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Amazon has already successfully extended its reach into e-books, the cloud and instant streaming music and video. Now the tech giant is reportedly setting its sights on becoming a global logistics company, the likes of which would compete head on with UPS and FedEx.
Internal Amazon documents reveal a plan for a global delivery network with the goal of expediting goods traveling between China and the U.S.
John Wells is former CFO for PepsiCo and Frito Lay and is currently professor of management practice at Harvard Business School. He says for an online retailer, efficient logistics are critical, and the U.S. is way behind its competitors.
What you'll learn from this segment:
- How Amazon's core business model has changed in recent years.
- Why Amazon believes they can compete in the international logistics services market.
- How this new business strategy may play out over the next 18 months.