-commerce companies worldwide is increasing, but no company has been able to compete with Amazon. Amazon is still the top e-commerce platform, where all big and small businesses display their products, and buyers prefer to do online shopping from here.
But the question arises, how did Amazon become this successful? How come an aspiring entrepreneur, starting a business specializing in selling books, managed to build a worldwide empire? Let’s find your answers in this write-up, in which we will tell you how Jeff Bezos made this company a success.
Jeff Bezos in the United States established Amazon.com in 1994. It is an e-commerce giant that has joined the 1 trillion valuation club. Afterward, it expanded to other countries to increase its market. Amazon started in India in 2013 and soon became one of the biggest e-commerce platforms. When the company started, it sold books, and after some time, it began to sell electronics, jewelry, toys, clothes, gaming accessories, and other things.
However, besides being an e-commerce company, Amazon has broadened its horizon by jumping into several domains like cloud computing, publishing, on-demand music, consumer electronics, and video streaming.
AWS (Amazon Web Services)
Amazon web services is a cloud platform of Amazon which provides IT infrastructure services to businesses in the form of web services, which is mainly known as cloud computing. Amazon introduced its web services to the world in 2006 and on March 2, 2021. PGA TOUR chose it as its official cloud provider.
Amazon launched in 2018 and is a series of convenience stores that run under Amazon. These stores are in the United States and the United Kingdom. The idea behind the stores is that customers do not have to deal with cashiers in the store. Customers can pay for the shopping at the self-checkout stations there.
Amazon Prime is an OTT video streaming platform by Amazon, where you can watch television series, movies, web series, and other video content by subscribing to it and paying for a monthly subscription. It was introduced to the world in 2016 but is unavailable in some countries like North Korea, Syria, Cuba, Iran, and China
Amazon pay is an online payment service provided by Amazon, launched in the year 2007. Utilizing this payment service, you can pay from your Amazon account for your necessities. Fraud protection technology supports this payment service so you can complete transactions safely.
The Founder Of Amazon-Jeff Bezos, Also The Former CEO
Jeff Preston Bezos, an American Entrepreneur, and industrialist formed Amazon in 1994. He did his graduation from Princeton University with a degree in electrical engineering and computer science in 1986 and worked for ‘Fitel’ a financial communication startup. Fitel was working on building a system for international trade. Later, Bezos became the head of development and director of customer service there.
Jeff Bezos became the executive chairman of Amazon after stepping down from the position of the company’s CEO.
The Cloud Computing Chief And Current CEO Of Amazon-Andy Jassy
Jassy became part of the Amazon family in 1997. He has an MBA degree from Harvard Business School and is behind Amazon Web Services (AWS) launch.
How Did Amazon Start?
In 1994, Jeff left his job as the vice president of D.E Shaw and Company to begin his startup. He wanted to benefit from the internet boom, slowly taking the world by storm. Jeff Bezos jokingly refers to founding Amazon as a “Regret Minimization Framework”.
While driving from New York to Seattle, Jeff composed his company’s first plan. In the start, they used to call it Cadabra, Inc, but Jeff changed it to relentless.com when he learned that people mishear it as a cadaver (meaning corpse). Finally, the company was named Amazon because his friends did not like the name.
Initially, Jeff Bezos’s parents invested $250,000 in his venture. In 1998, Amazon got Junglee Corporation, a database technology provider that helps shoppers to find online products. Moreover, it also acquired “Planet All,” a social networking, calendaring, and address book website, to expand itself.
In 2005, Amazon ventured into the crowd-sourcing business with the help of “Amazon Mechanical Turk”. Moreover, in 2006 Amazon finally entered the cloud computing sector with “Amazon Web Services” (AWS) considering the great scope of the sector. Also, in the same year, Amazon ventured into the video-on-demand sector with ”Amazon Unbox“.
Amazon’s first ever e-reader, Kindle, was released in November 2007, which users greatly appreciated, In the same year, the world came to know about Amazon Music. Another famous Amazon product is Alexa,“ a virtual assistant AI technology that Amazon established.
Name And Logo of Amazon
Jeff Bezos’s mission was to make his company the most prominent e-commerce shopping platform. That’s why he named it “Amazon”. The company’s logo has been continuously the same since 2000 and has an arrow leading from A to Z, representing that the company aims to provide every product a buyer wishes. Moreover, the arrow forms a smile, which reflects that the customers will become happy after shopping from Amazon.
Growth And Revenue Of Amazon
Amazon began as a small online book store but currently is the world’s largest marketplace. The reason is that the company diversified and experimented with many horizons and, most notably, worked on its foundation.
If you observe the sales of Amazon, you will notice that its sales increased at a pretty fast pace. On the other hand, the diversification of its products and considering the bright future of the online shopping and e-commerce business at the correct time helped it become a giant.
Competitors Of Amazon
Amazon has various competitors as the world is advancing gradually. It has competitors in sectors from different fields like web services, merchandise, media, and electronics. Its competitor’s list includes:
- Alibaba Group
Amazon’s Key To Success
Amazon is working extremely great to increase its market all over the world. Amazon’s Overnight Delivery, Quality Product Packaging, Talented Management Unbelievable Customer Service, Free Shipping, and Returns, makes it reliable and trustworthy among customers. According to Jeff Bezos, Amazon’s key to success depends on four key principles:
According to Bezos, to become a successful entrepreneur and want to stay in the market for a longer period, you need to focus on your inventions and ideas instead of your competitors. If you will make strategies looking at your competitors then you will not survive for a longer time period.
Eagerness to Invent
Jeff Bezos says “We need to have something that is differentiated and unique—something that customers are going to like.” In order to be a successful entrepreneur, you need to see the problem but try to invent opportunities and solutions.
Basic planning and patience are important factors in order to establish any big company, Amazon success totally depends on long-term planning which helps in retaining the customers for a longer time period.
Amazon’s values are extraordinary, and systems are well planned, updated, and tested, as necessary. Bezos says such systems will identify defects at the root and correct them before a major problem emerges. Using smart Systems saves energy, money, time, and your reputation.”
Future Prospects of Amazon
The prospects of Amazon include expanding in the areas of Machine Learning, Robotics, Home Automation, and Space Exploration. However, it also plans to enter the health-technology and food delivery business later in the future.
Though Jeff Bezos also claimed to introduce“Amazon Prime Air Drone Delivery Service” to use it to deliver light packages to customers through drones. Even the company is putting efforts into making its delivery system eco-friendlier by the introduction of electric vehicles in its delivery system.
Considering Amazon’s plan regarding India, the company plans to create one million new jobs in India by 2025. In January 2020, Jeff Bezos claimed that Amazon is thinking of investing $1 billion in India to help 10 million traders to display their businesses online.