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Features Of E Commerce In Amazon.Com

Question

Task: Provide a detailed report on the features of e commerce in Amazon.com.

Answer

Introduction
The report majorly focuses on enlightening the readers with the exclusive features of e commerce in amazon.com. The business zone of the company is extended to various areas like delivering food products, fashion clothing, gifts, goods for daily use, etc. The company is headquartered in Seattle, Washington. If considered the present global market, Amazon could be stated as the biggest retail group in the United Kingdom, and majorly has shown its excellence in the sale of home furnishing products and the fashion wardrobes. The e commerce system of Amazon majorly works in four different classifications of business models like C2B, C2C, B2C, and B2B. It is majorly the mode of B2B and B2C model, which is implied by amazon.com in its e commerce platforms. It is through these business models that the company has presented its products before the customer base (Laudon & Traver, 2016). It is by using its official website that the company and its registered traders would approach the potential customers who are interested in buying products from e commerce online platform. The traders all around the world could access a humungous base of customers by just merely registering on the online marketing platform of amazon.com. In the present world, Amazon has evolved itself into a global brand that has expanded its business to every country. The traders are now able to find a huge market on the global platform for the same product they used to supply in the restricted and isolated markets.

Features of e commerce

Features of e commerce model in Amazon.com
The discipline of business provides a multitude of a model for the e commerce business that would be adopted by the related companies for the effective delivery of the intended goods and services to the customers. As mentioned in the previous section of this article on features of e commerce, four types of business models could be easily implied while pursuing business on the online platform which is: - Consumer to Business, Consumer to Consumer, Business to Consumer, and Business to Business. It is majorly the Business to Business model and Business to Consumer model that is implied by Amazon in its business process to reach easily among the potential clients and customers (Toleuuly, 2020). The term e- distributor or e-tailer is majorly used for signifying the traders operating on the online business model. The implication of a particular model by the company would depend on the genre or type of customers that the company is targeting. It is to target the individual customers in the market that the Amazon company has implied the Business to Customer model. The facility for various traders to display and sell their customized products on the official website of Amazon is made possible by implying the Business to Business model. The trading portals of Amazon makes it possible for the customers to view candidly on their gadget screens and instantly order if they are interested in it (Azam, 2015).

Basic features of e commerce system in Amazon
As per the observation made by the renowned business analyst, Huang and Benyoucef in 2015, it is the basic intention of reaching out to the large volume of consumers that is targeted by a retail e commerce company. By utilizing the features of e commerce, the common public could reduce their effort of shopping from different destinations by just ordering from their home. Below are listed down the major features of e commerce business or services.

Basic features of e commerce system in Amazon

Customization, ubiquity, Information density, Global reach, Interactivity, Universal standard, and Richness.

Customization
The management of Amazon has decided to customize their portal in each operational country (Huan & Benyoucef, 2013). The preferences and biasedness of the local customer base are being considered by the company while designing the customized website for each country. The base of stronger customer relations is laid by the customized service offered through the online e commerce platform. It has been observed in recent years that the customers have reported a higher level of customer satisfaction after purchasing through the customized amazon portals. The particular approach has helped the Amazon Company in analyzing the precise buying behaviour of the local customers of the country. Though the company has implied its customization strategy in the products with low price, it has failed to bring personalization in branded and high-priced premium products.

Ubiquity
The services of Amazon are now available everywhere, and hence the customers from any destination could easily access the products or services listed on it (Lee, 2001). Hence Amazon company is well known for its ubiquity. The physical effort of going to various stores and shops to buy the required products has not to be invested by the customers who buy the products from Amazon. The platform of Amazon is quite helpful for both the customers and the traders, whereas the buyers could access any products from other foreign inaccessible markets, the traders would get a unified platform to sell their customized product to before a large group of customers. The substantial reduction in the cognitive energy to buy the required products has made the services of Amazon a preferable one among the global customer community.

Information density
The aggregate expenditure required for the collection of information and processing it could be significantly reduced by using most modern information technology (Alderson et al., 2011). The proper use of modern technology would also bring a higher level of precision to the features of e commerce used in online trading. The proper optimization of the searches regarding prominent brands, proper links in between the similar products would provide the users with a very efficient and fast searching experience. The particular taste of the customer could hence be devised out which help in displaying them with viable products with highly competitive prices. The approach would attract cost-sensitive customers, which comprise the majority of the population. By focusing on the information density features of e commerce, Amazon could improve its services and goods on the aspect of cost, quality, and brand value.

Global reach
By the online platform presented by Amazon, the business transactions could be carried out across the global boundaries. The customers could access the products from the global market in a more effective and traditional manner. The volume of the customer base in Amazon is very high since it provides the traders and their products with a high level of exposure. The e commerce platform of Amazon has eliminated the trade barriers in the traditional and conventional approach.

Interactivity
The process of marketing and advertising campaigns is very crucial for any sort of business. Without promotion, the audience would not get aware of the product delivered by the company. There should be proper interaction between the traders and viable customers for the effective development of the business. It is based on the preferences and demand created by the customers that the traders would display the customized products on the online platforms. The modern information technology installed in Amazon helps the traders to understand the purchasing trends and preferences of the local customers. At the same instance, the customer is provided with a global experience for shopping. The traders could though make direct contact with the customers, and thus there are some restrictions to the features of e commerce in Amazon.

Universal standard
The customers could be provided with products of international quality on the e commerce platform, which were earlier inaccessible to the local customer base. The availability of high-quality premium goods and services would greatly impact the dynamics of a market. The consistency in the quality of products is one of the major achievements of the platform presented by Amazon. The brand of Amazon is considered to be a large giant in the e commerce department which mandates it to sustain its standard and quality of products.

Richness
It is the higher level of marketing campaigns and advertisement programs that helps the traders to sell more products to the customers. However, the major drawback of the e commerce platform is that the traders would not physically approach the customers and canvass them. It is the richness of this segment that helps the sellers to access a very wide range of customers for the same products.

Applications and impact of these features of e commerce in Amazon
The above-mentioned features of e commerce are well utilized by online companies to enhance the business to new heights so that a higher level of profit and customer satisfaction could be attained. All the above features are well utilized by the management of Amazon so that a higher magnitude of turnover could be generated.

Features of E-commerce

Standards

Business significance (Amazon)

Improvement required

Customization

Content and messages which are personalized for the local population

 Negative: Failed in providing the customized experience and products at the brand level.

Ubiquity

highly optimized for any gadget which works on internet technology.

Positive: implied most modern internet technology

 

Information density

Brings high quality to the business processes and reduce the involved expenditure significantly.

 Positive: Increased availability of information would significantly reduce the number of searches.

Global reach

High accessibility to global brands

Positive: attained domination in the global market

 

Interactivity

Bilateral media for effective communication

 

Negative: The level of bilateral interaction between the trader and customer is very restricted, and the development would be highly based on the provided feedback.

Universal standards

The parameters of quality and other factors are the same all over the world.

 Negative: The parameter would entirely depend on the delivery of the product.

Richness

The use of innovative tools like videos and audios for displaying the information

 Positive: it is through social media and other efficient platforms that the message is presented to the customers

Findings
A plethora of products is being presented by the Amazon company to its customers both on local and global levels. The major findings of this study on features of e commerce in Amazon are listed below: -

  • The company is based on the operation of the internet.
  • The platform has been successful in presenting a wide range of products to potential customers.
  • The implied business model in the company has turned out to be the best and apt one for the customers.
  • It marked its dominance in the global market.
  • Presence of highly customized products.

Recommendations
Though Amazon has converted itself into the most reliable and reputed brand in the global community, there are some aspects in which the company management should focus to increase the turnover and efficiency (Goswami, 2014). The major aspects to focus upon are: -

  • Efficient and quick responding desk for complaints and feedback.
  • More features regarding the security of customer data.
  • Specific desk for testimonials and review
  • More customized and user-friendly portal for the customers.
  • Optimize the website for every gadget so that it could be accessed from anywhere.

The customers should be provided with more detailed information regarding the products (Yao, 2004).

Conclusion
In the local economy of the United Kingdom, Amazon has turned out to be a brand that could not be avoided in the daily life of the citizens. The exclusive features of e commerce focused by Amazon have helped them in making it one of the most dominating brands in the global community. Though there are still some areas where the company should focus on to achieve more efficiency and turnover, they have been successful in achieving high customer satisfaction by presenting a wide range of quality products before them. Not only in the United Kingdom, but Amazon has also fixed the root of its business among the local customers of various other countries. Amazon is now considered to be one of the most dominating and reputed global brands. The features of e commerce implied by Amazon are still referred by a lot of companies to achieve a higher level of customer satisfaction and success. Hence it is being concluded in this report on features of e commerce that the Amazon Company has raised the benchmark of customer satisfaction for all other competitors in both local and global markets.

References
Alderson, C., Hui, A., Victor, N., & Williams, D. (2011). U.S. Patent Application No. 13/011,324.

Azam, A. (2015). The effect of website interface features on e-commerce: an empirical investigation using the use and gratification theory. International Journal of Business Information Systems, 18(2), 205-223.

Goswami, S. (2014). Measuring the impact of consumer and product features on e-commerce adoption in India-an an empirical study. Vilakshan: The XIMB Journal of Management, 11(2).

Huang, Z

L., & Benyoucef, N. (2013). Since e-commerce to social commerce: A close look at design feature. Electronic Commerce Research and Applications, 13(4), 247-259.

Laudon, K. C., & Traver, C. G. (2016). E-commerce: business, technology, society.

Lee, C. S. (2001). The analytical framework for evaluating e?commerce business models and strategies. Internet Research.

Toleuuly, A., Yessengeldin, B., Khussainova, Z., Yessengeldina, A., Zhanseitov, A., & Jumabaeva, S. (2020). Features of E-Commerce Risk Management in Modern Conditions. Academy of Strategic Management Journal, 17(1), 1-6.

Yao, J. (2004). E-commerce Adoption of Insurance Companies in New Zealand. J. Electron. Commerce Res., 5(1), 54-61.

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