Nah Dabbawalas are unionized and they effectively have control over what to charge their customers. The costs are low because, unlike other food-delivery startu

Nah Dabbawalas are unionized and they effectively have control over what to charge their customers. The costs are low because, unlike other food-delivery startups, they are able to make money because of their ability to execute a hub and spoke model. Since they operate only during lunch time, and serve dense residential and office locations in Mumbai, they are able to aggregate orders both temporally and spatially. Havin a hub-and-spoke model is the only way to make money if you are a logistics company. Grubhub wrote a good bit about this in their investor letter. [1] [1] https://s2.q4cdn.com/772508021/files/doc_financials/2019/q3/October-2019-Shareholder-Letter.pdf https://s2.q4cdn.com/772508021/files/doc_financials/2019/q3/...