Long Lines at LAXit For Drivers and Passengers

Long Lines at LAXit For Drivers and Passengers

November 24, 2019

Traffic is jamming up at LAX as Uber, Lyft, and taxi drivers spend up to an hour creeping towards the new “LAXit” pickup area where passengers must now go to meet up with their vehicles.

Meanwhile, passengers are waiting in long lines to get to the pickup area themselves from the main terminal.

The new pickup area was designed to decrease general traffic congestion and to facilitate pickups and drop-offs during a major airport renovation and an airport train construction project that will cause closures of curbs areas and lanes until 2023.


Video Spotlight: To Ease Traffic Congestion, LAX Will No Longer Allow Ride Share Pickups At Terminal


This post is based on the LA Times article, LAX rules for Uber, Lyft and taxis create chaos—and opportunities, by Samantha Masunaga, November 5, 2019, and the YouTube video, To Ease Traffic Congestion, LAX Will No Longer Allow Ride Share Pickups At Terminal, by CBS Los Angeles, October 3, 2019. Image source: Kyoungil Jeon/Getty Images

Discussion Questions:

1. What are customers doing to try to access their transport, and how is this affecting other businesses’ capacity planning?

Guidance: Some customers are seeking alternate ways to meet up Continue reading

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In Venice: Unsustainable Tourism

In Venice: Unsustainable Tourism

November 23, 2019

Venice’s tourist population has swelled to 30 million people a year, and many arrive on the approximately 570 cruise ships that make calls in the lagoon.

Desperate to preserve the city’s image, the Italian transport minister is pulling the plug on large ship access to the Grand Canal near Piazzo San Marco square beginning in April 2020.  Reductions in the number of cruise ships entering the area were already introduced in August 2019.

In addition, beginning in July 2020, day-trippers arriving by public transport will pay a fee of three euros during the off-season and eight euros in high season to help preserve the city’s quality of life.  Those who choose to visit during peak times, such as summer weekends, will have to pay an additional 10 euro charge to visit the city center and islands of the lagoon.


Video Spotlight:


This post is based on the Express article, Tourism crackdown: Venice to ban large cruise ships in bid to save city, by Leonie Chao-Fong, November 7, 2019; the Worth article,  Facing Rising Water Continue reading

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Amazon Bets Big On Faster Shipping

Amazon Bets Big On Faster Shipping

November 15, 2019

Amazon spent $1.5 billion to improve its transportation and warehouse infrastructure and increase its inventory to cut its Prime shipping from two days to one.

The next-day delivery investment has brought benefits, including new record sales, improved revenue growth, increased warehouse and shipping staff, and happier customers. However, shipping costs have also increased 46% in the company’s second quarter.

Investors are overall optimistic about the outlay, but Amazon’s recently predicted weak holiday demand, which has raised some concerns.


Video Spotlight: Amazon’s profit falls due to same-day delivery costs, and other top business news


This post is based on the CNET article, Amazon’s next-day shipping ambitions are costing it a fortune, by Ben Fox Rubin, October 25, 2019, and the YouTube video, Amazon’s profit falls due to same-day delivery costs, and other top business news, by CityNews Toronto, October 25, 2019. Image source: Daniel Grizelj/Getty Images

Discussion Questions:

1. Is Amazon’s one-day Prime shipping a strategic capacity decision?

Guidance: Yes – it enables Amazon to meet customers’ demand for next-day delivery, increases operating costs, reflects a long-term commitment to e-business, and enables competitiveness in e-retailing.

2. What investment did Amazon make to cut its Prime shipping from Continue reading

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