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Amazon's edge isn't in shipping. It's in fulfillment. Fulfillment By Amazon (FBA) is a boon for many businesses, as it combines warehousing, packing/labelling,
by ISL 10y ago
Amazon's edge isn't in shipping. It's in fulfillment.
Fulfillment By Amazon (FBA) is a boon for many businesses, as it combines warehousing, packing/labelling, and shipping into a single interface at an attractive price. Let's not forget that they also bring customers and handle the entire billing operation, too.
If Amazon does harm FedEx/UPS, it won't be by starving them of packages directly, but rather by sidestepping their business, attracting companies to FBA, so that they never enter the "shipping" business sector.
I don't expect to see Amazon enter the point-to-point shipping business anytime soon.