Why doesnt fedex buy more trucks and hire more drivers

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Reference no: EM133496222

Question: Federal express enters into contracts with independent truck operators who offer FedEx services and who are rewarded by the volume of packages they carry.

according to this information , answer the following questions:

why doesn't FedEx buy more trucks and hire more drivers? what incentive problems might arise from this arrangement?

Reference no: EM133496222

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