Fedex Strategic Analysis

2361 words 10 pages
Show More
Introduction:
Federal Express Corporation (FedEx) started its operation in March 1973 building a express delivery company to global logistics and supply chain management company. With logistics as a key part of forming a strong strategy formulation FedEx provided their customers differentiating means thus winning a healthy customer loyalty with enormous.

The growth of the express transportation and logistic industry was brought about by three main trends
• The globalization of businesses.
• Technological advancements and applications innovations.
• The changing market demand for more value added service..
• Application of new technology to generate process efficiencies, and changing market demand for more value- added services.
• …show more content…

With this came a host of service offerings. o First launcher of QuickShipper. o Integrated with existing online tools. —Web collection and Price checker. o First launch to access to detailed and personalized shipment Information. By the use of User ID and password. o Powerful and less expensive.

External Analysis:
Opportunities:
 Government deregulations
Government deregulations were main success of FedEx, Which permitted the landing of larger freight planes, thus reducing operating costs for FedEx.
 Industry deregulation:
Deregulation of the trucking industry, which allowed FedEx to establish a regional trucking system to lower costs further on short-haul trips.
 Trade deregulation:
Trade deregulation in Asia pacific, which opened a new markets for FedEx. Expanding globally became a priority for FedEx.
 Technological breakthroughs and applications innovations:
This external opportunity helped FedEx to promote significant advances for customer's ordering, packaging, tracking, and process monitoring

Threats:
 Increasing Fuel prices
During the period of 1999 the increasing fuel price affected the company's net income.
 More competition according to technological improvement:
FedEx serve their customer in a unique way by taking help of IT. For this reason FedEx has always heavy investment on IT. On the other hand UPS, DHL and TNT also started heavy investments on IT with a target of reducing customers switching

Related

  • Fedex Corp. vs United Parcel Service, Inc Case Study
    2165 words | 9 pages

    two main competitors in the package delivery industry: Federal Express Corporation (FedEx) and United Parcel Service of America, Inc. Studying FedEx, UPS and their competitive relationship in the decade from mid - 80's to mid - 90's gives a good insight for the companies' and industry's future. The two companies have different strategic goals and are operating in the same industry but in different main markets: FedEx is working on "producing outstanding financial returns" and focuses on the overnight….

    Show More
  • Fedex Courier Pak
    1001 words | 5 pages

    Federal Express established itself as a key player in the competitive airfreight industry, just three years after beginning operations, as a direct result of its unique strategic hub system and a policy of limiting package size to under 70 pounds. By capitalizing on this strategy, FedEx was able to boost its average delivery volume in 1976 to 20,726 packages per day via its three services, Priority-One, Standard Air, and Courier Pack, compared with an average of 10,521 delivered daily the prior….

    Show More
  • Fedex vs Ups
    4122 words | 17 pages

    however class A shares had 10 votes per shares while class B shares were entitled to one. Until the stock split and IPO in 1999, the financially and operationally conservative company had been perceived as slow and plodding. Although larger than FedEx UPS had not chosen to compete directly in the overnight delivery. After going public UPS initiated an aggressive series of acquisitions, beginning with a Miami based freight carrier operating in Latin America and franchise based chain of stores providing….

    Show More
  • Challenges Faced by Companies Entering Foriegn Markets
    5895 words | 24 pages

    Challenges Faced By Companies Entering Foreign Markets Case of Rocket Internet’s Sabunta August 2012 1. INTRODUCTION Companies move into foreign markets for various reasons. In certain cases, it is towards achieving a required sales volume. In other instances, it might be a bid to increase brand awareness. Other companies go into foreign markets to re-invigorate sales after their products have gone through their life cycle - from inception to decline - in home markets. Regardless of reason….

    Show More
  • Dhl Strategic Management
    3830 words | 16 pages

    Strategic Management Dr Andrew Jenkins Individual Assignment: Report 2011 2012 Samuel TOURE U0967831 University of Huddserfield 5/12/2011 Strategic Management Dr Andrew Jenkins Individual Assignment: Report 2011 2012 Samuel TOURE U0967831 University of Huddserfield 5/12/2011 Executive Summary In this strategic management assignment, we will see how organization achieve and sustain competitive advantage. As the global leader of the international express….

    Show More
  • Avoiding the Alignment Trap in Intormation Technology
    1720 words | 7 pages

    CASE STUDY: AVOIDING THE ALIGNMENT TRAP IN INFORMATION TECHNOLOGY Executive Summary An alarming pattern has surfaced in that many companies are concentrating on alignment and are finding that their performance is either declining or moving sideways. Companies are focusing on the wrong solutions with respect to their Information Technology problems, resulting in severe bottlenecks to growth. Companies need to learn how to break out of the trap and build IT organizations that allow for growth….

    Show More
  • Amazon Case Analysis
    3438 words | 14 pages

    website is important .(Pg 91 saunders) Commitment to e-commerce has to be maintained, by keeping ahead of the technology curve, Amazon’s one-click technology is important in keeping customers visiting.(pg 32-33 saunders ) Porters 5 forces analysis The threat of Entry * How will….

    Show More
  • Strategic Management & Business Policy
    5604 words | 23 pages

    y Strategic Management & Business Policy, 12e (Wheelen/Hunger) Chapter 1 Basic Concepts in Strategic Management 1) Strategic management is one decision that determines the short-term performance of a corporation. Answer: FALSE Diff: 1 Page Ref: 5 Topic: The Study of Strategic Management 2) In the externally oriented planning phase, plans are developed by heavily involving the input of managers from lower levels. Answer: FALSE Diff: 2 Page Ref: 5 Topic: The Study of Strategic Management 3)….

    Show More
  • Dell Computer Corporation – Strategy and Challenges for the 21st Century
    16122 words | 65 pages

    sustain its core strengths and achieve its mid-term and long-term strategic goals and objectives. 1. THE BCG GROWTH SHARE MATRIX Source: BCG (2006). The Growth-Share Matrix. www.bcg.com [Accessed: September 20, 2006] Like many multi-national companies, DELL sells and markets different products and services. Therefore, it is important for DELL to ask itself how these products and services or Strategic Business Units should be managed in order to boost its overall performance….

    Show More
  • Xs Energy Drink Marketing Plan
    5445 words | 22 pages

    . . TABLE OF CONTENTS Executive Business Summary 1 Mission Statement History of XS Energy Growth of the Business Market Potential PRODUCTS 2 13 Flavors of XS Energy Drinks Situational Analysis 3 Internal Strengths and Weaknesses External Opportunities and Threats MARKET ANALYSIS 4 Target Market Identification Market Demographics Product Market Grid MARKETING STRATEGIES 5 Product Strategy Price Strategy Promotion Strategy Distribution Strategy FINANCIAL SUMMARY 6 Cost….

    Show More

Popular Essays