The paper “ Amazon’ s Macro Environmental Situation" is a telling variant of a case study on marketing. Amazon deals directly with its clients with no intermediaries. Since most of its products are obtained online, the customers visit the website and look for the product they would wish to purchase. Online payment is done through virtual accounts. Among the reasons that make Amazon adopt this distribution channel is the convenience this shortened channel has. It can easily deal with customers all over the world (Dent, 2011). In addition, the cost of delivering the product is minimized, since the products do not have to pass through middlemen who would also wish to make a profit for distributing.
By this, the customers pay less for the product while the company expands its market due to the fair price offer that the reduced cost will lead to. Since the business is allowed in all countries, the company does not have any political hindrances that would probably arise upon introducing some middlemen. Since the products can be sent through the internet, there is no need to include wholesalers and retailers. Moreover, the customers get the product as desired.
Dealing directly with the customer makes the company aware of the features which consumers would wish to get in the product. Complaints that the customer would have been easily established as they contact the company directly. Through this customer interaction, the company will produce excellent quality products that customers will enjoy consuming. This has the advantage of attracting more customers and encouraging relational purchasing (Nash, 2000). Its key competitors use this method of distribution. The delivery of similar products is done directly to customers.
This could be due to its efficiency, and the easiness in reaching its potential customers. Time usage is reduced. As there is no involvement of traffic, time spent is minimized, hence advantageous to both Amazon and consumers of its products. The quality of the product is not interfered with. Since the product is given directly to the customer, there are no distortion would happen to it, and hence it is received in the best quality possible (Rosenbloom, 2009). Digital rights management (DRM) is the restriction on the sharing, donating or selling a book subject to some technical and legal restrictions imposed.
Violation of these could lead to criminal accusations. Kindle’ s DRM prevents violation of these. It is also used to restrict the customer from using products from competing companies. Amazon can remotely view the books that are on the device. The company can also delete some of the copies in the device; hence, it still has control over some of the activities even after selling Kindle to customers. DRM has various impacts on the EBook market. One of the EBook formats that are affected by the impact of DRM is Doc.
This is a text document that is used by almost every PDA platform. These can be read by iSilo, TiBR, TealDoc, among others. Another format is the EPub which is based on XML and XHTML. It is defined by the Open EBook Forum. Palm Reader, which is also known as EReader, can be read on various devices that include cell phones and desk computers (Andrew & Freeman, 2001).