Sales Force Integration at FedEx Harvard Case Solution & Analysis

Strengths

Strengths of the FedEx include:

1)      FedEx Corporation has strong brand image and recognition.

2)       It has great reputation for on-time delivery of services.

3)      FedEx has the clear market leadership position in express delivery in U.S market.

4)      Acquisitions different businesses strengthen the position of the company.

5)      FedEx Corporation Offer bigger variety of shipping services

6)      The only U.S all cargo carrier with service to China.

7)      The company has the better product life and durability.

8)      They focus on the satisfaction of the customers by continuously innovation.

9)      Diversified Business Operations is its key strength.

10)  FedEx Corporation has the largest market share in the airborne services.

11)   Best use of technology and high investment in IT systems.

Weaknesses

     Weaknesses of the FedEx include:

1)      FedEx Corporation has weaker position in ground services

2)      Exposed to economic conditions and fuel prices.

3)      The dependence of the company on the US market.

4)      The market share growth is slow as this is the highly competitive industry.

5)      No significant differentiation among products and services of the firms that are competing in the industry.

Opportunities

Opportunities of the FedEx include:

1)      Strategic alliance as it will help the company to supply the wider customer base and improve its profit margin.

2)      The company can expand its online services.

3)      The company can also increase number of World Wide Hubs.

4)      International expansion means that FedEx can continue to expand globally especially in the Asian Markets.

5)      Growing global transportation services provide the company with an opportunity to expand its business in to other customer demanding global markets.

6)       FedEx Corporation should adapt the new emerging technology in their business since it would help them to reduce the operating cost and make the business work more efficient.

7)      The company can expand Viking Freight that will provide FedEx an opportunity to compete on the international market and gain larger global market shares.

8)      FedEx Corporation can acquire smaller companies in order to increase the market share.

Threats

Threats of the FedEx include:

1)      E-substitution like the e-mail and other forms of communication replacing the documents.

2)      Intense competition as the overnight packages delivery market had become increasingly competitive.

3)      Economic validity like increase in the fuel prices that could affect the company enormously.

4)      Worldwide government policies and procedures.

5)      Unpredictability of weather conditions.

6)      The investment community has the substitute option of selecting the UPS as UPS are stronger in ground services.

7)      UPS is gaining ground on the domestic airfreight market share.

8)      Changing demand of the market due to varying preferences and lifestyle of the customers.

9)      Competitors may lower their prices in order to switch the customers to other companies.

SO Strategies

  • The company should expand the portfolios its products in order to more strengthen its market position in the industry (O1, S4)
  • The company should take the advantage from the international expansion and should continue to expand in the global market especially in the Asian markets (O4, O5, S6, S10).
  • FedEx can also increase the number of online services and worldwide hubs by using their high quality technology (S11, O2, O3).

WO Strategies

  • The dependence of the company on the US market can be reduced by making more expansion into international markets where the chances of growth are more as compared to local market (W3, O4,O7).
  • By adopting new and innovative technologies the company can differentiate its products from its rivals (W5,O6).
  • FedEx Corporation could acquire smaller companies in order to increase the market share and growth of the company (W4,08).

ST Strategies

  • FedEx Corporation Offer bigger variety of shipping services in order to sustain their market position in intense competition as the overnight packages delivery market had become increasingly competitive (S5,T2).

They can acquire different companies in order to reduce the chance for customers to alter to substitute option of selecting the UPS as it is stronger in ground services (T6,T7, S4,S8,S11)..................................

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