Amazon has taken to piggyback riding on the shoulders of other giants. It starts shipping the products directly from P&G and other supplier warehouses to reduce cost. This will lead to the further expansion of its operations.
Amazon Starts Shipments Directly From P&G and Other Supplier Warehouses
Unlike its rivals, Amazon does not have to maintain large scale retail outlets. And now it has outdone itself by utilizing its suppliers’ warehouses to carry out its packing and shipping activities. This is a deal that has been mutually agreed upon. A humongous setup by Procter & Gamble has been cannibalized by Amazon for its purposes.
Several products by P&G such as diapers and shampoos get signed, sealed and delivered by Amazon staff at the facility. This is rather like a silo within a silo. Amazon has labeled this new incentive as “Vendor Flex”. The growth of this venture could prove to be quite salubrious for Amazon. And the future ramifications are virtually limitless.
The beginning of this new plan includes only the delivery of non-perishable items. Later on this could change of course. A small scale example would be Amazon Fresh which operates from the Seattle region. Fresh produce from farms and foodstuff are the next obvious step after the experimentwith P&G. One thing to keep in mind is that Amazon’s rise to fame has been chiefly due to its supply chain management policies.
The efficiency and attention to detail has seen the giant companythrough. Amazon has virtually removed the unnecessary complexities from the shipping process. The simplification of the supply process will lead to an automatic advantage the profits from which will accrue to Amazon alone.
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The “geek mind” is concerned with more than just the latest iPhone rumors, or which company will win the gaming console wars. I4U is concerned with more than just the latest photo shoot or other celebrity gossip.
The “geek mind” is concerned with life, in all its different forms and facets. The geek mind wants to know about societal and financial issues, both abroad and at home. If a Fortune 500 decides to raise their minimum wage, or any high priority news, the geek mind wants to know. The geek mind wants to know the top teams in the National Football League, or who’s likely to win the NBA Finals this coming year. The geek mind wants to know who the hottest new models are, or whether the newest blockbuster movie is worth seeing. The geek mind wants to know. The geek mind wants—needs—knowledge.