Amazon.

com
Redefining its Mission & Vision

Introduction
Amazon.coms is Seattle, Washington based
online retail store with annual revenue of $74B
(2012).
The company was founded in July 1995 by Jeff
Bezos.
Amazon.com released its IPO (AMZN) in May
1997 and it is traded on NASDAQ.
As of December 31,2013 Amazon.com has
117300 strong work force.
The company sells to all 50 states in USA and to
45 countries. (Amazon.com, 2013)

Products & Services

Sells thirds party products online on percentage
basis.
It has wide product spectrum, which ranges from
books, movies to kids products and even
extending to automotive and industrial parts.
Provides e-commerce platform to many
merchants and to individual sellers.
In house products: Ebooks, tablet, phone,
entertainment content.

Existing Mission Statement

To be Earths most customer-centric company
where people can find anything they want to
buy online.

Key Stakeholders
Following are the key stakeholders, arranged
according the weightage:
Customers
Employees
Shareholders

What Is Wrong?
There is nothing wrong with the mission
statement of the company, but the vision of
achieving is quite blurry. Let us see why?
Widely spread and over extended range of
services.
Their profit margins are thin but the company is
growing its products, services and customer base.
Absence of surplus cash, exposes the company to
market fluctuations
Existential threat to company from competitors

Looking at the following figures it can be concluded

that Amazon.com is focused more on market
acquisition.

How Can We Fix It?

Focus on high profit margin products and

services
Develop cushion of surplus cash
Let the business mature
Increase in content base business as
compared to percentage base. Just like Netflix.
Develop ecosystem amazon.com family of
products
Develop programs focussing loyal customer
base.

Example to support our

Argument
Netflix example

Customer Loyalty
There is no guaranteed recipe of success in

any business but customers returning to the

business, improve the chances of making one.
Providing incentive to use additional
amazon.com service, give rich customer
experince and binds customer to business

Revised Mission
Statement

Amazon.com, building trust by providing

quality product and services now and forever

Value of New Mission

Statement
Existential value: the value lies in existence of
the company
Social Responsibility: Maintaining healthy market
competition and providing the customer options
to choose from.
Economic Values: Competition keeps prices in
check.

References
O'Rourke, J. S. IV (2013). Management
Communications A Case Analysis Approach,
Fifth Edition.Prentice Hall, (73-79).
Amazon.com. (2014) Annual Report of the
Amazon.com. Retrieved December 9, 2014, from
http://phx.corporate ir.net/phoenix.zhtml?
c=97664&p=irol-irhome

Amazon.com Overview. (2013, June 1). Retrieved

December 9, 2014, from http://phx.corporateir.net/phoenix.zhtml?c=176060&p=irol-mediaKit
Mudambi, S. M., & Schuff, D. (2010). What Makes
a Helpful Online Review? A Study of Review on
Amazon.com. MIS Quarterly, 34(1), 185-200
Price, R. I. (2013). Cash flows at Amazon.com.
Issues in Accounting Education, (2), 353.

Donici, A. N., Maha, A., Ignat, I., & Maha, L.

(2012). E-Commerce across United States of
America: Amazon.com. Economy
Transdisciplinarity Cognition, 15(1), 252-258.
Ratnasingam, P. (2006). A SWOT Analysis for B2C
E-commerce: The Case of Amazon.com.
International Journal of Cases on Electronic
Commerce, (1), 1.