Source: Exam
“Delivery always has a cost. If the customer doesn't pay, someone is subsidizing that operation,” explains Maurício Lima, partner at ILOS, a consulting firm specializing in logistics and supply chain.
According to the expert, this subsidy is a classic strategic tool in expanding markets. Companies accept operating with reduced—or even negative—margins to gain scale, customer base, and competitive relevance. “Sometimes it’s a market war. You accept negative profit because you believe that, in the future, you will be a dominant platform,” he says.
