Need a plumber? If Amazon.com succeeds, it will soon be a very large marketplace of home services and will connect customers with electricians, plumbers and painters in a move to have its services tied to every product sold on its website.

Questions:
1. How will this change Amazon’s chart of accounts?
2. Provide three accounts that Amazon will have to create as a result of this new service.
3. What is the estimate of the gains that Amazon will receive as a result of this new service?
4. Do you think that it is a wise strategic move?
5. Do you think that this will impact other service provider companies like Angie’s List and Home Depot? Discuss.

Source:
Reuters staff. (2015). Amazon Now Lets You Hire People To Do Chores, Fix Stuff. Reuters News Service, March 30 (Retrievable online at http://www.huffingtonpost.com/2015/03/30/amazon-home-services_n_6968490.html?utm_hp_ref=business&ir=Business)
Geuss, M. (2015). Amazon launches “Home Services” business, wants to give you drum lessons. ARS Technica, March 30 (Retrievable online at http://arstechnica.com/business/2015/03/amazon-launches-home-services-business-wants-to-give-you-drum-lessons/)