View Single Post
Old 06-07-2006, 04:45 PM
  #5  
jungle
With The Resistance
 
jungle's Avatar
 
Joined APC: Jan 2006
Position: Burning the Agitprop of the Apparat
Posts: 6,191
Default

To compete with UPS and FEDEX , DHL will have to build a huge infrastructure in this country. From what I have seen they are using subcontractors for flying, vehicles and facilities. This can be very expensive, and really doesn't build the structure for DHL.
Both FEDEX and UPS were in Europe and other markets a long time before the capital expeditures paid off. All of these factors act as barriers to entry for package delivery companies and the startup costs limit competition.
jungle is offline