Abstract The FedEx Corporation is an American originated couriercompany that was founded in 1971. There is a great deal of questions that areassociated with efficiency and how operations continue to improve. This paperwill describe the company with a brief overview, as well as the core businessand identify marketing trends. FedEx is mainly an import and export company andwill discuss the problems these services solve and problems that arise.
Thecorporation is a highly needed and is competitive industry, they have manycompetitors and will go over how this company differentiates itself from therest. Finally, discuss the 4 P’s – Product, Price, Place and Promotion of theservice that FedEx provides. The FedEx Corporation is headquartered in Memphis,Tennessee. It is a courier industry that was founded by Frederick W. Smith in1971. He proposed a system during his time at Yale University to accommodatetime-sensitive shipments, such as medicine and electronics (FedEx, 2018).
The”Federal Express” produces services for many communities around the world, itofficially began its logistics on April 17th, 1973 with 389 teammembers (About FedEx, 2018). That evening, 14 aircraft took off and delivered186 packages to 25 different cities throughout the United States (About FedEx,2018). In February 1989 FedEx bought the company Tiger International Inc.
, itincluded the acquisition of routes to 21 different countries and a fleet ofBoeing 747’s and 727’s (FedEx, 2018). At this time FedEx became the world’slargest full-service airline cargo company. It has since grown to 117,000 employees(GlobalData, 2017). According to the FedEx, their company’s mission is toprovide “superior financial returns for its shareowners by providing highvalue-added logistics, transportation and related business services throughfocused operating companies. Customer requirements will be met in the highestquality manner appropriate to each market segment served (FedEx 2018).” Thismission statement is valuable to employees because it clarifies the overallpurpose of the company, in a way that may be applicable to each position. It isimportant for an employee to feel valuable, this makes them more productive. FedExmanages a board profile of transportation, e-commerce and business services.
Thecore business of FedEx is to maintain its industry-leading operating marginsthrough innovation and automation, low cost and excellence in execution. Theinnovation and automation grounds to build a better business that increased theefficiency, speed and reliability of delivery. Advanced mapping and addresstechnology improves precision in planned pick-ups and deliveries. Technologicaladvancements and automation will lower the cost across the board by putting thepackage in the right place and removing human-made errors out of the calculation(About FedEx, 2018). FedEx plans tomaintain its brilliant customer service and wants to ensure the properexecution of its service at all times. Whether you choose to ship a package by ground or freightFedEx will have the solutions one needs to get the product to the right place,at the right time. It provides services throughout the United States as well asinternationally.
Services range from Pick Up & Delivery, to Supply ChainManagement for small companies FedEx has distribution services forpharmaceuticals with enhanced shipment monitoring as well as aerospacesolutions, helping to build aircraft and maintain them (GlobalData, 2017). FedExmaintains its high standards using the best equipment. The company relies heavilyon their diverse fleet of aircraft. Oneof the largest aircraft that FedEx has is an Airbus A600F, with a max payloadof 105,000lbs and a range of 2,700 miles (FedEx Aircraft, 2017). The couriercompany has also broadened its scope of practice with the purchase of major freightcompanies such as; American Freightways and Viking Freight. The addition ofthese freight companies has allowed Fedex to excel in major logistics. This is asmall part of a long list of ways in which FedEx provides its services tocustomers around the world.
The air courier is an industry in the world that isincreasing rapidly. Some of the competitors to FedEx include; UPS and DNLExpress. The United Parcel Service is FedEx’s number one competition within theUnited States; with the increasing levels of quality, lowering cost andincreasing customer satisfaction (Business Insights, 2017). The products thatFedEx offers are a wide range of services across the globe. This includes:shipping, tracking and managing all of your shipments (Business Insights, 2017).Price of the service depends on the size of the product, and this increasestheir margins.
Earlier in FedEx they used to ship by weight, but that took upspace during transportation, even though it might only weigh a few pounds. ThePlace, is all across the globe, they give good customer tracking. People areable to sign up for an account with FedEx and have things scheduled for pickup. One of FedEx’s Promotions is FedEx Cares campaign and they focus on 5aspects, Delivering for good, sustainable transportations, employment pathways,road safety and global entrepreneurship. They engage many different promotionalaspects and with a rapidly increasing global market FedEx will need to stayahead of its competitors.