Many economists may have never spent time inside a contract packaging facility, but they understand on a deep level why outsourcing can create a superior value proposition for a goods producing company. They will anchor their case in one of the irrefutable laws of economics: comparative advantage. Often used in analyzing gross domestic product (GDP)
Over the past 10 years, shipping rates from all major carriers have steadily increased at an average of around 5.5 percent, mostly due to fee increases for specialized shipping. The fees are for services like third-party shipping, oversize packages and peak shipping, and they continue to rise. The other factor that has increased shipping rates