Mega carriers VS. Small companies

Discussion in 'Ask An Owner Operator' started by haider99, Dec 7, 2016.

  1. haider99

    haider99 Medium Load Member

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    The other night I was laying down and thinking if one was to compare a Mega Carrier with a Small fleet that has own customers and not using the # of trucks in the equation, what advantage do Mega has over small guys? The amount of investment would be same as a small carrier and therefore no economies of scale.

    Also, what advantage do small guys have over mega? I know a better service is one....but what is providing a good service.

    I wanted to throw this in here and see what others have to say.

    Thanks you
     
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  3. cuzzin it

    cuzzin it Road Train Member

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    Mega is likely to have better insurance plan, maybe better pay, newer equipment
    Smaller is likely to treat you better... and that goes a long way
     
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  4. not4hire

    not4hire Road Train Member

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    I think you better lay down again and rethink this. There are economies of scale to the benefit of the megas in everything; capital investment, cost of money, operating costs, percentage of units idle, etc.

    If you're competing in the same arena and with the same service as a mega, you are effectively competing on price. And if you're competing on price you're sunk by the next guy that comes along and offers to do it for a nickel less. I never compete on price in any industry I work in.
     
  5. TruckDrivingtn

    TruckDrivingtn Light Load Member

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    ^^^^^^^^ lots of truth in that ^^^^^ As far as better treatment of employees would be the only true benefit i would think
     
  6. haider99

    haider99 Medium Load Member

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    You compete on service? What is a good service that the megas cannot provide?
     
  7. Cummins_444

    Cummins_444 Medium Load Member

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    Picking up and delivering on time. Delivering undamaged goods. Megas seem to pad in extra time when shipping goods to give their steering wheel holders a better shot at getting to the destination on time. The list goes on and on.
     
  8. thejackal

    thejackal Road Train Member

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    Yup. and they relay the load a billion times.
     
  9. thejackal

    thejackal Road Train Member

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    The biggest difference is megas have the money to buy congress people where small carriers dont.
     
  10. Brandonpdx

    Brandonpdx Road Train Member

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    Being able to dial the phone and get the driver directly if you want to know where it is or if you need it rescheduled. Having a truck show up that doesn't look like a piece of junk. The driver speaks fluent english and doesn't hit anything else besides the dock when pulling into the parking lot. There's a million things you could think of that smaller customers would appreciate. The Walmart or Costco DC may not care but who wants to go there anyway?
     
  11. againstthewind

    againstthewind Road Train Member

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    think that about says it lol
     
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