.
https://finance.yahoo.com/news/amazon-air-fedex-ups-181853630.html
Buy AMZN and SHOP. Shouldnât other mega caps like Apple do the same? Why not just buy FDX directly?
Thereâs not a benefit unless you have Amazonâs volume, and even they havenât proven they can beat FedEx or UPS on cost. You need very dense delivery routes to keep costs low.
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Making USPS charge on cost + basis for last mile delivery will be win-win for everyone. Unfortunately, last mile delivery is a high cost business by its structure and that is why multiple carriers will not be profitable.
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That argument is a bunch of hot air about nothing. One of the most expensive parts is sorting boxes for which route they go on for final delivery. Amazon does it with robotics for USPS. The USPS trucks show up and boxes are loaded directly on the truck for final delivery. That eliminates the transportation leg to USPS facility and sortation. Thatâs why amazon gets a better rate. Others could copy that model.
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Amazon Buying Zoox May Save $20 Billion, Put Tesla on Its Heels
https://finance.yahoo.com/news/amazon-talks-buy-autonomous-vehicle-012510536.html
I do not have a way of verifying what you say, but if indeed sorting is the expensive part, and Amazon does it cheaper than anyone else, why does it not just deliver its packets instead of dumping it on the USPS? The problem is when a cost is shifted, it has to be paid, unless you are saying Amazon adds no cost to USPS.
Amazon has started to and has invested billions to build AMZL to do last mile delivery.
The big promise was robotics would make warehouses more efficient, so they need less employees. Thatâs what happened in the auto industry. That doesnât appear to be the case. Amazonâs employee count is growing faster than retail revenue. That means they are getting less efficient.
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Pass the peak efficiency? On the other side of the peak, declining efficiency as volume increases. Well, so long marginal cost < average cost, can still expand volume.
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This simply means that Robotics still cannot work where some cognitive abilities are required to do the work.
I thought you are trying to say marginal cost < marginal Revenue.
In perfect competition, any profit-maximizing producer faces a market price equal to its marginal cost (P = MC). This implies that a factorâs price equals the factorâs marginal revenue product. ⌠At this point, price equals both the marginal cost and the average total cost for each good (P = MC = AC).
Adding more employees than sales volume means less revenue over employee. That means lower profit.
The new fees will hit large, high-volume shippers and companies that send oversized items. It could drive up costs at a time when many retailers are fighting to shelter profits.
Amazon, its biggest client, and the online divisions of Walmart Inc (WMT.N) and Target Corp (TGT.N) have seen sales surge since shoppers have hunkered down at home during the pandemic.
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Sell !
Biden is also proposing to impose a minimum tax rate of 15%, a potentially costly outcome for some major companies that pay little in taxes.
For instance, in 2017 and 2018, Amazonâs financial filings show the company expected to receive money back from the federal government. And in 2019, Amazon(AMZN) said it owed more than $1 billion in federal income tax, a figure that experts said amounted to just over 1% of its profits.
âI donât think any company â I donât give a damn how big they are, the Lord Almighty â should absolutely be in a position where they pay no tax and make billions and billions and billions of dollars,â Biden told CNBC last month.
The article writer is a moron that doesnât know what profit is. If $1B is 1%, then Amazonâs profit would be $100B. This is why itâs hard to take the media seriously or respect what they produce. Then people read the garbage and think they are informed.