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Amazon.com, Inc .

Amazon.com, Inc . Eli Sadler. Company History. Founder and CEO Jeff Bezos first incorporated the company in 1994 in the state of Washington. The company opened the virtual doors of Amazon.com's online store in July 1995. The company was originally only an online bookstore.

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Amazon.com, Inc .

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  1. Amazon.com, Inc. Eli Sadler

  2. Company History • Founder and CEO Jeff Bezos first incorporated the company in 1994 in the state of Washington. • The company opened the virtual doors of Amazon.com's online store in July 1995. • The company was originally only an online bookstore. • Within the first two months of business, Amazon had sold to all 50 states and over 45 countries. At the end of these two months, Amazon's sales were up to $20,000/week.

  3. Company History • Amazon.com went public on May 15, 1997, and the IPO price was $18.00. • Its common stock is listed on the Nasdaq Global Select Market under the symbol AMZN. • Since their IPO, they have split their common stock three times: • April 27, 1998: 2-for-1 split • November 19, 1998: 3-for-1 split • July 21, 1999: 2-for-1 split • They have never declared or paid cash dividends on their common stock. According to their site, they intend to retain all future earnings to finance future growth.

  4. Company Mission and Vision • “We seek to be Earth’s most customer-centric company for four primary customer sets: consumers, sellers, enterprises, and content creators.”

  5. Company Profile • The company quickly began to expand outside being just a digital bookstore. • In 1998 they entered the online music and video business • By 1999 they claimed to offer the “Earth’s Biggest Selection” of books, CDs, videos, DVDs, electronics, toys, tools, home furnishings and housewares, apparel, and kitchen gadgets. • They also had third-party agreements with well-known retailers like Toysrus.com, Target, Circuit City, Expedia Inc., and Hotwire.

  6. Company Profile • During this period, many investors shied away from Amazon, citing a focus on market share and not profitability. • Amazon was able to silence these critics in 2001 after reporting its first net profit during the fourth quarter of that year. • Although the company hadn’t experienced profits until nearly 7 years after it was started, that doesn’t mean that the company wasn’t generating a lot of revenue.

  7. Company Profile • Soon after its first profitable quarter, Amazon was able to identify a new area of potential growth by finding another new customer—the IT community. • In 2002 it launched its new web services platform, essentially adding another business model within the parent company. • It may have been risky for Amazon to expand into new business areas instead of focusing on its core competencies, but their web services program has been a large success.

  8. Company Profile • Since the early 2000’s Amazon has continued to make sound acquisition decisions and has officially become the world’s largest online retailer. • In 2007 it introduced its own line of e-book reader called the Kindle, and in July of 2010 Amazon announced that e-book sales for its Kindle reader exceeded sales of hardcover books for the first time ever. • In 2011 they dove into the tablet computer market by introducing the Kindle Fire which runs on a modified version of the Android operating system.

  9. Kindle & Kindle Fire

  10. Operations • Within the company there are many different functions that are handled in different locations. • The company’s global headquarters is located in Seattle, Washington. • Other facilities include: • Fulfillment Centers/Warehouses • Customer Service Centers • Software Development Centers

  11. Fulfillment Centers/Warehouses • Amazon has about 80 Fulfillment Centers worldwide which handle all of the companies orders. Each center also provides warehousing and order fulfillment for third-party sellers. • The warehouses are very large and employ hundreds of individuals. These employees, known as “pickers,” are responsible for the four main functions at each center: • Unpacking and inspecting incoming goods • Placing goods in storage and recording their location • Picking goods from their recorded locations to make up an individual shipment • Shipping

  12. Fulfillment Centers/Warehouses • A large central computer stores the location of goods within each warehouse, and maps out routes for employees throughout the facility. • Each employee carries a hand-held computer that they use to communicate with the central computer. It is also used by the company to monitor employees’ rates of progress. • It’s not unusual for an Amazon employee to walk 10 or more miles during an average day at work.

  13. Fulfillment Centers/Warehouses • Amazon has at least one fulfillment center in each of the following countries: • The United States • Canada • England • Scotland • Wales • France • Germany • Netherlands • Italy • Slovakia • Spain • Japan • China

  14. Fulfillment Centers/Warehouses

  15. Fulfillment Centers/Warehouses

  16. Customer Service Centers • Amazon has customer service call centers in the following cities and countries: • United States: • Kennewick, WA • Huntington, WV • Grand Forks, ND • Winchester, KY • India: Hyderabad • South Africa: Cape Town • Philippines: • Convergys Cebu • Convergys Bacolod • China: Chengdu • Germany: Berlin • Ireland: Cork • Morocco: Sala al Jadida • Scotland: Edinburgh • Japan: Sapporo • Costa Rica: • Heredia • CalleBlancos • Uruguay: Montevideo • Italy: Cagliari (opening 2013)

  17. Software Development Centers • Although much of Amazon's software development is handled in Seattle, the company employs software developers in centers across the globe: • The United States • Canada • England • Scotland • Ireland • Romania • India • Japan • China • South Africa

  18. Amazon Today • Amazon is continuing its success well into the new decade, posting a 22% increase in sales over their most recent quarter.

  19. Amazon Today • Currently employ 88,400 full-time employees as well as many more who work part time. • In 2011 it was rated America’s #1 most reputable company by Forbes • Jeff Bezos is still the CEO and president of the company and now earns a salary of $1.68 million. • 2012 net sales of $61.093 billion • Current stock price is $267.72 • Inside an Amazon.com Fulfillment Center: • http://www.youtube.com/watch?v=3gmbs4AVkgo • Questions?

  20. References: • http://www.fundinguniverse.com/company-histories/amazon-com-inc-history/ • http://www.sec.gov/Archives/edgar/data/1018724/000119312513028520/d445434d10k.htm • http://www.businessweek.com/innovate/content/apr2010/id20100412_520351.htm#p1 • http://www.labnol.org/tech/amazon-owed-companies/19605/ • http://www.businessinsider.com/massive-scale-of-amazons-distribution-operations-2012-11?op=1 • http://finance.yahoo.com/q/ks?s=AMZN+Key+Statistics

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