| Read the following case study and answer the question given in the end. Back in 1995, when Amazon.com first went online, its founder Jeff Bezos saw a breakthrough opportunity in changing the retail shopping experience Amazon's strategy took advantage of trends Bezos observed, especially a growing number of consumers shopping on the Internet Laws back then didn't require the collection of sales tax on online sales, which offset charges for shipping and handling. Encouraged by a strong economy, early investors were patient as Amazon lost $3 billion from 1995 to 2003. They shared Bezos belief that if Amazon consistently delivered value and satisfaction, customers would come back, buy more, and tell their friends. Bezos' and his investors predictions were on target Amazon wasn't just "lucky to be in the right place and time. Bezos pushed his firm to be innovative in every aspect of the customer experience online. He urged employees to keep the company's mission statement in mind to be Earth's most customer-centric company, where customers can find and discover anything they might want to buy online, and endeavors to offer its customers the lowest possible prices. With this focus, Amazon pioneered community features such as customer reviews, which helped customers discover new products and make more informed decisions Amazon developed 1-Click' checkout technology, making it faster and easier for customers to pay for items and arrange shipping. Amazon also expanded into new product markets, over time adding electronics, home and garden, health and beauty aids industrial tools, cloud computing services, and more Amazon quickly pursued global growth, launching new sites in both the United Kingdom and Germany by 1998. These markets were attractive initial targets because, like the United States, each offered a large number of customers with access to the Internet and high incomes. It later opened sites serving customers in Brazil , Canada, Italy, France, Mexico, Spain, Japan, China, and India; now more than 45 percent of Amazon's sales come from abroad. Amazon has become a leader in using customer data to deliver more personalized shopping experiences. For example, Amazon knows how its customers behave on the site-what pages they visit, what they buy and don't buy, and whether they read reviews or shop around before purchasing Amazon combines this information with a customer's previous visits and knowledge gained from observing more than 200 million other customers to suggest products and serve up appropriate advertising Amazon makes online shopping convenient. For a $99 annual fee for Amazon Prime, customers receive free two-day shipping on select products and access to free videos, music, and more Customers can place an Amazon Dash button in their home, when the button is pushed an order is automatically sent to Amazon. For example, a customer might have a Dash button in their laundry room set to order Tide laundry detergent. Always testing new approaches is key to Amazon's success. Knowing the value of getting new customers when they are young, Amazon partnered with Purdue University to target students. It set up drop-off and pickup locations right on the Indiana college's campus. Students shopping at Purdue amazon.com find a custom online storefront where they can easily find text books for all their classes. Students receive next day delivery of text books and other products, an e-mail or text message tells them when their order is ready for pickup Bezos believes in using technology to enhance customers' shopping experience. So Amazon produces shopping apps for tablet computers and smartphones. Amazon's Price Check can be used in a retail store. After scanning a bar code or speaking the product name into their phones, users can read Amazon reviews, see the Amazon price, and place an order if they like Amazon aims to keep pace with its target customers growing use of digital products to make their lives easier. Amazon closely monitors the strong competition in its markets, Amazon engages in price wars with Walmart over books, toys, and DVD's; fights Netflix and Hulu in video downloads, and battles Apple in tablet computers and online music. Amazon has never been afraid to tackle markets with strong competitors. To the contrary, it seeks large and growing markets where it can leverage its competitive strengths-company size, technology skills, efficient operations, and creative personnel. To grow in these competitive and fast changing market environments, Amazon must continue to anticipate market trends and adjust its marketing strategies. Question How Amazon creates value for its customers? In what ways do this company follow marketing concept? (6 Marks)