customer has placed their order by using their electronic shopping cart, Amazon emails the order status to the customer.Behind the scenes, Amazons Web pages are maintained by Linux servers running Red Hats Stronghold Web server. Amazon switched their servers in 2001, which enabled them to cut technology expenses by about 25 percent, from $71 million to $54 million4.Continued uninterrupted operation of the companys Web site is of utmost importance since this is the only interaction they have with the customer. Therefore, Amazon.com uses three Internet service providers, UUNet Technologies, Inc., InterNAP Network Services LLC and Interconnected Associates, Inc., to obtain connectivity to the Internet over multiple dedicated lines.In addition, Amazon has implemented an array of site management, search, customer interaction, transaction-processing, order fulfillment services and systems using a combination of its own proprietary technologies and commercially available technologies. They use a set of applications for accepting and validating customer orders, organizing, placing and managing orders with suppliers, managing inventory, assigning inventory to customer orders and managing shipment of product. The companys transaction-processing systems handle millions of items, a number of different availability statuses, gift-wrapping requests and multiple shipment methods and allow the customer to choose whether to receive single or several shipments based on availability. These applications also manage the process of accepting, authorizing and charging customer credit cards. The Web site also incorporates a variety of search and database tools5. By using these types of software to more accurately forecast purchasing patterns by region, Amazon slashed inventory levels by $31 million, or 18%, in the fourth quarter of 20012. One of the most controversial issues regarding Amazons technological enhancements was the purchase of Alexa Internet in Ap...
