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E-Business - Essay Example

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E- Commerce or Electronic commerce is the latest business strategy evolved with the help of internet and E-mails which can be defined as the paperless exchange of business information using electronic data, e-mail, electronic bulletin boards, fax transmissions, electronic funds…
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Download file to see previous pages sales, which totaled at an estimated $19.8 billion for the quarter, account for 2.2 percent of total retail sales in the country, according to the report.” (Eschen, 2005) E-commerce is one of the fastest growing business segments in the world both in quantity and quality. It is easy to setup an E-business with minimum investment and labor if the entrepreneur is smart enough to identify the right opportunity provided by internet. Online business has much wider scopes than offline businesses because of the wider reach-ability of it. It is easy for a person to purchase a good from America staying in some other countries using a simple credit card. Moreover the consumer can compare the prices of the same product in various countries and thus he will able to purchase a product for the cheapest possible price.
Amazon.com, Inc..., an American electronic commerce company is one of the leaders in the e-commerce business field with diversified business activities and successful marketing strategies. This paper briefly analyses E-commerce as a business strategy taking Amazon as a reference organization.
Amazon.com Inc, one of the leaders in E-business, founded by Jeff Bezos in 1994 has started with the online book selling and then expanded to diversified activities like the selling of CDs, videos, DVDs, electronics, toys, tools, home furnishings and house wares, apparel, and kitchen gadgets film production etc. “Currently it employs more than 7800 employees and as per the statistics of 2002, it has reported $ 3.9 billion sales” (Amazon.com, Inc, n.d) The company did not focus on profits for the initial five years and spend much of its revenues in expansions in the initial years. This business strategy brought immense dividends to the company as per the recent statistics. Amazon has realized the potential of e-business very well and they focused on expanding the business by the initial revenues they obtained.
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