UPS Forms e-Ventures Subsidiary as Incubator

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United Parcel Service Inc., Atlanta, said yesterday it formed a new subsidiary, UPS e-Ventures, that will serve as the research, development and incubation arm for UPS's e-commerce initiatives. The new unit will be charged with identifying and rapidly developing entirely new businesses related to supply-chain management and e-commerce.


The first business formed by UPS e-Ventures is e-Logistics, which will seek to provide warehousing, order picking, shipping, delivery and customer service for small and medium-sized e-commerce companies. A spokeswoman said the goal is for e-Logistics to be able to handle all of the fulfillment and customer service issues for any company that has a product to market through the Internet. UPS e-Logistics will take advantage of the UPS transportation network worldwide and its global network of warehouses, she said.


UPS, through its Worldwide Logistics arm, already provides similar services for large e-commerce companies like Nike.com and Boo.com.


UPS named Mark Rhoney, a 25-year UPS veteran who most recently was vice president of electronic commerce marketing, as president of e-Ventures.
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