how do big shipping companies like Amazon guaranteed one and two day shipping while remaining efficient?
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They don’t ship far distances. It’s easy to do one day shipping if you’re only moving the product from a warehouse in far suburb into the city.
Efficient isnt the issue here. They have logistics chains that have been designed for 20 years to do just this type of activity. They work on being efficient.
The question isn’t efficiency, they’ve got that. It’s doing it *profitably*, which Amazon doesn’t really do, their margins on retail like this is basically nothing, with costs like this needed to gain efficiency being a major factor.
Anyone could setup a system to do one/two day shipping with enough capital and resources (of course which amazon has). But to do so profitably is the problem.
From what I know from where I work, the business puts a certain amount of product in an amazon distribution centre so they are ready to be shipped upon ordering. We get notices that our inventory are getting low at amazon and we have to send more to the distribution centre.
They have distribution warehouses with common goods all over the country, and when something has to travel a long distance they have contracts with airlines to use cargo space.
They guarantee stuff that they have in stock that can get to your address in that period of time. It’s more cost effective for Amazon and their contracted cargo carriers to have a full plane, a full delivery truck so they have figured out how to fill that chain as best they can.
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