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Amazon Jumps into Freight Industry by Cleo Gib





Amazon Jumps into Freight Industry by
Article Posted: 07/26/2016
Article Views: 177
Articles Written: 12921
Word Count: 320
Article Votes: 0
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Amazon Jumps into Freight Industry


 
Business

Amazon has taken a page from the Walmart business manifesto and is getting into freight. In early 2016, the online consumer giant applied for a freight license and leased a fleet of Boeing 747 aircraft. This is big news for international trade as well as Amazon trucking jobs in Los Angeles, CA.

The Big Business Plan

In addition to a fleet of 20 cargo planes, Amazon also received a license for ocean freight transportation. The idea behind this move is to ultimately gain greater control over their clients’ shipments as well as expand to meet the larger needs of small businesses. Unlike standard shipping, freight shipping encompasses large amounts of materials and supplies that are usually shipped by the pallet-load. Standard delivery trucks are not equipped to handle pallet loads in the frequency demanded by small businesses in America. Walmart employs this same plan with a massive fleet of trucks and dedicated distribution centers strategically located throughout the United States. By utilizing its own ships, planes, and trucks, Amazon will effectively cut out 5 or 6 middlemen involved in the worldwide, freight shipping process. The goal is more about streamlining the process and providing better, faster services to clients--not necessarily profits.

Amazon and The Trucking Industry

For the last several years, the trucking industry has experienced a storage of drivers. As the economy continues to recover from the 2008 recession, qualified drivers will be in even higher demand. The industry was approximately 47,000 drivers short in 2015, and that number is expected to hit 100,000 by 2020. Employers across the nation will need to hire 10,000 new drivers per year to meet the high demands of the consumer industry. Giants like Amazon and Fedex will have to expand their infrastructure in order to keep up with needs of their customers, and this means there will be a lot of Amazon trucking jobs in Los Angeles, CA, to fill.

Related Articles - Amazon trucking jobs in Los Angeles, CA,

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