The key partners
The key partners refer to the main partners that work together with Amazon. It also includes what Amazon receives from the partners, what the partners do activities, and why Amazon needs them.
- Manufacturers of the goods that are sold by Amazon and also those stored in the warehouses of Amazon. The manufactures also supply the goods when needed.
- Third-party sellers who are allowed by amazon to operate on their platform and bring significant sales to Amazon. Amazon benefits from the third-party sales by charging them for participating in programs such as FBA to help the merchants to reach more consumers and give better shipping speed and prices.
- Digital content producers who are responsible for understanding the consumers’ trends and create the content needed to attract the customers and notify the management of what is required (Mansour & Barandas,2017).
- Publishers set the direction for the commercial and editorials for Amazon in publishing books, magazines, newspapers, and all the digital content.
- Logistics that are responsible for the transportation, shipping, and delivery of the goods.
The key activities of a business model canvas refer to the activities that the business takes part in for the intention of making a profit.
- Secure and build many partnerships with both the suppliers and the sellers
- Manage logistics and supply chain of Amazon
- Design, development, and optimization of the platforms such as websites and apps
- Merchandising of both digital and physical goods.
- Acquiring new ventures for supporting the Amazon ecosystem.
- The support of the movies and shows production in Amazon prime video platforms.
The key resources for the amazon are either physical and online.
- Online platforms such as apps and websites
- Technology and its infrastructure that is essential for amazon’s daily business activities and model
- The fulfillment centers that are responsible for the physical goods
The value propositions are made into consideration for the customers who buy goods and services from amazon since they are responsible for its success (Muhtaroğlu et al. 2013).
- Competitive prices for the goods and services offered.
- Selection of quality goods to be sold
- Quick delivery of the goods to the customers
- Satisfaction and convenience for the consumers
Amazon is a business that is invested in retaining its customers, and thus, they keep and healthy relationship with their customers for long periods of time. The strong relationship is established through giving good and quality services to the consumers.
The customer services are done through
- Phone calls
- Online charts
- Emails
The channels that are used for the communication, delivery, and distribution of goods in amazon are mainly
- Amazon websites
- Amazon apps
- Amazon custom programs
The customer segmentation in Amazon is mainly based on the purchase behavior, they target the customers who actually purchased and not who expressed their interests. The customer segments targets
- Any person with an internet connection
- A person in need of convenient e-commerce and quick delivery
The cost structure of the amazon is driven mainly by value. Amazon functions on systems that benefit the business economically
- Development of software
- Customer service centers
- Operations of the fulfillment centers
- Technology drive
Amazon gets mostly its revenue from its platforms through
- Commissions from the sale of the products
- Fee from transactions done in the platforms
- Subscription fee from Amazon Prime which is the largest