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A Logistics View of Amazon’s Q3/9 Month 2017 Earnings

Amazon did not disappoint investors as net sales increased almost 34% for third quarter 2017 to $43.7 billion. Despite operating income declining 39.6%, a positive net income of $256 million was achieved. However, worth noting, third quarter 2017 net income was only 1.6% higher compared to third quarter 2016. Perhaps more concerning is that net […]

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Mexico – The Race for E-commerce Dominance Starts with Logistics

When one reads about Mexico, it’s typically in relationship with the US and NAFTA. Indeed, the country has long been known as an outsourced manufacturing location for primarily the US market and in fact, upwards of 80% of its exports are destined to the US. However, there’s much more to Mexico. A rising middle class […]

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Cross-Border e-Commerce Drives Airfreight Demand

By all accounts it appears a renaissance is underway in the global airfreight market. IATA’s 2017 data through April indicates a simple average freight tonne kilometer (FTK) growth of over 9.0% while available freight tonne kilometer (AFTK) average growth of just shy of 3.0%. With May data due soon, Cargo Facts anticipates double digit growth. […]

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Alibaba and JD – The Next Generation of Global Logistics Leaders?

Growth in China’s small parcel market continued its break-neck speed in 2016 as the country’s State Post Bureau reported a 51.4%, 31.28 billion, increase in deliveries for the year. In terms of revenue, the Chinese government agency noted the sector generated about USD $57.58 billion in revenue, up 43.5% from 2016. The State Post Bureau’s […]

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Amazon Logistics – Primed and Growing

“We’re spreading a lot of the Prime benefits that we see in North America to other countries.” Indeed, this statement seemed to be the theme of Amazon’s first quarter 2017 earnings call. To meet the needs of this expansion of Prime benefits, Amazon’s logistics services are also expanding. During first quarter, Amazon announced the follow […]

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What does the Amazon Acquisition of Souq Mean?

Amazon has agreed to buy the Middle East’s version of Amazon – Souq.com – in a deal worth more than $650 million. Souq, based in Dubai, was established in 2005 as an online auction site but switched to a marketplace with fixed prices and retail website in 2011. It operates throughout the Middle East and […]

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Technology To Determine the Winner of Cross-Border e-Commerce

Technology is making the world go around faster and more efficiently. Indeed, there are numerous software solutions and platforms to assist exporters and importers manage the complicated world of cross-border trade.   One such platform that has caught the attention of the logistics market is that of Alibaba’s OneTouch when it announced that Maersk, CMA CGM […]

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The Focal Point of Amazon’s Logistics Network – Fulfillment by Amazon

Will Amazon compete against the likes of DHL, FedEx and UPS is one of the most talked about questions in the market. The Big 3 is certainly feeling Amazon’s presence throughout the world but instead of intentionally competing directly against them, Amazon is ensuring its customers and sellers are taken care of first. At the […]

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Amazon’s Investments Weighs on Earnings

Despite net sales increasing 31% to $32.7 billion in the third quarter and operating income up 41.6% to $575 million, there was a sense of disappointment from many folks as Amazon missed earnings per shares expectations of 78 cents, coming in at 52 cents instead. Looking at fulfillment and shipping costs for the quarter, fulfillment […]

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