What are Zappos’ core competencies and sources of competitive advantage? How sus

Question

What are Zappos’ core competencies and sources of competitive advantage? How sustainable are they? What role does corporate culture play in these questions?

How important is next day air shipment to the customer experience? Is it worth the cost? How might you change it in the cost-conscious environment facing the company in late 2008?

How would you expand the business? Would you add more products, more geographies, or by selling private labels? As you expand the business, how can the company become more profitable, particularly in light of the costs associated with the focus on service?

How would you expect the environment of a more cost-conscious consumer to affect Zappos’ business? What can Zappos do in such an environment to maintain sales growth?

Explanation / Answer

The core competencies and values of Zappos are overlapped. The core Competencies of Zappos are BCP or Brand, Culture and Pipeline.Brand at Zappos is the value that it holds for its customers , they want their customers to stay loyal and new customers to join this trend. Therfore, they believe in providing customers actual value and a bit of weirdness. The culture of the Zappos is in a way , there brand which in turn is weirdness , which can be viewed in their products. Pipeline is the leadership pipeline by which a supremacy is provided over other companies.

Sources Of Competitive Advantage for Zappos:

Fast and Free Delivery:The company provides its customers with free delivery of their products and also takes comparitively less time than its competitors.

Customer Support: Zappos provides with excellent customer service and support even after sales which is considered as their best feature.The 24/7 customer service provides them competitive advantage.

Policy of the company: The return policy of the company is also considered as its competitive advantage as they have easy return policy within a specified period of time.

Corporate cultures and values: Zappos follows 10 core values alongwith their culture of weirdness. this values are actually based on what they believe in and stands as a competitive advantage.some of the values include: Deliver WOW through Service, Embrace and drive change,Create fun and a little weirdness,Be adventorous, creative and open-minded,Pursue growth and learning,Do more with less etc.

Financial Success: the company also has financial success and is able to invest in more diverse projects and this in itself creates the company have an advantage in the market over others.

Product information: They also provide online product information, every bit and detail of the project in an elaborated manner which is easily accessible by the customers.

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