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Digital transformation in business involves the integration of digital technology into all areas of a business, fundamentally changing how you operate and deliver value to customers. It's also a cultural change that requires organizations to continually challenge the status quo, experiment, and get comfortable with failure. This sometimes means walking away from long-standing business processes that companies were built upon in favor of relatively new practices that are still being defined. Practical applications of digital transformation in business can include automating manual processes, improving customer service with AI, using big data for insights, and more. McKinsey & Co's advice on unlocking success in digital transformation includes having a clear vision, empowering employees to work in new ways, and delivering value to customers from the start.

The content does not provide specific case studies of businesses that have successfully undergone digital transformation. However, many companies across various industries have successfully embraced digital transformation. For instance, Netflix transitioned from a DVD rental service to a streaming giant, leveraging digital technology. Similarly, Domino's Pizza has significantly improved its business by integrating digital technology into its ordering and delivery processes. For more specific case studies, you might want to refer to resources from reputable business and technology consulting firms.

Amazon's transition to an online platform was a significant part of its digital transformation initiatives. The company opened its site to third-party vendors, transforming Amazon from an online retailer to an online platform. This move required Amazon to develop new capabilities such as acquiring, training, and managing sellers on its sites without losing control or damaging customer experience. This step allowed Amazon to keep up with the rapidly changing digital space, aligning with its broader digital transformation goals.

Amazon's digital transformation strategy is unique in its approach. It transitioned from an online retailer to an online platform by opening its site to third-party vendors. This move required Amazon to develop new capabilities for acquiring, training, and managing sellers on its sites without losing control or damaging customer experience. This strategy has allowed Amazon to consistently keep up with the ever-changing digital space. Comparatively, other major online retailers may not have made such a significant shift, instead focusing on improving their existing operations and customer experience. However, the specific strategies can vary greatly among different retailers.

A company that could benefit from Amazon's framework of adapting new capabilities is a traditional retail business like Macy's. Macy's could leverage Amazon's approach by shifting more towards online sales and developing a robust e-commerce platform. They could also invest in data analytics to better understand customer behavior and preferences, similar to how Amazon uses data to personalize the shopping experience. Additionally, Macy's could explore opportunities in digital media to engage customers and drive sales, much like Amazon has done with Amazon Studios.

Amazon's shift from selling CDs and DVDs to offering streaming services allowed it to adapt to changing customer preferences and compete with other industry giants like Apple and Netflix. This move also enabled Amazon to introduce new capabilities. For instance, it started producing original content in partnership with Warner Bros. through Amazon Studios in 2011. This strategy not only diversified Amazon's offerings but also helped convert viewers into shoppers. As Jeff Bezos, the founder of Amazon, stated, winning awards for their original content indirectly boosts their retail business.