Online Retail Promotion Essay Example

sales involved treating customers as valued advisors rather than mere tools for increasing revenue. This approach, referred to as "Human Relations Management," considers individuals as valuable assets within an organization (Williams, 2010). By embracing this management style, Amazon has shown its ability to adjust to evolving environments, a critical skill in today's ever-changing work landscape. Whether changes occur within the workplace or beyond, periods of frustration, instability, and disarray are inevitable and are followed by longer periods of organization and stability. Amazon has clearly demonstrated its adaptability in responding to economic and environmental changes while consistently delivering top-notch products and services.

In 1971, brothers Louis and Tom Borders opened the first "Borders" store in Ann Arbor. They implemented a system that could track sales and inventory of a wide range of titles across various categories and stores. Moreover, this program could analyze sales data to better understand and predict demand in different communities. Despite the misconception that people no longer desired physical books, Borders faced multiple reasons for its lack of success. One significant factor was the slow adoption of technology. Borders did not venture into online retail until 1998, three years after competitors like Amazon and Barnes & Noble. Even after launching their website, they consistently incurred losses, amounting to millions. This led Borders to form a partnership with Amazon in 2001, wherein Amazon would manage the website, enabling Borders to focus more on physical store sales.

The decision made by Borders was not favorable as it indicated their lack of interest in embracing technology. However, the world did not halt for Borders. It took seven more years for them to terminate their partnership with Amazon

and establish their own website under their supervision. This was a significant advancement for the company. Borders faced another major setback when they chose to invest a significant amount of money in CDs and DVDs at a time when everything was becoming available on the internet. In 2006, the internet provided easy access to various media including free music and movies. Despite this, Borders continued to expand their stores and stock them with products that were cheaper and more convenient to obtain online. Additionally, they acquired a stationary company at a time when handwritten letters had become nearly extinct. Interestingly, Borders also offered an e-reader called the Kobo, similar to Amazon's Kindle.

Borders faced a major challenge deciding whether to buy or lease properties that didn't have enough sales potential to be profitable. They made the error of leasing properties classified as "B" grade, hoping to upgrade them to "A" grade (Austen, 2011). Unfortunately, this plan failed and it became clear they couldn't achieve it. Borders struggled with terminating these leases because they didn't earn enough from those locations.

Then they were stuck there, constantly losing money. Borders was consistently making poor decisions, which raises questions about their management. It appears that they made the wrong choices in every situation. It is truly heartbreaking to witness the brothers' dedicated efforts dissipate and disappear after revolutionizing the book retail industry.

Both companies appeared to have disconnected from their founders' DNA and the factors that led to their initial triumph. However, in terms of adaptability to evolving circumstances, it is evident that Amazon has achieved greater success. Not only have they remained operational, but they also invested effort into

comprehending and fulfilling their customers' requirements, thereby satisfying them throughout the process. Conversely, Borders adopted a contrary approach.

Staying behind in terms of stocking outdated products, leasing doomed properties, and failing to adapt to the changing environment economically and socially, denotes that a company is not keeping pace with the times. It is crucial for a company to always remain flexible in order to adjust to these environmental changes. Environmental change refers to the speed at which a company's overall and specific surroundings evolve (Williams, 2010). To ensure adaptability, a company must focus on three key aspects: economy, management, and resources.

Being economically prepared for changes is crucial in any business. It is unpredictable when extra cash flow or a repair may be required. Lack of economic preparedness often leads to business failure when the environment changes unexpectedly. Adaptability is essential to cope with any form of instability, as it is bound to occur. Furthermore, management should possess flexibility to make prompt decisions, considering that each decision impacts the business as a whole. They are responsible for the entire operation and should serve as the go-to person or people for any concerns. Lastly, resource flexibility is crucial due to the ever-changing external environment; one can never anticipate when resources may become depleted.