... was flooded with new competitors all trying to gain from the growing industry. The strategies that Airborne instated were the reason that it did not disappear like many of the new competitors forced out by competitive falling prices. Airborne established 265 ground stations operating as the outer part of the spoke and 10 trucking hubs containing 12,800 delivery vans and trucks (some of which were contracted). The benefit to having such a large ground transportation crew spread across the country was the fact that they could send packages at about one fifth the cost on the ground as compared to sending it by air. The customer has no idea if the package is going to be sent by air or by ground, either way they were being charged for the air fair, which allowed for profit margins to increase in a highly competitive market. The ground transportation dealt with ...

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