Why is Amazon the dream of any investor?


November 1, 2018

Amazon.com is an American electronic commerce and cloud quantifying company headquartering in Seattle, Washington, founded by Jeff Bezos on 5th July 1994. It is the largest and most diversed Internet retailer in the world according to the capitalization list and marketing firms, and second largest after in terms of its total sales. It started as an online book store and later manifolded to sell literally everything from a-z acknowledging its name to AMAZON which has a small arrow from a to z as it can be seen in its logo.

Now there are many reasons as why Amazon is the dream of any investor?

  1. 1. Its founder is its leading engine

As it’s CEO Jeff  Bezos is the founder himself ,he knows the company intimately. So he knows  how to take care of each and every step the company is taking, each and every profit and loss the company is going through.  According to the studies, founder-led companies tend to outperform others in the stock market.

  1. It has a very profound and skilled founder and employees

Amazon has 78.89 million shares in their CEO’s pocket according to studies as till November 14th. This means he has a stake in the market and a well planned competent profile.

  1. It has a sturdy trench

However, its worthiest trench is surely its wide fulfillment centrally controlled network, which it’s long been pouring money into building out. This network is the help bound of  Amazon’s cost effective, fast and easy deliveries and pick-ups.

It currently has 125 fulfillment centers in the U.S, soon planning for 30 more. Its massive centered network is planning for more and more centers so that it can maintain its validity amongst the stock market.

  1. It has a very strong business model pounding into power growth

It’s Web Services, the company’s virtually handling service business, is its cash-flow machine. Amazon uses this cash inflow to expand its infrastructure and centers so establish a web and real network around the globe. It’s soon to be declared as the most widespread network of its own and other kind.

  1. The business model is cluttering

Amazon’s business model is “cluttering,” which means that it helps the company build bonds and interact with its customers that make them resistant to jumping ship for competitors. Their super-successful Amazon Prime memberships – which help customers get fast delivery and other benefits — is akin to a superglue. Studies show that the number of Prime subscribers boiled up from 24 million at the end of 2013 to about 89  million in September 2017.

The website has immense features that make shopping on it very east for customers. It saves your past orders, recommends you products according to your previous searches and buys, shows a lot of similar products to your wish listed items and notifies you with different offers.