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FedEx Discussions
Ground/HD overlap meeting tomorrow
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<blockquote data-quote="bacha29" data-source="post: 2906386" data-attributes="member: 58386"><p>It's not that they lack the managerial expertise to do it but given the direction things are headed it won't be economically worthwhile for them to do it. By continuing to reduce the overall number of contractors G is positioning itself to launch an all out effort to drive down contractor margins. They're plainly stated goal was to gain access to trucking at the lowest possible cost not to create equity for contractors. Secondly there is no question that when they saw the kind of prices routes were bringing on the open market it not only angered them but humiliated them because those prices were driven by high profit margins and they have set out to correct what they see as an embarrassing imbalance.</p></blockquote><p></p>
[QUOTE="bacha29, post: 2906386, member: 58386"] It's not that they lack the managerial expertise to do it but given the direction things are headed it won't be economically worthwhile for them to do it. By continuing to reduce the overall number of contractors G is positioning itself to launch an all out effort to drive down contractor margins. They're plainly stated goal was to gain access to trucking at the lowest possible cost not to create equity for contractors. Secondly there is no question that when they saw the kind of prices routes were bringing on the open market it not only angered them but humiliated them because those prices were driven by high profit margins and they have set out to correct what they see as an embarrassing imbalance. [/QUOTE]
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