Amazon kindle

Presents by

Katy Hui,Leona Lei Victoria Huang

Key Strategic Issue of Amazon Kindle

Losing competitive advantage

Strong rivalry

Agenda

Company analysisExternal analysis

Recommendations

Company Analysis External Analysis Recommendation

Key Historical Events

Founded in 1914 by Jeff Bezos

1997 May Amazon went public (AMZN)

2005 Amazon bought Mobipocket

2007 November 19 Amazon Kindle 1st generation was released

August 2010 Amazon Kindle 3rd generation was released


Vision:

• To be the earth’s most customer centric company; to build a place where people can come to find and discover anything that might want to buy online

Mission:

• To influence technology and potential to provide the best buying experience on the internet.


Objectives:

• Gaining bigger market share by improving and diversification of services

Strategy:

• Offering the lowest price while offering great customer service.


Kindle’s strengths

Lowest Price:

Kindle& E-book

Access to the largest

online e-book store

Longest- battery life

Brand Recognition

Text to speech


Historical Performance


Comparative Performance


Industry size & Growth


Reasons for growth


Segmentation AnalysisPrice

FunctionSony

Ipad

Kindle


Competitors Analysis

Kindle

US $114

Black and white

Qwerty keyboard

Amazon

For serious readers

iPad

US$499.99

Color

Touch Screen

Apple store with various

apps

Interactive tablet

Samsung

US$499.99

Color

Touch screen

Samsung Apps

Interactive tablet

Nook

US$249.99

Color

Touch screen

Barnes and Noble

Interactive e-reader


Industry Threats and Opportunities

High level of substitutes

Industry price compete

Environmental awareness

Global expansion

Strong growth in the e-book market


Recommendations

1. Focus on Differentiation

2. Launch a tablet computer & compete in tablet market segment

3. Globalization

4. Lower Kindle’s price

5. Corporation with schools


1. Focus on Differentiation

• Focus on positioning as reading device instead of a multifunctional tablet computer

• Invest in R&D• More language• Touchscreen


2. Launch a tablet computer & compete in tablet market

segment• Separate the e-book reader market

with tablet market

• Higher premium


3.Globalization• Set up a sales center in China

• Eliminate region restriction on e-book selection


4. Lower Kindle’s Price


5. Corporation with schools

• Provide discount for students and faculties

• Promote Environmental Friendly

Thank You!

Amazon kindle

Technology

Transcript of Amazon kindle