I had the same type of experience recently. The unnamed company wanted to charge $41 to WRAP and BOX the item then another $54 to ship. I wondered, why does it cost $40+ to put bubblewrap around something and tape the box shut???
Barbara, I recently had to mail a box of gift items urgently to Texas and tried one of the major courier companies. The parcel had to get there the next day and the courier company told me it would cost $134. I bought the box from them but decided to get a quote from the United States Postal Service. They charged $70 for the same service. I saved a buck or two!
The selling point for most online shoppers is free shipping. In fact, I find I have to resist the pull of free shipping from Amazon when another online seller offers the same item for less -- even with the cost of not free shipping factored in.
But I do know the electronics supply chain relies heavily on these carriers, and companies no doubt negotiate various volume discounts for all the freight they ship.
Right. So this hike doesn't really affect everyone. It doesn't really have any impact on me, for example.
Tirlapur--that is one point of view that is being discussed--that the rate hikes indicate the economy is recovering. I'm not so sure about that. I've been in a situation where if demand goes down, prices actually go up to make up for the shortfall. After years of conserving water, my town raised its water prices because it couldn't meet expenses. At this time of year in particular the freight companies know they have a captive audience, so to speak, and oil prices give them a valid reason for the increase. And once they go up, they don't come down. What I think is more likely is, if oil prices stay low, we'll see discount incentives for freight, rather than an across the board decrease.
I don’t know the basic reason behind the rate hike.
@Jacob, I feel rising inflation is one of the main reasons for this rate hike. And moreover fuel prices are going up in developing countries, for example in India the oil prices jumped from 50Rs to 75Rs in last one year because of currency depreciation.
EBN Dialogue enables and encourages you to participate in live chats with notable leaders and luminaries. Not only editors and journalists, but the entire EBN community is able to comment and ask questions. Listed below are upcoming and archived chats.
Archived Dialogues
Thailand Stages a Comeback Join EBN contributor Jennifer Baljko on Thursday August 23, 2012, at 11:00 a.m. EST for a live chat on how electronic manufacturers in Thailand have shored up their supply chain to reduce the impact of future natural disasters.
Euro-Crisis: What It Means for High-Tech Firms Join EBN Editor in Chief Bolaji Ojo and Contributing Editor Jennifer Baljko on Thursday, July 12, at 10:00 a.m. EDT for a Live Chat on high-tech and Europe's economic difficulties.
Microsoft Surface: Potential Winners & Losers What are the implications for the electronics industry supply chain of Microsoft Corp.'s decision to launch its own tablet PC? Join industry veteran and EE Times' systems and OEM expert Rick Merritt on Tuesday, July 3, at 12:00 pm EDT for a Live Chat on this subject.
Join EBN contributor Jennifer Baljko on Thursday August 23, 2012, at 11:00 a.m. EST for a live chat on how electronic manufacturers in Thailand have shored up their supply chain to reduce the impact of future natural disasters.
Peter Drucker famously said "Trying to predict the future is like trying to drive down a country road at night with no lights while looking out the back window." Yet in the razor's-edge world of electronics—with a lean supply chain and just-in-time demands—the need to know the future is vital.
While no one really can accurately predict the future, we can take guidance from another Drucker saying which is the best way to predict the future is to create it.
You've heard the saying "the No. 1 supply chain risk is your people." That hasn't always been the case. But today's complex global supply chain requires a new type of multitalented employee. It's one who understands, finance, marketing, economics, is savvy with technology, graceful with relationships and can think analytically.
Where are these people? Are universities properly preparing the next generation supply chain professionals? How do train your existing workforce for these new, demanding positions?
Brian Fuller, editor-in-chief of EBN, will lead a 60-minute Avnet Velocity panel discussion that will ask and answer these and other questions swirling around today's supply-chain talent challenges.
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