Determine the key strategic differences that have impacted the relative success of both Amazon.com and Yahoo.com.

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Products, customer focus, business model, and marketing strategy are the most important strategic differences which have affected Amazon.com’s success relative to Yahoo.com.

Amazon has been focused on offering a broad range of products at affordable prices, as well as fast shipping times and exceptional customer service. Their innovative technology use is what makes Amazon a great place to shop. To ensure their platform remains relevant to consumers’ needs, they heavily invest in research and development.

Yahoo’s focus has been on online services like email and search engine services rather than physical goods or selling retail products, as Amazon. Additionally, Yahoo’s marketing strategy relies more heavily on advertising revenue than Amazon’s which primarily makes its money from sales of goods/services. Yahoo’s open-source business model allowed them the flexibility to collaborate with many companies in order to provide a range of digital services. This is different from Amazon, which created proprietary software.

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