Just remember UPS logistics helped build Amazon from the ground up. UPS is the primary shipping partner for amazon. I have said this before.
Do you realize how much cash and manpower it would take to build a shipping company like UPS today? Now UPS could become an Amazon very easily within 24 months and Amazon would be saying WTF just happened?
Amazon needs UPS more than UPS needs Amazon. Amazon is just a middleman online seller with big warehouses designed by UPS. Amazon isn't even that profitable of a company?
There is no reason why UPS could not become an online seller like Amazon.
Think about it. IF WALMART OR AMAZON(THE BIG BOYS IN RETAIL) COULD REALISTICALLY DELIVER THEIR OWN STUFF WE WOULD SEE THEIR TRUCKS ON THE ROAD TOMORROW.
Do you think Atlanta or Memphis have discussed this possibility? You bet they have.
I believe that is incorrect. With Amazon building more regional warehouses, they could just buy the regional carriers, they already are in the same pay scale they like to pay their drivers. Both are massive to build, you totally under-estimate building their efficient warehousing systems, the website, the partnerships Amazon has and the buying brand they have. No one but no one relates to UPS to online shopping, moving buyers over to UPS would be herculean, because Amazon would still be there (why would people leave them?) as with all the other online retailers. How the package gets to us, almost no one cares. I get packages from Ontrac and don't complain, because it is there timely and in one piece.
Amazon likes UPS but doesn't critically need them, they could manage using all the other carriers if push came to shove. UPS also doesn't need Amazon I agree, but it would still be a kick in the gut if they ever turned the tables and UPS would be there wondering.... WTF did we just allow them to become? Perhaps maybe that is why all the carriers give their services away to them, so Amazon doesn't get the bright idea of just doing it themselves (along with USPS). Amazon could be saying, "hell at these prices... we couldn't even compete."