Macro Essay Example | Topics and Well Written Essays - 1250 words - 2

Macro - Essay Example Observe that the equilibrium output has fallen to Y2 implying recession and the price level has increased to P2 implying inflation. 2. The immediate impact of a reduction in taxes is an increase in aggregate planned consumption expenditure, a component of aggregate demand. Thus, aggregate demand increases implying a rightward shift in the AD curve. However, whether this would lead to a substantial economic expansion (growth) or inflation with some minor growth depends upon where the economy is located on the business cycle when the policy is undertaken. We shall consider two cases: (a) when the economy is in recession and (b) during a boom. As is evident from the diagram above, the tax cuts led to the AD curve moving from AD1 to AD2 which in turn leads to an expansion of Y from Y1 to Y2. There is a negligibly small increase in the prices from P1 to P2. Thus, during recession or during the phase of recovery, tax cuts can yield substantial growth. During a period of economic expansion or the â€Å"boom† phase of the business cycle, the tax cut on the other hand can have a harmful impact on the economy. This is shown in the diagram above. Observe that now the outward shift in AD has led to a substantial rise in the price level while the increase in real output has been small. The closer the economy gets to the full employment equilibrium, the less effective does the tax cut become in stimulating growth and most of the impact of the resulting rising demand is reflected instead in rising prices. Essentially, during recession the economy is located far out from its full employment equilibrium and thus has surplus unused capacities. So, when the aggregate demand rises, the capacity utilization rises and so employment and output rise while prices stay more or less the same. However when the economy is in a boom and is located close to its full employment equilibrium, there are no unused capacities. As a result

See assessment criteria below Essay Example | Topics and Well Written Essays - 2000 words

See assessment criteria below - Essay Example For many years the theology of forgiveness was just that a theological concept, as this research will try and show. However, as the purpose of this research has stated, forgiveness is needed to heal mentally and physically because it is intertwined within many other theories in health care, be it mental health or traditional health care. In conclusion, the research defines that compassion, forgiveness, kindness, and understanding are all societal emotions that fit well into the treatment of mental health care and of which promote a better well defined individual through the treatment process. Before the 1980’s the theology of forgiveness was not very central to the aspect of mental health care but in the past decade many mental health care providers have realized this societal emotion plays a dramatic role in many of the models of mental health. The idea of Spirituality, Physical Well-Being, and Philosophical thought all apparently have a part in the treatment program in mental health care, and the concept of forgiveness is the primary idea in this care paradigm (Scobie & Scobie 1998, p.374). The reason for this is quite logical, because it has been implemented to define sociological behavior as a state of mind affected by various emotions, and one’s actions sometimes require the response of forgiveness in order for a patient or an individual out in society to be able to move past their adversities. If they can not do this then they tend to focus on the adverse elements surrounding them. Their personality, behavior, and physical well being gradually become more attuned to a negative pattern, which then leads to a situation where it becomes harder to provide essential mental health care to help them recover from their disorder. In recent years there has been an abundance of psychotherapeutic information written in regards to this basic theory. One must let go of

Online bidding Essay Example for Free

Online bidding Essay E-bay means you can search for items on the internet through its search tool bar. To access E-bay you go on www. ebay. co. uk here you can search for items you may want or need using the search tool bar and typing in key words. This will then bring up matching items that other people have put on e-bay to sell. From here you can view prices, details on the items and many have images for you to view the product. If you have found something you would like to bid for you put in your bid. When the time period for that item on sale ends, usually one week the person that has put in the highest bid for it gets it for that amount. However the seller can put on a reserve, if the reserve is not met the seller does not have to sell. Payments can be made by credit card or by sending a cheque in the post. Pay pal is the most popular way of paying for goods as it is well protected and secure. Goods are then posted or shipped out to the highest bidder. It is open to the whole world and you can therefore purchase things from other countries like China or America. You can purchase anything from kids toys to cars on eBay. One of the things that more and more people are buying on ebay is holidays. Some advantages of using online auctioning are; firstly you can shop on the internet from the comfort of your own home. This is a lot more relaxing, saves energy and time having to go in and out of shops. Another is that on ebay you can search for virtually anything and find what you need for example if you want to buy a perfume, a new handbag and look around for a new car you can look for all of these on one site. If you were to go out looking for these if would mean a lot of walking and travelling as there is not a shop that does al these. Another advantage of shopping on ebay is that you get special online prices; prices on ebay are usually a lot cheaper than in shops. Ebay alerts are useful as it emails you if your bids have been successful or if they have been out bid. Disadvantages of using online auctioning are; credit card fraud. One of the main things that put people of bidding for items online is that credit card fraud is a risk they will have to take, as there are many hackers out their who can brake the best security codes. Another disadvantage is that you have to keep checking the status of your bid because some one may have out bid you and you will then not get the product unless you out bid them. You also have to wait for what you have bought. Firstly you have to wait for the payment to go through which may take a few days and then you have to wait for it in the mail, depending on how far you have ordered from and the conditions arranged with the seller you cloud wait a very long time or a really short time for your products. Another disadvantage is that you do not know who the seller is and although the auctioning company will have their details people can still get away with fraud by taking payments and not sending anything out. Also faulty items can be a pain, if you product is not working properly or at all you have to send the goods back to the seller and then claim money back. This can turn into a very long process and can lead to court if it turns into disputes as the seller can claim it was working and refuse to refund. I think the target audience for online auctioning is for older people from about the age of 20 and upwards to about age 45. I think this because you need a credit card to be able to auction therefore you will need to be over the age of 18. I think male and females will use it, I also think more people without children will use it as you will need time to sit and search, with children this may be difficult. To auction online you will need to register with a credit card. If you do not have a credit card you will not be able to do it. Once register you can bid but also sell your own items.

Security Preparation in Shopping Malls

Security Preparation in Shopping Malls Security Plan Paper Security preparation is essential to maintain a flourishing business. Some shopping center otherwise wholesale store has a more appropriate outline of security to function appropriately and be able to make a earning. Security has many different forms varies it could be locked gates to armed security as well as entree position. Electronics has a major role with maintaining a company secured along with the safety. Security arrangements are surveillance cameras, alarms also security workers are keeping watch of the cameras, they are part of a very essential position in the success of the business. Nevertheless, this is in order to keep the commodities being removed off the premises without it being paid for. Security experts have to maintain to the uppermost regulations when working in any Shopping mall. There are malls that will only hire qualified individuals that will take on the duty of keeping their environment risk-free. In addition, when it comes to security professionals it is essential they be trusted and accountable if they want staff members to respect them. Security experts have to train, constant review of their occupation duties with current evaluations about their job performance. Shopping Mall has excellent security systems that are highly recommended with security officers. However, these security officers are able to see precisely what is going on in all parts of the shopping center. The security system has extremely good quality video equipment. The back entries to all the retail provisions that are surrounded by the shopping center has restricted entree, which the security officers are placed throughout the shopping center. There are signs throughout the shopping cent ers also in the parking lot stating that it is under surveillance. Several shopping centers have parking lots that are well lit for the protection of the customers as well as the employees. When it comes to the employees there are many that will do their best to attain accurate and risk-free safety measures. When it comes to the technology at the shopping center, it has a complex plan of attack to security, which includes crime prevention through environment design. This is a plan, which includes interior and exterior design features to help better some crime and protect customers along with employees. Even so all criminal acts cannot be prevented the workers as well as security professionals continue to work collectively keep the mall safe as possible for the customers and all who work there. There are a few threats that some of these shopping centers need to keep watch of robbery, arson, shoplifting, theft, bomb threats also computer hacking. These criminal acts are not only limited but also it can happen anywhere at any given time. That is why many of the shopping centers strive to making sure they have the best security standards. Every employee as well as the security professionals that work at these different shopping centers has to be ready for any type of situation. The security professionals at these shopping centers need to be aware of any shoplifters. When an individual is in a store and not purchasing, anything or the customer looks suspicious or wearing clothing that does not permit the weather, which could be a possible threat. Although many shopping malls have a great security, plans there are not many businesses that are safe any type of threat. It is important that all security personnel be trained in order to handle all types’ scenarios. Once the proper training has been accessible and completed by all security official at all of the stores that are located within the shopping mall can be susceptible to all dangers. However, there are varieties of liable threats that can come up. However, the threat can include things like the lack of proper surveillance, and the possibility of unofficial personnel entering any store from a loading docks, threats from robberies as well as to cashiers and also the possibility of a shoplifting threats to cashiers this can definitely be overlooked. Once all of the security personnel have done their jobs to the best of their ability, the threats would not be as high. When it comes to physical security is controlling in many shopping malls. The mall that I have been too they have at least two at every entrance. Then there are armed security guards that are in the security office as well that are monitoring the cameras then there are armed security officers who are walking throughout the mall to keep a watch for any threats. The physical features of a security plan that they have for some of these malls can be very impressive but are a step ahead of other security standards. The security personnel at the shopping malls they use two way radio and cell phones to communicate with one another. There are shopping malls that I have been to that the employees had a two-way radios or a cell phone that they were carrying at all times. This is another way for them to be aware about what is taking place and relay information efficiently and quickly to one another; this is what makes things in the mall run smoothly. Then the information is being recorded on a high tech monitoring system, this a immense help for any crime scene investigations along with assembly cases. Many of the shopping malls are insured for liability. When incidents that take place at a shopping mall or either on the premises, it is recorded through the cameras that are located just about everywhere. Having this information is great when it pertains to liability. In order to become employed with any shopping center one have to pass a drug test as well as alcohol test, they will have to go through the pre employment screening along with a full background check completed. After they are hired, each individual along with the security personnel will then be subject to a random drug and alcohol testing. With the pre employment screenings this is essential this is another way to keep the environment safe from any lose furthermore employee stealing. There are guidelines that need to be respected for a screening to be done correctly. Every policy that is in place at these shopping malls relies on the teamwork. When it comes to the employees and the security staff, they rely on one another for assistance and safety. These plans of action are needed to be able to keep things moving smoothly. The other stores within the mall have their own goals. These stores have precise inventory with all of their merchandise that comes into their store along with the merchandise that goes out as well. The security staff will help in making sure each individual store will be making a profit. If there should ever be a bomb threat at a shopping mall, they will have to evacuate the entire building. Then everyone will have to stand away from the parking lot that is closest to the road until the authority is given a call. When there is a bomb threat, it needs to be taken seriously and this is the same way if there were a fire. The difference is that the authorities that would need to be called for a bomb threat is a swat team and then the bomb squad will then be called as for a fire the fire department will be called as well. When it comes to these threats, there is a code that is used while using two way radios as a way of communication so that the security staff can inform the other staff members to evacuate the premises within a clam but yet in a effective and speedy manner. All members will have to stand outside away from building until the authorities has cleared the area of being safe. If ever the shopping mall were to have a fire, the same procedure as for a bomb threa t would be used. Even though there are fire alarms that are located throughout the building which are at all entrances, exits. Again, in case of a bomb threat the staff members and security personnel they work together in order to help evacuate the building safely everyone have to stay away until the authorities cleared the area from all danger. When there is a threat to any shopping mall the security personnel are notified through there two-way radios. References Clifford, M. (2004). Identifying and Exploring Security Essentials. Prentice Hall Homeland Security.(2006).Retrieved from http:// http://www.rand.org/content/dam/rand/pubs/technical_reports/2006/RAND_TR401.pdf

Influences on Emotional Expression Essay -- Psychology, Emotions

Emotions play a significant part in our daily lives, especially to our overall wellbeing whenever we share these experiences with other people. The ability to express and interpret emotions is an important skill that everyone can improve on that would greatly benefit their interpersonal communication. Our expressions accompany our emotions; they serve as windows that allow other people to know what we are feeling inside. There are several factors that influence how we communicate our feelings. The primary explanation for the differences in how people express their emotions rests on biology. First of all, our biological sex is the best predictor of the ability to detect and interpret emotional expressions (Swenson & Casmir, 1998). Our gender can shape how receptive we are of other people’s feelings, whether that person is of the same or different sex as us. Usually, people are generally better at recognizing the emotions of the member of the same sex (Adler, Rosenfeld, Proctor, 2007). The definition of being a man or a woman is also influenced by the culture one grows up in. Typically, most boys are taught to be tough even at a young age and are even encouraged by most fathers to play roughly with other boys their age. Crying is one emotion that is greatly discouraged because it is seen as a sign of weakness. On the contrary, it is acceptable for girls since society teaches them to be gentle and nurturing. This probably explains why males are usually more aggressive and competitive than females. These also go hand in hand with the social roles of men and women in society. Our occupations can also get in the way of expressing our emotions, as we are expected to act pleasant even though we don’t really feel that way. For example, ... ...t functions in our everyday life and relationships. Our culture is a good determinant of how we may act and show our feelings around people. The social conventions in our culture also serves as a guide as to what is supposed to be proper behavior when we are playing our social roles in the society we live in. There are times when people would choose to present artificial emotions because of the anxious situations that they are dealing with, hence refusing to disclose their feelings to others. A person’s personality also has huge influence on how they understand and convey expressions; just as our personality shapes our emotions, in turn our emotions also affect our personality. The people that we often socialize with can influence our feelings as we do the same with them. As has been noted, these are all the factors that influence the expression of our emotions.

Californias Promise Essays -- State Government, State Deficit

In the 1960’s California experienced reverence through the reputation of being a promising great state. The increasing population as well as the massive publicity, contributed in highlighting this notion. However, in 2011, California no longer holds the same reputation in the eyes of its residents. With a current state deficit of $25.4 Billion, many Californians believe that the state is hopeless and can no longer regain to its past stardom. Famed Historian, Kevin Starr argues that California has lost its promise entirely; however, California has not lost its promise entirely for the fact that California is still the eighth largest economy in the world. California is able to function even with a dysfunctional government and institutional structure. California still has the potential to recover its reputation as a great promising state. By tackling the state’s dilemma, we are able to understand why and how California lost its greatness. Once we analyze the core probl ems of the state, such as the initiative process, the state legislature, and misrepresentation of the public, we will have a better understanding of how to tackle the issue. First, an obvious problem of the state is the usage of the initiative process. Originally, it gave â€Å"Californians the power to propose constitutional amendments and law that fellow citizens will vote on without the legislature’s involvement (Van Vechten, 20).† However, today, special interest groups have used this process abusively. In fact, initiative campaigns became an industry of its own in California. According to Mathews and Mark, â€Å"in 1996, annual spending on initiative campaigns in California topped $140 million (Mathews and Mark, 68).† Special interests groups that are financially well o... ...tion of 38 million people, California still has the potential to be great. If in fact California lost its promise, the state would not have that large of a population nor would it have the eighth largest economy in world. The problem of California is in the structure of the legislature and the institutions and practices that it has. There are unchecked power given to the people through the initiative process and there are fundamental structural flaws in the state legislature. By addressing these problems and critically thinking what needs to be reformed, California can potentially get its old reputation. However, we must reform without unconsciously changing the right things in our state. If California just reforms in the same way it used to, the states’ future may be ruined. Innovative means of solution is needed in order to stir the state to the right direction.

Amazon.com †a case study Essay

Amazon’s Mission â€Å"Our vision is to be earth’s most customer centric company; to build a place where people can come to find and discover anything they might want to buy online.† Amazon.com’s quest to become earth’s most customer centric company is largely driven by its use of technology. In fact, its continuous innovations are all driven by huge investments in information systems (Laudon and Laudon 2005). Information systems not only support their mission, but in fact drive their business strategy. In this paper , Amazon’s use of information at each stage of Porter’s value chain will be considered. Their innovative and forward looking use of information systems to generate competitive advantage will be analysed in the context of Porter’s five forces and we will also have a look at how they have formed Amazon have formed strategic alliances to overcome certain competitive forces. Future plans to sustain competitive edge will be examined; Amazon not only continue to use technology to improve their customer centric operations, but are now in fact opening up this technology and providing technical and logistics solutions to other firms. The Value Chain The concept of ‘Value Chain Anaylsis’ is described at length by Michael Porter (1985). He notes that every firm is a collection of activities that  are performed to design, produce, market, deliver and support its products or services. He identifies specific, critical-leverage points where a firm can use information technology most effectively to enhance it’s competitive position (Laudon and Laudon , 2005). In his value chain model, ‘Primary Activities’ such as inbound logistics, operations, outbound logistics, sales and marketing and service, are seen as basic activities that add a margin of value to a firm’s products and service. Since Amazon’s inception in 1995, they have used information technology to manage each stage of the value chain. Inbound logistics – including receiving, storing, inventory control – are managed by sophisticated technology such Transportation Optimization and Management Systems (TOMS). They, us e a set of applications for accepting and validating customer orders, placing and tracking orders with suppliers and managing and assigning inventory to customer orders. In fact in 2007, Amazon’s systems have become so efficient in managing inventory that they generally collect from customers before their payments to suppliers come due (SEC1 2007). Amazon’s marketing strategy is designed to increase customer traffic to their websites, drive awareness of products and services, promote repeat purchases, develop incremental product and service revenue opportunities, and strengthen and broaden the Amazon.com brand name. (Amazon Annual Report 2007). Technology, again, is the conduit for their marketing strategy. Amazon were the first to deliver personalized Web pages and services. For instance, their technology keeps track of user preferences for books and CD purchases etc, and can recommend titles purchased by other customers. Their advertising consists primarily of online advertising, including through their Associates program –Amazon.com’s affiliate marketing program, where web developers, by linking to Amazon products and services to their sites, can receive up to 10% in referral fees, – sponsored search, portal advertising, e-mail campaigns, and other initiatives. Customer service is another key area where technology adds value to Amazon’s offer. From the outset, in line with their customer-centred mission, Amazon  tried to provide superior customer service through email and telephone customer support, online tracking and shipping information, and the ability to pay for purchases with a single click of the mouse using credit card and personal information provided during a previous purchase. This was called â€Å"1-click† express shopping, and was considered so attractive that Barnes and Noble, Amazon’s direct competitor in the online book retailing markets attempted to ape it with its â€Å"Express Lane† system (McAfee 2005). Amazon later obtained an injunction on Barnes and Noble and sparked a huge debate around the question of which software, and even business processes can or cannot, be patented. (http://www.oreilly.com/news/patent_archive.html) The Extended Value Chain in e-Business In their book, Strategic Planning for Information Systems, Ward, J and Peppard, J (2002), discuss how the value chain information flow is now being challenged by e-Business They refer to Rayport, J.F and Sviokla (1995), who have identified two crucial new areas in this information flow, namely ‘promotional’ information flow and ‘intelligence gathering’ information flow. These two areas seems to be paramount in Amazon’s value chain management.. According to Ward and Peppard, the implications of the promotional flow of information which informs customers further down the chain of the products and services available have to be understood. David Chaffey (2007) speaks of Amazon’s automated email measurement and optimization system. As users of Amazon will know, once we’ve bought something on Amazon, we are regularly sent emails with information on books or product recommendations. In order for this promotional system not to descend into what one might call Spam, and for it to remain relevant and customer centred, Amazon have put IS systems into place to control this activity. A new system: automatically optimizes content to improve customer experience; avoids sending an e-mail campaign that has low clickthrough or high unsubscribe rate; includes inbox management (avoid sending multiple emails/week); has growing library of automated email programs covering new  releases and recommendations. In this way, Amazon add value to the promotional flow of information through their value chain, and intelligently use and disseminate the information provided to them by their technology. Ward and Peppard conclude that E-business offers huge potential to gather information and intelligence about consumer and customer preference and attitudes online, rather than through traditional market research. When customers shop on Amazon, their choices are stored in the information systems which can then use this intelligence to forecast future demands. Industry Value Chain – Supply Chain Management The Value Chain of the business unit is only one part of a larger set of value-adding activities in an industry – the â€Å"Industry Value Chain† (Ward & Peppard 2003). A firm’s value chain is linked to the value chains of its suppliers, distributors and customers, and each of these players can add, or indeed take away from advantage which has been earned along the way. (Laudon & Laudon 2006). Amazon has one of the most-sophisticated supply chain systems in the world. Proprietary applications handle nearly every aspect of its supply chain: warehouse management, transportation management, inbound and outbound shipping, demand forecasts, inventory planning, and more. (Information Week) Amazon’s supply chain is so tightly integrated that when an online customer buys a book, for example, the order-management system communicates with inventory- and warehouse-management systems to find the optimal distribution centre or centres for fulfilling the order. The customer knows in less than a minute how long it will take to ship the items and whether they will come in one package or separately. Effective supply chain management, has been identified in a survey by The Economist, as being an essential contribution to gaining competitive advantage. It says that all market leaders have supply chains that are more responsive to customer demand. And effectively managing the informati on flow throughout the supply chain is key to gaining competitive advantage. Porter’s Five Forces As we have seen, competitive advantage can be gained through effective use of information systems at each stage of the internal and the external value chain. The other value creation dimension, as defined by Porter is the â€Å"Market/Industry Attractiveness†. He has identified five forces affecting the latter, namely, the bargaining power of suppliers, the bargaining power of customers, the threat of new entrants, the threat of substitute products and competitive rivalry within an industry. E-commerce and the internet provide customers with the ability to search the whole chain for information directly or via intermediaries (Ward and Peppard 2003). The internet provides consumers with near perfect product and price visibility. Customers are free to use any internet portal they choose to search for goods, and can use price comparison portals such as www.kelkoo.com to compare prices between suppliers. Changing suppliers will cost the buyer nothing – switching costs are l ow – and alternative suppliers are plentiful. Consequently, Amazon are forced to keep their prices down and accept lower margins. In the context of Porter’s five forces, the facility for customers in changing suppliers can be classified as high customer bargaining power. Mr Jeff Bezos, the founder of Amazon, saw this threat coming and prepared for it – in 2000 he invited other retailers to sell their goods on his website (The Economist). No traditional seller had ever done this before – to allow others to sell second-hand books on their own door step, was indeed a revolutionary move by Mr Bezos, and many people, even some within the company, thought this would cannibalise Amazon’s own sales. Yet it eventually helped to lift overall sales. Amazon says sales of third-party items, from which it takes a commission, have increased from 6% of all items sold in 2000 to 28% in 2005. Over that time, the company says its own retail revenues were up three-fold (BusinessWeek). Bezos claims that by keeping custome rs on the Amazon site buying other retailers products, Amazon’s direct revenues also increased. This is because with the help of some sophisticated technology driven marketing techniques, customers having already chosen something from Amazon’s partners, are at the same time tempted by Amazon’s own offerings. Today, hundreds of thousands of retail brands and individual sellers reach new customers by leveraging the power of the Amazon.com e-commerce platform. In 2006 Amazon went further with this concept and launched their â€Å"Fulfilment† program, which allows businesses to  use Amazon’s own order fulfilment and post-order customer service infrastructure, and enables Amazon.com customers to receive the benefit of Amazon.com shipping offers when buying from third-party sellers. In this way Amazon, seem to be effectively combating a number of competitive forces, including the threat of substitute products and the threat of new entrants to the market. Due to the low cost for new-entrants to e-Commerce – it requires relatively little capital investment to set up an e-Business- the threat of competing websites is omni-present for Amazon. Amazon’s challengers come from two directions. First, other online retailers are growing rapidly. As people become more accustomed to shopping on the internet, they are ordering a greater variety of goods and services from a wider range of websites. From auctioning people’s second-hand goods, eBay now also hosts fixed-priced virtual shops offering new goods for sale. (The Economist). Google, for one, has replaced retail sites such as Amazon as the place where many people start their shopping. And more personalized and social upstarts such as News Corp.’s, MySpace and YouTube, which Google has bought, have become the prime places for many people to gather online – and eventually shop. Microsoft’s taking of a 5% stake in Facebook, the online networking website, last Friday, which now values the two year old networking website at a whopping 15b$ -, could also be perceived as a potential threat to Amazon. People may choose to start their shopping from their social networking sites, rather than from the mor e traditional retail or portal site. Says consultant Andreas Weigend, Amazon’s chief scientist until 2004: â€Å"The world has shifted from e-business to me-business.† (Businessweek and The Economist). Secondly, traditional retailers are rapidly moving part of their trading online. This pits Amazon against giant retailers with huge purchasing power, like America’s Wal-Mart and Britain’s Tesco. These â€Å"multichannel† retailers make a virtue of their ability to offer both â€Å"bricks and clicks†. Many provide online customers with the option of picking up goods from the shop down the road. This is proving popular with web buyers who want things immediately or are keen to avoid shipping costs and staying in to accept a delivery. Amazon may be attempting to fight off this threat with their AmazonPrime program, which allows customers unlimited shipping for $79 per year. As we have seen, the relatively low costs of setting up business on the Internet, means that the  threat of substitute product/ services and the threat of new entrants also become more apparent. Internet technology is based on universal standards that any company can use, making it easy for rivals to compete on price alone and for new competitors to enter the market (Laudon and Laudon 2006). Clarke (2001) says that consequently, if we are competing in an industry where all our competitors have access to the same technology, it follows that competitive advantage comes from the use of information, as opposed to technology, and sustainability of advantage lies in an organisation always being better at this than its competition. Amazon would appear to be doing a fairly good job in keeping up – for instance with the technology enables personalization of the customer – but as Jeff Bezos reiterated in the reprinting of his 1997 letter to shareholders for the Amazon 2006 Annu al Report, â€Å"It’s all about the long-term†. Sustainability of Competitive Advantage – The Future for Amazon In the long-term, Amazon are aiming to re-invent themselves. An article in the Economist claims the e-commerce giant wants to be more than just a retailer. Having established the internet as somewhere to buy things, Amazon is again spending heavily on development in anticipation of consumers wanting to download music, video and books instead of having them delivered in the post. In September, the company introduced the Amazon MP3 digital music store to sell tracks without the anti-piracy technology known as digital rights management, or DMR. The music companies EMI and Universal are participating in Amazon’s store, making the service a significant competitor to Apple’s iTunes service. Unless the Amazon, the pioneer of online retailing can provide downloadable media it risks being â€Å"disintermediated†2 —just as only a decade ago high-street bookshops, music and video stores were disintermediated by Amazon itself. Amazon, in fact have a history of strateg ic alliances with various firms – Borders and SmugMug, to mention just a few. A strategic alliance is a partnership of two of more corporations or business units to achieve strategically significant objectives that are mutually beneficial, Wheelan and Hunger (2005). These alliances have allowed Amazon to use their established technological lead in the e-Commerce platform to generate revenues as well as their other strategic objectives. Amazon Web Services (AWS) is another example of a  strategic move to maintain advantage. With AWS, Amazon say they are building a new business focused on a new customer set †¦ software developers. They currently offer ten different web services and have built a community of over 240,000 registered developers. In order to cope with the Christmas rush, Amazon has far more computing capacity than it needs for most of the year. As much as 90% of it is idle at times. Renting out pieces of that network to other businesses, such as SmugMug, an online photo site that uses the S33 service, is a way to get extra return on Amazonâ⠂¬â„¢s $2 billion investment in technology (The Economist). Conclusion In this paper, a number of ways in which Amazon add value to their internal and external value chain have been identified. We have looked at how they optimize their utilisation of information in forging closer relations with their customers; operate a lean supply-chain management strategy and fight off numerous threats posed by competing in the e-Business environment with strategies such as offering new services to smaller retailers, digital downloads, and opening up their technologies to developers. However in a fast moving global economy, no future is certain. Amazon are conscious of the threats posed by failed alliances (Border’s will pull out of their agreement to use Amazon’s e-commerce platform in 2008, www.bloomberg.com) and the constant threat posed by Google, even Facebook and other technology driven Web2.0 companies. Jeff Bezos will be hoping to overcome these threats by, as he says, by â€Å"opening up the guts of his organisation† to developers (Busin essWeek). Information systems are at the core of Amazon’s business, and going forward, as Jeff Bezos said in his 2007 SEC filing, their biggest challenge â€Å"will be to continue to build and deploy innovative and efficient software that will best take advantage of continued advances in technology†. Amazon have made massive investments in technology – $186 million in the last quarter alone – (The Economist), and with 2007 3rd quarter sales up 41% and a quadrupling of profit, it looks like these technology investments may finally be paying off! 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