Purchase Solution


Not what you're looking for?

Ask Custom Question

1) What was the original business model for Zappos?

2) Around 2003, what new business model did Tony Hsieh, Zappos founder, institute? What was the premise of this new business model?

3) What led to Zappos popularity? Can this be sustained?

4) Evaluate Zappos' current state of business.

Purchase this Solution

Solution Summary

This posting gives you an in-depth insight into Zappos

Solution Preview

Step 1
The original business model of Zappos was that it was a seller of shoes online. The company would book orders for shoes online and supply them to customers who booked orders online. A part of the original business model was the drop ship method. That is Zappos did not keep the shoes in stock but instead transferred customer orders and shipment details to manufacturers and wholesalers who made the shipment directly to the customer. The difference between the wholesale price and retail price was the profit of Zappos. The main model was that Zappos was an online shoe selling company (The Editors of New Word City 2011),.

Step 2
In 2003 Zappos decided to introduce a new business model. It set about developing relationships with its customers. This is also called the loyalty model. The loyal customers return to Zappos. This model was based on the premises that Zappos will give superior customer service. This was a change from the ...

Purchase this Solution

Free BrainMass Quizzes
Balance Sheet

The Fundamental Classified Balance Sheet. What to know to make it easy.

Basic Social Media Concepts

The quiz will test your knowledge on basic social media concepts.

Marketing Management Philosophies Quiz

A test on how well a student understands the basic assumptions of marketers on buyers that will form a basis of their marketing strategies.


This Quiz is compiled of questions that pertain to IPOs (Initial Public Offerings)

Operations Management

This quiz tests a student's knowledge about Operations Management