Amazon

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Category: Business and Industry

Date Submitted: 01/29/2012 11:53 AM

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The cost of moving Amazon.com to Australia would include quite a few things. For starters you would need to build, purchase, or lease a warehouse space that would be used for shipping and storing purposes in the area. Another thing the company would need to determine is the cost of putting together and hiring a management team to oversee the operations of the new branch of the company. Also, a considerable amount of marketing will need to be done in order to assure that the Amazon brand name becomes a recognizable and convenient brand for the people of Australia. Amazon.com would also have to pay for and hire employees at all levels in order to ensure that the company runs smoothly. On top of that the company would have to pay for the following in regards to setting up a website, for starters you would have to purchase an Australian domain name such as Amazonau.com.au We would be forced to take this domain name because Amazon.com.au is already taken. The next thing we need to take into consideration is setting up data centers, paying for the servers, the programmers, connecting to the internet, and laying down the fiber optics. This at first glance seems like a lot, and will inevitably lead to loses for the first year to three years. This is obviously just an estimation though, with an aggressive and successful campaign, given that is competitors are leaving the marketplace, Amazonau.com.au could very become an overnight success in a country like Australia where the majority of the population falls into Amazon.com’s target market.

Since there is no way that we can find to get an exact number of how much the average purchase on Amazon.com is, we have decided to go with a safe and what we believe to be an accurate estimation of approximately 35 dollar per purchase. With our marketing techniques we believe that we will reach 10% of the population which means that we will have 2,200,000 customers in the first year. We are going to make an assumption that...