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Essay / Research Paper Abstract
An 11 page paper discussing whether competition from private-sector delivery services such as Federal Express and UPS adversely affects the ability of the US Postal Service to maximize profits. Priority Mail and Express Mail are add-on services of the USPS, but the primary business of private-sector delivery services such as Federal Express and UPS. Certainly the USPS would carry much greater volumes of pieces applicable to the category if private-sector services did not exist, but it is doubtful that competition in the category has been highly significant in preventing the USPS from maximizing profit. Prohibited by law from carrying any profit at all, the USPS perhaps could reduce rates for other services or at least hold them steady without its private-sector competition, but it still would not be allowed to post any significant and ongoing profits from operations. The paper includes one chart and one table. Bibliography lists 13 sources.
Page Count:
11 pages (~225 words per page)
File: CC6_KS-USPS.doc
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Unformatted sample text from the term paper:
as schools and prisons, the US Postal Service (USPS) appears to be intent on ensconcing itself as more of a business than a self-supporting arm of the US government.
Mead (1997) summarizes the effects: "Now governments are on the run. Even the U.S. Postal Service has lost its monopoly to technological agents such as the Internet and to
private competitors such as United Parcel Service and Federal Express. Outside the United States, government-owned airlines, telecommunications companies and enterprises of every kind are being either privatized, subjected to
new competition or both" (p. 9A). Competition is a subject with which the US Postal Service and all private carriers are well familiar.
Overnight and related delivery schedules are increasingly important in this day of instantaneous communications, and it has been those most able to respond to needs of customers that have
profited the most. Quick response has never been a hallmark of bureaucracy, and at the USPS, the pattern has held firm.
The Saga of the Rate Increase In 1991, then-Postmaster General Anthony Frank roused that the American people simply did not, could not,
understand the terrible plight of the US Postal Service: "Why would the Postal Service be the only company in the U.S. thats unaffected by inflation? People fly into
a paroxysm when their postage goes up, and they see it as a sign of inefficiency. I guess a quarter to 29 cents is a lot easier to understand
than a $500 billion savings and loan bailout" (Bolte, 1991; p. 10). Just coming out of the 1980s when inflation had topped double digits in the early and mid-part
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