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Presents by

Katy Hui,
Leona Lei
Victoria Huang
Key Strategic Issue of Amazon Kindle

                 Losing
               competitive
                advantage


              Strong rivalry
Agenda

         Company analysis

          External analysis

         Recommendations
Key Historical Events

                                                           August
                                            2007           2010
                                            November       Amazon
                                            19 Amazon      Kindle 3rd
                              2005                         generation
                              Amazon        Kindle 1st
                                            generation     was
                              bought                       released
                  1997 May    Mobipocket    was released
                  Amazon
                  went
                  public
          Founded (AMZN)
          in 1914
          by Jeff
          Bezos




  Company Analysis           External Analysis             Recommendation
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.



 Company Analysis    External Analysis   Recommendation
Objectives:
• Gaining bigger market share by improving and
  diversification of services



                     Strategy:
• Offering the lowest price while offering great
  customer service.


 Company Analysis     External Analysis   Recommendation
Kindle’s strengths

   Lowest Price:       Access to the
                                               Longest-
     Kindle&           largest online
                                              battery life
     E-book             e-book store


                  Brand
                                    Text to speech
                Recognition



  Company Analysis      External Analysis     Recommendation
Historical Performance




  Company Analysis   External Analysis   Recommendation
Comparative Performance




  Company Analysis   External Analysis   Recommendation
Industry size & Growth




  Company Analysis   External Analysis   Recommendation
Reasons for growth




  Company Analysis   External Analysis   Recommendation
Segmentation Analysis
                               Price
                                                Ipad




                     Sony
                                                       Function


     Kindle




  Company Analysis          External Analysis     Recommendation
Competitors Analysis

   Kindle               iPad              Samsung                Nook

     US $114           US$499.99             US$499.99           US$249.99


  Black and white          Color                   Color            Color


  Qwerty keyboard     Touch Screen           Touch screen        Touch screen

                     Apple store with                            Barnes and
     Amazon                                 Samsung Apps
                      various apps                                 Noble

   For serious                               Interactive        Interactive e-
                     Interactive tablet
    readers                                     tablet             reader



  Company Analysis             External Analysis            Recommendation
Industry Threats and Opportunities

                                              Environmental
          High level of                       awareness
          substitutes
                                               Global expansion
          Industry price
          compete
                                              Strong growth in
                                              the e-book market



  Company Analysis        External Analysis       Recommendation
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


  Company Analysis            External Analysis     Recommendation
1. Focus on Differentiation

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

• Invest in R&D
 • More language
 • Touchscreen




 Company Analysis   External Analysis   Recommendation
2. Launch a tablet computer &
     compete in tablet market segment
   • Separate the e-book reader market with
     tablet market

   • Higher premium




Company Analysis   External Analysis   Recommendation
3.Globalization
• Set up a sales center in China

• Eliminate region restriction on e-book
  selection




Company Analysis      External Analysis   Recommendation
4. Lower Kindle’s Price




Company Analysis   External Analysis   Recommendation
5. Corporation with schools
• Provide discount for students and faculties

• Promote Environmental Friendly




Company Analysis   External Analysis   Recommendation
Thank You!

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Amazon kindle

  • 1. Presents by Katy Hui, Leona Lei Victoria Huang
  • 2.
  • 3. Key Strategic Issue of Amazon Kindle Losing competitive advantage Strong rivalry
  • 4. Agenda Company analysis External analysis Recommendations
  • 5. Key Historical Events August 2007 2010 November Amazon 19 Amazon Kindle 3rd 2005 generation Amazon Kindle 1st generation was bought released 1997 May Mobipocket was released Amazon went public Founded (AMZN) in 1914 by Jeff Bezos Company Analysis External Analysis Recommendation
  • 6. 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. Company Analysis External Analysis Recommendation
  • 7. Objectives: • Gaining bigger market share by improving and diversification of services Strategy: • Offering the lowest price while offering great customer service. Company Analysis External Analysis Recommendation
  • 8. Kindle’s strengths Lowest Price: Access to the Longest- Kindle& largest online battery life E-book e-book store Brand Text to speech Recognition Company Analysis External Analysis Recommendation
  • 9. Historical Performance Company Analysis External Analysis Recommendation
  • 10. Comparative Performance Company Analysis External Analysis Recommendation
  • 11. Industry size & Growth Company Analysis External Analysis Recommendation
  • 12. Reasons for growth Company Analysis External Analysis Recommendation
  • 13. Segmentation Analysis Price Ipad Sony Function Kindle Company Analysis External Analysis Recommendation
  • 14. Competitors Analysis Kindle iPad Samsung Nook US $114 US$499.99 US$499.99 US$249.99 Black and white Color Color Color Qwerty keyboard Touch Screen Touch screen Touch screen Apple store with Barnes and Amazon Samsung Apps various apps Noble For serious Interactive Interactive e- Interactive tablet readers tablet reader Company Analysis External Analysis Recommendation
  • 15. Industry Threats and Opportunities Environmental High level of awareness substitutes Global expansion Industry price compete Strong growth in the e-book market Company Analysis External Analysis Recommendation
  • 16. 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 Company Analysis External Analysis Recommendation
  • 17. 1. Focus on Differentiation • Focus on positioning as reading device instead of a multifunctional tablet computer • Invest in R&D • More language • Touchscreen Company Analysis External Analysis Recommendation
  • 18. 2. Launch a tablet computer & compete in tablet market segment • Separate the e-book reader market with tablet market • Higher premium Company Analysis External Analysis Recommendation
  • 19. 3.Globalization • Set up a sales center in China • Eliminate region restriction on e-book selection Company Analysis External Analysis Recommendation
  • 20. 4. Lower Kindle’s Price Company Analysis External Analysis Recommendation
  • 21. 5. Corporation with schools • Provide discount for students and faculties • Promote Environmental Friendly Company Analysis External Analysis Recommendation

Notas del editor

  1. Provide an analysis of the company’s comparative performance (relative to key competitors)
  2. Amazon kindle: cheapest=$114 black and white KOBO: $129.99 color and touch screenSony PRS : both black and white but touch screen and have colorful outlookreader pocket edition: $179.99 touchableReader touch edition: $229.99 (larger in size)Amazon dx: 9.7”, compatible with different languages