FedEx Corporation Strategic Management Project Prepared for: DR. Robert Ch. Wood BUSINESS 189 – Strategic Management Prepared by: SAN JOSE CONSULTING GROUP: Billy CRANE Brad LANDTHORN Bob MIRI Jeremy RELPH Chris SANCHEZ Andrea VERNEROVA December 9‚ 2003 TABLE OF CONTENTS EXECUTIVE SUMMARY ……………………………………………………………… 3-5 Chapter I: HISTORY
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Introduction 2 1.0 Measurements of success 2 2.0 Reasons underpinning FedEx Corporation’s success 4 2.1 Strong Brand Image 4 2.2 Employee Service and Customer-oriented 4 2.3 The innovation technology 4 2.4 Innovative Culture 5 2.5 Strong Infrastructure 5 2.6 Large customer base and customer loyalty 6 3.0 Strategy Capability 6 3.1 Value chain 6 3.2 VRIN framework 9 3.2.1 Value: 9 3.2.2 Rarity: 9 3.2.3 Inimitability: 10 3.2.4Non-substitutability: 10 4.0 International Strategy 11 5.0 Leadership of FedEx
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Introduction FedEx a courier company head quartered in Memphis‚ Tennessee United States. The company was founded in 1970’s for overnight shipping purpose. The company is primarily associated with document shipping and express packs. Basically it is the American association but is expanding otherwise as well. Target Market Target market of FedEx includes; • Embassies and other governmental institutions • Small business owners and professionals that are in need of professional connections at
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only increase revenues‚ but will also gain customer support by offering a new service. Although the express-delivery industry is extremely difficult to differentiate‚ it is necessary for Airborne express to keep up with Federal Express and United Parcel Service to ensure they maintain a competitive advantage in the industry. While UPS is experiencing a strike‚ Airborne Express should take advantage of the distance-based pricing and possibly gain customers of UPS who saw RPS as a luxury service.
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Fedex Porter’s five forces Introduction There is no doubt that FedEx Freight is a leading U.S. provider of less-than-truckload (LTL) freight services. It is known for exceptional service‚ reliability and on-time performance. (History of FedEx Operating Companies About FedEx) With the rapid rise of virtually instantaneous electronic mail‚ some wondered if FedEx overnight mail delivery was as important as it was in the past. Margaritis pointed out that the company received only 9.3 percent of its revenue
Free Express mail TNT N.V. Porter five forces analysis
Airborne Express‚ an air express transportation company has succeeded to compete with a few big competitors such as Federal Express and United Parcel Service (UPS) even it does not have funding as much as its competitors. In 1996‚ it held third position in the industry with 9 percent of the market. Even Airborne is smaller size company compared to its main competitors‚ it still can survive with the competitive advantage through its resources and capabilities. With some unique resources and core competences
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Current Situation The overall performance of United Parcel Service (UPS) during the past year was good. The company ’s ROI for the last five year is 14.27 while the industry average is only 12.70. UPS is the market share leader in the express delivery market with a 53% share of the market‚ and 50% in the ground shipping industry (Lazich‚ 2007). Based on its Net Profit Margin‚ Return on Assets‚ and Earnings per Share the company ’s profitability is strong. Overall‚ UPS performed well in 2006
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asset-oriented manufacturing approaches: Manufacturers demanded closely managed inventories because of rising inflation and global competitiveness‚ which created a higher demand for FedEx’s rapid and carefully monitored movement of packages. United Parcel Service‚ Inc. UPS was founded in 1907 and the post-World War II was the strongest growth period for the firm. In the 1970s‚ UPS held the most shares in the express package industry. UPS was much larger than FedEx but began competing in the overnight
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CASE STUDY – UPS – United Parcel Service Inc. US$42.6 Billion This article is excerpted from E-Volve-or-Die.com: Thriving in the Internet Age Through E-Commerce Management‚ by Mitchell Levy (New Riders Publishing‚ 2000‚ ISBN 0-7357-1028-7). www.ups.com History of Transformation UPS has been in the package delivery business for 95 years‚ providing services to businesses and consumers worldwide in more than 200 countries. In 1994‚ UPS began to investigate the potential of e-commerce and started
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