10 years after Amazon.com Inc. first made its appearance, Jeff Bezos is now accustomed to being hailed the king of Internet commerce. He runs a business that reached about $7 billion in sales last year and deals in everything from cases to books.
As more organizations began to start their own online operations the company that helped get it all started was in danger of seeing its market share eroded by the competitors it helped created. Amazon has nearly 49 million active customers. Last year itself, they bought more electronics holiday related items than books, a first for the company.
With $6.92 billion in sales in 2004, Amazon ranked at the top of Internet Retailer's annual top 400 list, well ahead of computer maker Dell Inc., which posted $3.25 billion in online business-to-consumer sales. Office Depot Inc., which has a partnership with Amazon, wasn't far behind with $3.1 billion.
The reason why Amazon is so successful is because they had slowly built up their market brand and trust in their products. This tactic keeps the customers coming back for more an it attracts new clients to come. Other than that, they force their technological developers to focus on value delivered to the customer instead of building technology first and then figuring how to use it.
As more organizations began to start their own online operations the company that helped get it all started was in danger of seeing its market share eroded by the competitors it helped created. Amazon has nearly 49 million active customers. Last year itself, they bought more electronics holiday related items than books, a first for the company.
With $6.92 billion in sales in 2004, Amazon ranked at the top of Internet Retailer's annual top 400 list, well ahead of computer maker Dell Inc., which posted $3.25 billion in online business-to-consumer sales. Office Depot Inc., which has a partnership with Amazon, wasn't far behind with $3.1 billion.
The reason why Amazon is so successful is because they had slowly built up their market brand and trust in their products. This tactic keeps the customers coming back for more an it attracts new clients to come. Other than that, they force their technological developers to focus on value delivered to the customer instead of building technology first and then figuring how to use it.
Amazon also takes it granted stuff you cant win everything, that’s reality, embrace it. For example, go more with a fast reboot and fast recover approach. With a decent spread of data and services you might get close to 100%. So what do they do? They create self-healing, self-organizing lights out operations.
Embrace innovation. In front of the whole company, Jeff Bezos would give an old Nike shoe as a “Just do it” award to those who innovated.
Amazon also believes that the only way to manage as large distributed system like theirs is to keep things as simple as possible. Keep things simple by making sure there are no hidden requirements and hidden dependencies in the design. Cut technology to the minimum needed and only those that are needed to you need to solve the problem you have. It doesn’t help them to create artificial and unneeded layers of complexity.
Besides, Amazon.com also stresses on the importance of innovation. Amazon.com believes that everyone must be able to experiment, learn, and iterate. Position, obedience, and tradition should hold no power or innovation will never boom.
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