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How can FedEx make money on this?
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<blockquote data-quote="beentheredonethat" data-source="post: 953312" data-attributes="member: 4886"><p>Upstate as a previous poster indicated, companies this large get huge discounts, they usually get better discounts by not having a priority on these pkgs and it goes out on space available flights. The price they paid is probably 10-20 bucks for shipping. (Probably closer to 10). Keep in mind the savings. They have one shipment cost, no warehousing in the US, no pick\pack in the US, no small pkg cost in the US. As soon as it is produced\refurbed, it's out the door to the customer. On top of that, I'm willing to bet you paid for it, and then got it delivered to you a week later. For new ipads were the components are purchased, they have your money immediately, ship out the product and you have it a week later. But the vendors who make the parts don't get paid for usually 30 days sometimes 60. So they also make money on the time they have your money, til the time they take that money and pay the vendors for the parts. There's a reason apple has 100 billion in their bank acct and is doing a 10 billion buyback and offering dividends that amount to 10 billion a year.</p></blockquote><p></p>
[QUOTE="beentheredonethat, post: 953312, member: 4886"] Upstate as a previous poster indicated, companies this large get huge discounts, they usually get better discounts by not having a priority on these pkgs and it goes out on space available flights. The price they paid is probably 10-20 bucks for shipping. (Probably closer to 10). Keep in mind the savings. They have one shipment cost, no warehousing in the US, no pick\pack in the US, no small pkg cost in the US. As soon as it is produced\refurbed, it's out the door to the customer. On top of that, I'm willing to bet you paid for it, and then got it delivered to you a week later. For new ipads were the components are purchased, they have your money immediately, ship out the product and you have it a week later. But the vendors who make the parts don't get paid for usually 30 days sometimes 60. So they also make money on the time they have your money, til the time they take that money and pay the vendors for the parts. There's a reason apple has 100 billion in their bank acct and is doing a 10 billion buyback and offering dividends that amount to 10 billion a year. [/QUOTE]
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