Transportation and Price Leadership Role of the Postal Service

Presentation

Transportation and Price Leadership Role of the Postal Service

September 26, 2011

Abstract

Four questions were addressed in this study: 1) Does the Postal Service offer greater access to parcel and express transportation, money orders, and post office boxes than the private sector? 2) Do Postal Service prices establish a competitive baseline for other delivery services, money orders, and mailbox box rentals? 3) Does the Postal Service offer competitive advantages to small and home-based business? 4) Does the Postal Service provide commercial customers with an economical means of shipping packages? The analysis shows that the Postal Service improves access in very rural areas.The Postal Service is generally not a price leader is and does not act like a competitive player in the market.

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