The delivery industry in itself has become essential for nearly all consumers. Threats of substitutes are therefore very low. To this day there are no substitutes available for delivery companies. The only threat companies in this industry could potentially face is that companies like amazon could establish their own delivery systems[ CITATION Ato16 \l 1033 ].
As mentioned before the delivery industry is defined by having no substitutes, which results in a low bargaining power of the private consumer as they have to get things delivered in their daily life. However, the e-commerce sector can choose between various option of logistics companies and therefore have more power. To retain their customer’s companies, have to successfully maintain their brand image as many their power relies mostly on customer loyalty[ CITATION Ato16 \l 1033 ].
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