I ordered a set of folding chairs from Amazon Canada. The four-pack arrived today via FedEx.Oddly, these seats were shipped from Brampton, Ontario. It seemed strange to me that the 23 kg box wasn't sent from a closer distribution center. I understand Amazon Canada must have inked special deals for its free shipping. Yet, I was surprised such a heavy item was shipped 4,200 km for a two-day delivery.
It seems as though brick and mortar stores would have a leg-up in proving an efficient distribution model. However, I am not factoring in the dramatically increased costs in maintaining the facilities, utilities, and staffing. Perhaps shipping my chairs across a great part of Canada to my door was cheaper than providing these chairs in a standard retail environment.
The company must be doing something right to have amassed a market cap of $US 978.9B as of yesterday.