The Next FedEx? Logistics Could Be Amazon's Future
Many see a battle between Amazon and Apple looming in the future. ut I think the retailer’s main competitors will be men in shorts: logistics companies like UPS and FedEx.
Amazon is at a crossroads. The company garners billions a year in revenue from selling e-books, household items and vacuuming up rising retailers like Zappos. Retailing, though, can be a difficult single-digit margin business.
As a result, Amazon has invested heavily in its back-end systems to cut operational costs. It even leverages these capabilities for revenue. This month, it bought Kiva Systems, which makes robots for warehouses, for $775 million.