[kuu]

Or at the very end, USPS is not able to compete, as it has less packages and their cost is higher. And in the end FedEx keeps all the packages and once the competition is out, they can raise the prices and not improve the quality of their service, as the cost of entering to compete is too high for any other company to afford it...

[GarrisonPrime]

The cost would be much less for a company to just take over the USPS infrastructure and run it in a different manner. No need to reinvent the wheel or start from scratch.

And if indeed a monopoly were to develop, it’s not as if they could charge whatever they want with impunity. There are many multi-billion dollar companies that would be more than happy to expand into the logistics field if the potential profits are there. FedEx would need to keep their costs reigned in to stave off that threat.

Even if a monopoly could never be assailed (untrue, but for the sake of argument) they still couldn’t do whatever they want. They raise prices, people will search for alternatives. Overnighting a contract too expensive? Companies will start to shift more towards secure verified digital signature and verification methods, and the service providers lose money. Bandwidth being too throttled to play online FPS games or stream HD shows? People will start to look towards more localized or even non-digital options, and the service providers lose money.

[Fjolsvith]

> as the cost of entering to compete is too high for any other company to afford it...

Companies like Amazon or Walmart?

[huffmsa]

If that were true then no one would have entered against USPS in the first place.

No one would have taken on IBM