Finance 400 New Report

In: Business and Management

Submitted By ashley2215
Words 420
Pages 2
Fin 400 M001
News report#1

Amazon is the largest Internet-based retailer in the United States. For the past few years, it has tried to gain a foothole in the luxury fashion retailor market. Recently it has changed its stand about focusing on courting luxury brand according to the Jennie Perry, chief marketing officer of Amazon fashion division. The strategy was disclosed on an online newsroom on businessinsider.com. The chief marketing officer of Amazon fashion division disclouse the current strategy Amazon is taking to secure a foothole in the fashion retailer market.
Amazon is a retail industry which focuses primary on e-commerce according to Bloomberg. Its competitors are vast, where Walmart and Target stands out as its brick and motor rivals in the general merchandise and electronics segment. In addition, amazon try to gain a foothole in every market it can possibly enter which is also why the strategy above stated was by the chief marketing officer of Amazon fashion division rather than the CMO of Amazon. In the recent year, Amazon tried to breach the fashion industry by setting large warehouse for photography at trendy neighborhood Williamsburg in Brooklyn. Hoping to lure fashion companies to its sites but has failed. The brand continue to strives to gain a foothole with the sponsoring the first-ever New York Men’s fashion week. The strategy has proven little result as its core audience are budget consumer seeking inexpensive item.
The strategy to focus on mid-tier brand is a good one because luxury brand’s profit comes from its brand. Amazon is unlike Apple where people see everything Amazon sells is the best or a premium. To the average consumer Amazon are seen as Walmart, where they can buy everything they need at one place at the cheapest price they can find. Brands like Louis Vuitton need to distinguish itself as high end only findable at a…...

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