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Why ? What's the big deal if a package costs a few more cents to fulfill? Is it a competitive disadvantage - or just standard greed ?
by petra 8y ago
Why ? What's the big deal if a package costs a few more cents to fulfill?
Is it a competitive disadvantage - or just standard greed ?
- lotsofpulp 8y agoIt is a competitive disadvantage. That's how Walmart got to where they are, they cared about a "few more cents" for each item, which adds up in high volume low margin businesses, and crushed everyone in their market.
- thoughtstheseus 8y agoEver day low cost is the motto
- Aeolun 8y agoTo me, nothing. On a macro scale? Everything.
- dkns 8y agoExactly. One package that costs 5 cents more? 10? 100? Not a big deal. 50 millions packages that cost 5 cents more? Kind of big deal.
- michaelt 8y agoAmazon's sales are in the billions of items annually [1] If you can save two cents on each of 5 billion packages, you save $100 million per year. Most employers will give raises and promotions to people who deliver operational expense savings that large. [1] https://www.sec.gov/Archives/edgar/data/1018724/000119312518121161/d456916dex991.htm https://www.sec.gov/Archives/edgar/data/1018724/000119312518... Five billion items to prime users
- theredbox 8y agoThe problem with this is the savings are usually negligible compared to spendings of higher management. I think it utterly destroys the image of the company if it cannot act "humane". It's fine to keep costs under control ..but..if you are then organizing super expensive meetings across the world it just looks bad.
- nordsieck 8y ago> Why ? What's the big deal if a package costs a few more cents to fulfill? When you shop online, do you choose the most expensive purchase option? Or perhaps the least?