IS AMAZON AN EVOLUTION OF RETAIL
OR RETAIL MONOPOLY
The US Government has suddenly become critical of Amazon Corp. “They pay no state taxes, hurting the USPS bottom lines, their deliveries by USPS use State roads, therefore should pay state taxes, they harm the competibility of local businesses.
All true, somewhat. But let’s “level the playing field.”
The USPS, (US POSTAL SERVICE), thas been continuing to lose it’s largest source of income, the letter. When is the last time you walked to your mailbox and put a letter in it? Do you even have stamps and envelopes?
With email, Skype, Duo, Social media, bill pay online, why stamp and mail anything?
Is Amazon causing the postal service to lose money? The USPS is required by law to not charge less than cost for delivery of parcels. But they do. Do they include overhead, infrastructure, management initiatives, and rising labor cost as every other well managed corporation does? Since it’s their greatest area of growth, then why are they losing money here?
Revenue from First-Class Mail and Marketing Mail decreased $309 million and $248 million, respectively, due largely to lower volumes. Revenue from the Shipping and Packages business increased $505 million, or 9.3 percent, during the quarter. (USPS)
So is Amazon to blame? Amazon uses the USPS for less than 50% of it’s shipping. The postal service’s failure to anticipate and take advantage of their changing business model is the same reason many business’ fail. Restructure your parcel delivery service, reprice, seperate it from personal and marketing letter carriers. Cut waste. Cut waste. A dedicated parcel delivery service should be competitive with the likes of UPS and US Express, with a true cost pricing structure. Or ( Privitize by The Hill).
E-Commerce is on a roll, not just your local megastores but non-stores:
Do they pay State taxes, harm the USPS profits, yada, yada, yada.
Craftsmen, Vegetable stands, Street Vendors, Vendor carts, Store fronts, Shopping Centers, Super Malls, Mailorder catelogs, Department Stores, SuperStores, e-commerse, SuperE-Commerce. Evolution is a bitch for the past species.
Where do you want to shop:
Headline Featured Image:Marcelo Braga by Obrigado, correios
by James Kirk-Wiggins, April 4, 2018
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