Online Platform (I)

Question 1

3 Pillars of Amazon Business

Answer 1

Large Selection, Convenience, Lower Prices

Question 2

Amazon’s Wheel of Growth

Answer 2

Lower cost structure → Lower prices → More selection → Seller growth → Customer experience → Traffic

Question 3

Why does Amazon postponed profits

Answer 3

Focus on growth
1. Expand warehouse capacity
2. Build e-commerce operations worldwide
3. Amazon Web Service (Cloud computing platform)
4. Kindle (eBook readers)

Question 4

Why are similar items stored across multiple shelves?

Answer 4

Avoid mistakes when filling orders

Question 5

How did the software help with fulfilment operations?

Answer 5

Determine the optimal box size for each order

Question 6

Final step of shipment?

Answer 6

The system weighs every box before shipping (make sure nothing was forgotten or incorrect)

Question 7

Result of Fulfilment Operations

Answer 7

More efficient + Higher product capacity + On-time delivery rates up to 99.9% but very costly ($46M)

Question 8

Echo and Alexa

Answer 8

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