Fedex Strategy Analysis

Essay by landyxyUniversity, Master'sD, January 2007

download word file, 13 pages 4.7 1 reviews

1EXECUTIVE SUMMARY3

2INTRODUCTION4

3EXTERNAL ANALYSIS (PEST)5

3.1Political5

3.2Economical5

3.3Social5

3.4Technology6

4PORTER'S FIVE FORCES7

4.1Bargaining power of suppliers - High7

4.2Bargaining power of buyers - Moderate7

4.3Threat of new entrants - low7

4.4Threat of substitutes - moderate7

4.5Degree of Rivalry - High8

5COMPETITOR ANALYSIS9

5.1UPS9

5.29

5.3DHL9

5.4TNT9

6COMPANY ANALYSIS10

6.1Strategy10

6.2Marketing10

6.3Market Positioning11

6.4Financial Performance11

6.5Information Technology12

6.6Human Resource12

7CRITICAL SUCCESS FACTORS13

8SWOT ANALYSIS15

8.1Strengths15

8.2Weaknesses16

8.3Opportunities17

8.4Threats17

9RECOMMENDATIONS18

9.1Corporate Level18

9.2Business Level19

9.3Network Level20

9.4Functional Level21

10CONCLUSION23

11REFERENCES24

1Executive Summary

Federal Express (FedEx) Corporation is a global logistics and supply chain management company. FedEx has been known for their multiple innovations in information systems which they have integrated into their logistics and supply chain management systems. This case study analyzes strategies used by FedEx that helped earn its success as a global express transportation company. In addition to that, the report examines FedEx's reorganization strategies in becoming a company that offers more than express transportation and at the same time improve profitability of the company.

As FedEx invented the air/ground express industry, it was able to establish a reliable and reputable brand. FedEx was able to build a strong transportation and logistics infrastructure through acquiring its own transportation fleet and its initial merger with Parts Bank. FedEx also invested heavily in their IT systems and gained its success through its innovative software development that was able to integrate players in the supply chain.

2Introduction

Federal Express (FedEx) was formed in 1973 as an express delivery company. It then evolved to a global logistics and supply management company. The success of the Company was highly attributable to its extensive track records of investments and innovations in IT systems. The Company was able to link players in the supply chain and identified points along the supply chain where it...