Using Technology For Business: The Case Of Amazon

JB once said “A brand for a company is like a reputation for a person. You earn reputation by trying to do hard things well”. Amazon became a superpower by inventing a service strategy. And then it is sustaining in the power by strategically taking down most of the prevailing industry mainly through investing in information systems. It is by now Amazon partnered and acquired over 130 big businesses diversifying into every corner of the market giving justification it’s a to z trademark.

Already been a leader to cutting-edge technology and using it for trade Amazon simply reordered the retail market to infinite horizons. It has the capability to filter the market trends using AI, utilize its resources to learn the market analysis to make sure it is ahead of the competitors like Walmart, eBay, Target; etc. Amazon also uses its information system as a tactical tool to gather, investigate, and exploit the data to keep the clients involved with the business. By acquiring the whole foods for 13. 7 Bil in 2017, a billion worth deal with Pillpack, another Bil acquiring the Ring and Half a Bil on More supermarket chain in India, Amazon making diversification of business keeping core component of its principles well protected. Books, Music, Groceries, Pills, and A to Z at prices lower to market margin within a click reach. Around 75% of sales come from E-commerce, is the reason why Amazon spends billion on Research and Development. Google, John Deere, Ford, Netflix, and every other big trade has been investing in AI sending billions in R&D, no wonder Amazon spends more of its resources to develop its AI to go ahead of the game.

In order to gain customer satisfaction and loyalty, Amazon uses Customer Relationship Management system (CRM), Enterprise Resource Management (ERM), and others. Big Data along with the CRMS, Amazon effectively incorporates sales, services, and statements. Amazon never failed to use Big Data to customize the goods, amenities, and user experience on the website. The system can capture every click the user does from entering the site to all the way through buying and payment submission. By recording this data, it is easy for Amazon to examine the customer behaviors on the interface and make necessary updates to positively rationalize the entire customer experience. Amazon then uses this date from IS to create strategies for market expansion. Amazon's big investment in Research and Development to make sure it has more advanced technologies available to them. Whether they use A9 or RACE with a strong AI in the back-ground amazon is always ahead to make sure they have the best Information availed to them.

Amazon is top notch to use technology for business; using every updated technological innovation, Amazon simply ridiculing the most current innovations that it takes a lot of time for others to reach. In other words, Amazon is disrupting the technology but not the other around. Amazon continues to reassure that the technology it is using is fully up to date and very well secure. To ensure that Amazon spends resources to protect consumer’s privacy and data through proper communication with a lot of emails and text messages about shipments and payments. Amazon now taking chances when everybody holds a favorable opinion on Amazon. Amazon attempts to hold a key to every type of business are working, because of the value, the brand offers.

If I am the CIO, I would also make sure that Amazon understands the undercurrents from competitors. Being able to enter many industries is not the same as sustaining through. Too much diversification might dissolve the concentration and as well as the direction where the company going and as well as the core principles. Which is unlike Kodak, could not make a rapid start to introduce the digital technology on time in the era where Kodak captured the whole world. Kodak was known for the chemical company did not hesitate to take a leap into the film world and rose to a world-leading film camera company. It failed to introduce its own invention, Kodak could have simply released the digital camera as an update to the film camera in the market, instead, they were busy with patents and lawsuits. Kodak failed, here again, it was too late when they introduced a digital camera into the market but then went far ahead of the game where the consumers both general and commercial disconnected. To respond to the increasing competition in its core business, Kodak followed an undisciplined diversification. Whereas Fuji steadily increased its market share with timing and technology. But Kodak tried to answer this issue by diversifying and shape the market in with the new hybrid technologies those are way beyond for the trends. It was leadership but not technology made Kodak bankrupt.