Here is a link that I came across showing how Amazon.com can send out their packages so efficiently. The technology is quite amazing. I have always held a fascination with Amazon.com for their ability to sell things at cost and still deliver it for free (with purchases over $35). From my research, there are two main reasons:
1. Their turnover for a product is roughly 12 days (whereas many companies that have a physical location can be 3 to 4 times that). Amazon can often sell products at cost or below cost and simply collect the interest on the items before having to make payment to the vendor.
2. Technology: The link below shows how they are using technology to keep costs low.
http://www.chonday.com/Videos/how-the-amazon-warehouse-works
Note: I recently read that Amazon is looking at using drone helicopters to deliver packages to peoples homes!
http://www.youtube.com/watch?v=98BIu9dpwHU
That said, it make me wonder. With technology starting to replace so many jobs, what are people going to do for employment?
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