1Amazon's Corporate Strategy
Customer-centric mission. Superior customer service, one-click shopping
2Corporate Strategy
Comprises the decisons that ;eaders make and the goal-directed actions they take in the quest for competitve advantage in several industries and markets simultneously. it provides answers to the key question of where to compete
3Reasons to Grow
Increase profitability, lower costs, increase market power, reduce risk, motivate management
4Core competencies
Unique strengths embedded deep within a firm and allow a firm to differentiate its products and service for its rivals and create higher value by offering comparable value at a lower cost
5Economies of Scale
Firm's average costs per unit decreases as its output increases
6Economies of Scope
The savings that come from producing two or more outputs or providing different services at less. osts that producing each individually through using the same resources and technology
7Transaction Costs
All costs associated with an economic exchange. Internal and external costs associated ith an economic exchange.
8External Transaction Costs
When companies transact in the open market, they incur external transaction costs. The costs of searching for a firm or an individual with whom to contract, and then negotiating, monitoring, and enforcing the contract
9Internal Transition Costs
Costs pertaining to an economic exchange within a firm