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Investments in overseas markets mostly failed to pay-off. And since the highly publicized labor problems experienced by UPS, it was no longer practical to expect customers to be loyal to any single delivery company.
In order to attract customers, companies were forced to offer many new services, invest heavily on capital-intensive facilities, and improve customer service while at the same time dropping prices to match those of competitors. Margins suffered and prospects for growth were low. Companies increasingly turned to exploiting niches, “sweep the corners of the market” and to new pricing schemes...
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