The U.S. based e-commerce giant, Amazon becomes the second largest publicly traded company by crossing a $1 trillion market cap trailing iPhone and Apple. The company has revolutionized the entire model of the e-commerce platform by describing the way people shop online. The company is the dominant leader in the internet retail. Just in two decades, the company has grown by leaps and bounds by introducing a variety of items online. Besides this, the company scaled up its retail operations by incorporating profitable advertising and cloud computing businesses.
The credit for the success goes to Jeff Bezos, founder, and CEO of the Amazon. He is awarded the No.1 amongst the billionaire’s list on Forbes this year. The Seattle based company has bounded customer loyalty through its Echo voice devices and the Prime membership program in place that offers invaluable services like free shipping, fast offerings with music and video streaming perks.
On the stock market front, Amazon’s stock rose by 1.7 percent in the morning trade by acquiring the market value more than $1 trillion even after that the stock declined to some extent. The global tech giant Apple was at the highest $1 trillion marks in August this year. The business model of the company works on a partnership basis with numerous old-line retailers that sell the Kenmore washing machines traditionally found at Sears with the opened stations inside Kohl’s stores where people can transact by bringing returns and look at Amazon Devices.
The Wall Street in the U.S. has admired about the Amazon’s numerous businesses. With the Web Services in place, Amazon offers cloud computing services to the government and companies. Besides this, the company’s advertising division creates billion dollars by selling ads to all those companies that would like their products to show up when users and shoppers search on the site. On the operational efficiency front, the high associated cost to run the business mostly the online store of the company have been offset by the profitable businesses that the company is doing. The company has seen rising quarterly profit stands at $2 billion for the first time in this year following the online shopping, advertising businesses and cloud computing.
Let us not forget that the company has streamlined the entire operations such that it scaled up at the high at present!!