Interestingly there’re actually decent margins in some areas for vendors that provide extra value like in the example. For instance, FedEx provides logistics services for manufacturers and will manage inventory across various regions to make sure your UK warehouse doesn’t end up with a stockpile of unsold goods while your US warehouse has a shortage. No idea how good a job they do but I know it’s a service they will provide on top of distribution for a significant fee.

> Distribution is a low margin business.

Hard disagree. It's low margin if you're doing it wrong.

Hank's Trucking exists. It's called FedEx Expedite, among many other expediting companies. You should check things out before your fingers type a check that facts can't cash.

FedEx agrees, that's why it ended its relationship with Amazon.