The document presents an analysis of Amazon Kindle's key strategic issues and recommendations. It provides an overview of Amazon Kindle's history and performance. It also analyzes Kindle's strengths and competitive advantages against rivals like iPad, Samsung, and Nook. Some threats and opportunities in the industry are discussed as well. Recommendations include focusing on differentiation, launching a tablet computer, global expansion, lowering Kindle's price, and cooperating with schools.
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
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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.
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7. Objectives:
• Gaining bigger market share by improving and
diversification of services
Strategy:
• Offering the lowest price while offering great
customer service.
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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
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13. Segmentation Analysis
Price
Ipad
Sony
Function
Kindle
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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
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15. Industry Threats and Opportunities
Environmental
High level of awareness
substitutes
Global expansion
Industry price
compete
Strong growth in
the e-book market
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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
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17. 1. Focus on Differentiation
• Focus on positioning as reading device instead
of a multifunctional tablet computer
• Invest in R&D
• More language
• Touchscreen
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18. 2. Launch a tablet computer &
compete in tablet market segment
• Separate the e-book reader market with
tablet market
• Higher premium
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19. 3.Globalization
• Set up a sales center in China
• Eliminate region restriction on e-book
selection
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20. 4. Lower Kindle’s Price
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21. 5. Cooperation with schools
• Provide discount for students and faculties
• Promote Environmental Friendly
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Provide an analysis of the company’s comparative performance (relative to key competitors)
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