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Copy of Amazon Cloud Computing
Transcript of Copy of Amazon Cloud Computing
Marina Roscot Amazon Elastic Cloud Computing A multinational electronic commerce company
The world's largest online retailer
Produces consumer electronics (Amazon Kindle)
A major provider of cloud computing services Company Overview Company History Founded as Cadabra by Jeff Bezos in 1994
Went online as Amazon.com in 1995 (Amazon River)
Started as an online bookstore
Revenue of US$ 48.07 billion in 2011 Competitors:
55.4% of sales in North America with the other 44.6% in the International market
Provides low prices by increasing the competition between sellers
NASA uses Amazon Web Services for Mars mission Current Position •2006: Began offering IT infrastructure services to businesses in the form of web services -- now commonly known as cloud computing.
•What is Cloud Computing?
A general term for anything that involves delivering hosted services over the internet. Amazon Web Services •An IaaS, by using AWS a company can gain computing power and storage, among other services.
•Common AWS uses include:
enterprise IT, etc. Elastic Cloud Computing Can start on small scale.
Only need to purchase server hardware. High Cloud computing at its simplest... Afraid to loose your photo? Upload it onto a photo website... You started cloud computing! But what does that mean? Photo lives up in the cloud Log on to see it from wherever you want So where does the photo live? Rows of powerful computer towers Your photo could be anywhere! Why is this a good thing? Allows others to see your photo too! It's not just you... ...until you need to look at it again Data centers ...all over the world Trust Amazon to keep it safe Entire business are running in the cloud Porter's Five Forces Supplier Power Buyer Power Bargaining power of end users Threat of New Entrants Threat of Substitute Products/Services Rivalry among Existing Competitors Bargaining power of suppliers Bargaining power of channels Many competitors
Some competitors tailor to specific industries and markets High Many server hardware vendors
Data centers can be located anywhere: choice of utilities Low: In-house systems often cost-prohibitive
Unmatched reliability Low Can start on small scale.
Only need to purchase server hardware. High Originally a pioneer
Many companies carving out market share
Specialized Markets, e.g. IBM High Increasingly crowded market.
Amazon remains competitive through advantage of EC2 technology. Verdict: Unattractive Market Three Generic Strategies Differentiation Cost Leadership Focus Virtual Computer for rent by the hour
•Scalable, secure method
•No need for an IT department!
•“pay as you go” solutions
•Services based on need Amazon's Value Chain
Strong technological infrastructure with a single platform
High investments in technology development Great product forecasting system
Constantly soliciting suggestions on new products
Easy and fast payment system
24 hour operations Free returns within 30 days
Label printing Value Chain Analysis Key Point
Specialized fulfillment centers
High technology investments
Centralized Global IT management
Take advantage of these resources in the global market to remain competitive. Product and Technology Development Sales and Marketing Servicing Amazon attributes and Services Low cost
Security Strong Competitive Advantage Strong technological infrastructure
24 hours operating system
Easy and secure payment High cost Low cost Broad market Narrow market