Amazon was founded by Jeff Bezos in 1994 and started as an online bookstore.
Now it has evolved into the largest internet company in the world by its revenue.
Amazon is a multinational technology company which focuses on e-commerce,
artificial intelligence, and cloud computing. Amazon is currently the second largest employer in The United States and surpassed Walmart in 2015 as the most valuable retailer in America by market capitalization.
Now it has evolved into the largest internet company in the world by its revenue.
Amazon is a multinational technology company which focuses on e-commerce,
artificial intelligence, and cloud computing. Amazon is currently the second largest employer in The United States and surpassed Walmart in 2015 as the most valuable retailer in America by market capitalization.
Sustained Competitive Advantage
Amazon has gained a competitive advantage by creating economic value for their
customers with their disruptive innovation, automated inventory management systems,
and last but not least low prices and fast delivery service.
customers with their disruptive innovation, automated inventory management systems,
and last but not least low prices and fast delivery service.
Amazon Automated Inventory Systems
By using their automated inventory systems, Amazon can measure the speed by which the inventory is turning over. This increases the accuracy of the accounting methods such as last in first out [LIFO] versus first in first out [FIFO]. Accounts receivable turnover to the measure of the average time it takes to collect on credit sales and counting revenue.Historical Financial Statements
With their accounting system, this has created an enormous competitive advantage
by increasing the accuracy of their historical financial statements.
There are several different ways of measuring a company’s performance such as
“Semistrong form” and the “Sharpe’s measure,” that can measure and
compare total risk and has improved stakeholder confidence over the years which reflects
on their stock price.
by increasing the accuracy of their historical financial statements.
There are several different ways of measuring a company’s performance such as
“Semistrong form” and the “Sharpe’s measure,” that can measure and
compare total risk and has improved stakeholder confidence over the years which reflects
on their stock price.
