please rephrase and break down the key points to put on a Power Point slide Amaz

Question

please rephrase and break down the key points to put on a Power Point slide

Amazon is an online retailer. The company offers a range of products and services through its trademark e-commerce site, amazon.com. The products offered by the company include merchandise and content purchased for resale from vendors and products offered by third party sellers. The company also manufactures and sells the Kindle devices. The company operates through three business segments: North America, International and AWS. The North America segment focuses on retail sales of consumer products (including from sellers) and handles subscriptions through North America-focused websites, including www.amazon.com, www.amazon.ca and www.amazon.com.mx. This segment also includes export sales generated from these websites. In FY2016, the North America segment reported revenue of USD79,785 million, which accounted for 58.7% of the company's total revenue. The International segment earns revenue from the retail sales of consumer products (including from sellers) and subscriptions from international websites. This segment also includes export sales from international websites (including export sales from their respective sites to customers in the US, Canada and Mexico), but excludes export sales from North American websites. The segment operates websites such as www.amazon.com.au, www.amazon.com.br, www.amazon.cn, www.amazon.fr, www.amazon.de, www.amazon.in, www.amazon.it, www.amazon.co.jp, www.amazon.nl, www.amazon.es, and www.amazon.co.uk. In FY2016, the International segment reported revenue of USD43,983 million, which accounted for 32.3% of the company's total revenue. The AWS segment earns revenues from global sales of compute, storage, database, and other AWS service offerings for start-ups, enterprises, government agencies, and academic institutions. In FY2016, the AWS segment reported revenue of USD12,219 million, which accounted for 9% of the company's total revenue. Amazon caters to four primary customer sets: consumers, sellers, developers and enterprises, and content creators. The company serves consumers through its retail websites. Amazon designs its websites to enable the sale of millions of unique products; some of these products are sold by Amazon, while the others are sold by third party vendors. The company also manufactures and sells electronic devices, including Kindle e- readers, Fire tablets, Fire televisions (TVs) and Echo. It also develops and produces media content. Amazon offers merchandise at the lowest possible prices by adopting everyday low product pricing strategy and through shipping offers, including through membership in Amazon Prime. The company also provides order fulfillment services to its consumers. Amazon fulfills customer orders through its fulfillment centers and delivery networks located in North America and other foreign countries; co-sourced and outsourced arrangements in certain countries; and digital delivery. Amazon caters to sellers by offering programs that enable them to sell their products on their websites and also on Amazon's websites. The company earns fixed fees, revenue share fees, per-unit activity fees and interest on such transactions. Amazon.com, Inc. Page 4 © MarketLine Amazon.com, Inc. Business Description The company serves developers and enterprises through AWS, which provides a broad set of global compute, storage, database, and other service offerings. Amazon serves content creators such as authors and independent publishers through Kindle Direct Publishing, an online platform that allows independent authors and publishers to select a 70% royalty option and make their books available in the Kindle Store. The company also offers its own publishing arm, Amazon Publishing. It also offers programs that allow authors, musicians, filmmakers, application developers, and others to publish and sell content. In addition, Amazon generates revenues through co-branded credit card agreements and advertising services. Geographically, the company classifies its operations into five segments, namely the US, Germany, Japan, the UK, and Rest of the World. In FY2016, the US segment accounted for 66.4% of the company's total revenues; followed by Germany with 10.4%; Japan with 7.9%; the UK with 7%; and Rest of the World with 8.2%.

Explanation / Answer

AMAZON- An Introduction

•It is an online Retail Company.

•Products and services offering through e-commerce website, amazon.com.

•Products offered include merchandise from vendors and third party for resale.

•Manufactures and sells Kindle devices.

Operations

•The company classifies its operations into five segments, namely the US (66.4%), Germany(10.4%), Japan(7.9%), the UK(7%), and Rest of the World(8.2%). (FY2016)

•Operates through three business segments:

•North America

•International

•AWS

North American Segment

•It focuses on retail sales of consumer products.

•It handles subscriptions through websites, like www.amazon.com.mx, www.amazon.com, www.amazon.ca.

•it includes export sales generated from these websites.

•Earned revenue of USD79,785 million in FY2016 which accounted for 58.7% of the Amazon’s total revenue.

International Segment

•The revenue in this segment is through retail sales of consumers product and through international websites subscriptions.

•Export sales from international websites other than North American websites.

•It operates websites like, www.amazon.com.au, www.amazon.com.br, www.amazon.fr, www.amazon.in, www.amazon.it, www.amazon.es, and www.amazon.co.uk.

•Revenue of USD43,983 million in FY2016, accounting to 32.3% company’s total revenue.

AWS Segment

•This segment engages in global sales of compute, database and storage.

•It offerings of AWS services for start-ups, government agencies, enterprises,, and academic institutions.

•It reported revenue of USD12,219 million in FY2016, accounting to 9 % of total revenue.

Products

•The company manufactures and sells electronic devices, like Kindle e- readers, Fire tablets, Fire televisions (TVs) and Echo.

• It also develops and produces media content.

•It has adopted low product pricing strategy which helps to maintain the lowest possible prices, also through prime membership.

•Amazon fulfils customers order through

•fulfilment centres and delivery networks located in North America and other foreign countries;

•co-sourced and outsourced arrangements in certain countries;

•digital delivery.

Order Fulfilment

•It offers programs to the sellers which enable them to sell their products through website.

•The company also offers its own publishing arm, Amazon Publishing. It also offers programs that allow authors, musicians, filmmakers, application developers, and others to publish and sell content through 70% royalty program.

•The company earns fixed fees, revenue share fees, per-unit activity fees and interest on these transactions through co-branded credit card agreements and advertising services.

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