Wednesday, April 11, 2007

No shipping seriously cripples small book firms

In Monday's technology section of the New York Times there was an article that brought up that the post office would no longer ship via cargo ship, due to a higher demand in air delivered goods. Sending goods via ship was traditionally one third the price of regular air shipping, and allowed small book sellers to ship at a reasonable price. With this option non-existent, the shipping rates are sometimes greater than the actual price of the books, and small booksellers are fearing the repercussions. Big book sellers, such as Amazon.com will not be affected too much, as they get larger discounts for the volume of books that they ship.

As far as implications for e-commerce go, this will greatly affect small businesses shipping costs, possibly causing many to shut down. The big sellers, such as Amazon.com, will not be affected as much.

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