On latest reports Amazon’s plan is to expand their shipping services.
The firm’s main goal is to offer their service to companies that sell on its site and other businesses as well.
This will happen with a shipping program similar to UPS and Fed Ex.In response of that news many investors are getting rid of their market shares in FedEx and UPS.
Amazon are responsive for the delivery of products that merchants store in the firm’s warehouses.The firm’s new program includes pick-up from the vendor.The initiative has started in London and soon will be in Los Angeles, hopefully expand to other cities as well.
The focus of the company is speeding the delivery of online purchases and investing in building warehouses, hiring delivery trucks and deploying aircraft.
The latest purchase of Amazon is the upmarket grocer Whole Foods.The company target is to start making two-hour grocery deliveries from the stores for Prime customers in some cities.
All of the Amazon’s latest changes has a negative effect on companies such as FedEx and UPS which market shares fell by more than 2% on Friday morning.