In this blog post I will attempt to estimate and understand the costs associated with operating a last mile delivery business such as Amazon. The data is from various public sources and may not always add up based on the assumptions made by each source in coming up with their numbers, but we can still take away a lot from these rough back of the envelope calculations.

Reference: Lim, S.F.W.T. and Winkenbach, M. 2019. Configuring the last-mile in business-to-consumer e-retailing. California Management Review, 61(2): 132-154.