...Non-cash Transactions 9 Conclusion 10 Works Cited 11 FedEx: Power of Global Trade Introduction The purpose of this paper is to analyze the annual report of a publicly traded company. I have chosen to review FedEx. This report will be reviewing the 2011 Annual Report issued by FedEx. The choice of FedEx is twofold. The first factor being that I am a little partially bias toward FedEx because I worked for one of their companies, FedEx Express, for over three years. FedEx Express was a fabulous company to work for because they offered a competitive wage and excellent benefits to part time hourly employees. The company’s ability to offer those competitive wages leads into the other factor, their impact on the global economy. FedEx is a massive corporation with reach to every market within the global economy. Their services are literally the life line that facilitates global trade. Without the air cargo industry, the global economy would be severely hindered. According to the FedEx 2011 Annual Report, 30% of the global GDP in 2010 was reliant by international trade of goods. In 1991, international trade was only represented by 3.7% of the air cargo industry. Based on FedEx analysis, in 2015 the international trade will be 17.7% of the air cargo industry. That growth in international trade is directly related to companies within the air cargo market, such as FedEx, continually expanding and developing more efficient means for delivery. Analyzing...
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...Abstract A leading company in the transportation agency, FedEx is known all around the world for its fast and on time delivery. Its slogan, “when it absolutely, positively has to be there overnight” says it all for the company. When one needs to get a package or parcel anywhere FedEx is one of the top choices. The company’s primary competitive advantage is its IT infrastructure. FedEx was the first to introduce a real corporate website where customers could print their unique barcode and have it picked up, track their packages and verify pricing and other helpful information. In this analysis different functions of the company are reviewed, such as different factors affecting the company, the key challenges and the recommendations to the company. FedEx: When it Absolutely, Positively has to be there Overnight About FedEx Headquartered in Memphis, Tennessee FedEx is the world’s express delivery. FedEx offers a variety of international packages and document delivery services to 214 countries, as well as freight services. On February 2004 FedEx acquired Kinko’s Inc. Now together the company provides document solutions and business services including copying, scanning, printing services, graphics, video conferencing, wireless and wired internet. FedEx is best known for its motto “when it absolutely, positively has to get there”. Fred Smith founded FedEx in 1971 and incorporated management philosophy that made FedEx a rapidly shining business in the industry. The principles...
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...market share for the reason that the main target of most of the consumers are those products with high quality offered at low price. It can also stimulate a greater demand towards the consumers: the reason why most of the customers or consumers are attracted to it. In addition, despite the low cost that they are offering their customers or consumers, quality is still not compromised with the amount which attracts the customers the most. Another is that goods and services offered at low prices with high quality is seldom present within the market another reason why the said strategy used by ALDI to generate sales results to a competitive advantage over those competitors. ALDI Company achieves its low cost strategy by using various methods. The first method they took is by buying large or more quantities of items from vetted suppliers that is capable of...
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...Express (FedEx) Corporation was founded by Frederick W. Smith in 1971 (Ferrell & Hartline, 2011). Formerly known as FDX Corporation, its headquarter is in Memphis, Tennessee, U.S. There are four segments that the company is divided into which are FedEx Express Segment, FedEx Ground Segment, FedEx Freight Segment and FedEx Services Segment. The FedEx Express Segment includes two companies which are FedEx Express and FedEx Trade Networks. In the FedEx Ground Segment includes FedEx Ground and FedEx SmartPost, For FedEx Freight Segment consists of FedEx Freight, FedEx Custom Critical and Caribbean Transportation Services. As for FedEx Services Segment comprise of FedEx Services, FedEx Office, FedEx Customer Information Services as well as FedEx Global Supply Chain Services. FedEx has experience tremendous success domestically and internationally since it began operations, however FedEx is still does not has the main market share in both markets as UPS dominates the ground delivery and DHL dominates the international express delivery. So in this paper, we will be answering three questions regarding FedEx’s methods of expansion, reasons for its global operations problems, SWOT considerations, competitive landscape and recommendations to encroach upon the two competitors. 2.0 QUESTION 1 Evaluate the methods used by FedEx to grow domestically and internationally. Why do you think that the company initially had problems in its global operations? 2.1 Evaluate the methods used...
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...CASE STUDY FOR FINANCIAL MANAGEMENT CASE 4: The Battle for Value, 2004: FedEx Corp. vs. United Parcel Service, Inc. VALUE CREATION AND ECONOMIC PROFIT I. OUTLOOK OF CASE 4 Case 4 mentions about the competition between two leading companies in package- delivery market. FedEx which is the largest foreign presence in China, with 11 weekly flights, serving 220 Chinese cities, so the company’s volumes in China had grown by more than 50% between 2003 and 2004. UPS which is the world’s largest package-delivery company and dominant parcel carrier in US, serving 200 cities in 2003. FedEx had virtually invented customer logistical management, and was widely perceived as innovative. Historically, UPS had reputation for being big, bureaucratic and an industry follower. Two companies have their own market, an individual characteristics, and inconclusive. Thus, not only based on the development and operation of the two companies, the analysis also relied on the special purpose financial ratios ( especially Economic Value Added (EVA), an effective measure and rapid for firm within an industry) to find which company has more competitive advantage. II. INTRODUCTION 1. FedEx corporation: [pic] FedEx, formally known as Federal Express, started delivering packages and freight on April 17, 1973. The company was...
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...Summary It will be provide the description about the FedEx (Federal Express Corporation) include industry type, competitors, leadership and so on. Also include the background and the internal and external problems like employee reward and recruiting. This report also provide the current leadership style and also the evaluation of leadership style which the basic reward system and motivated reward system. At the same time, describe of the internal leadership , which the Strength and weakness of leadership include the motivation relation, team dynamics, decision making and so on. In additional, we will show how the leadership strategy is going to affect the organization success and also provide the feedback and recommendations to achieved the company goals in the future and the increase of market share for the organization. 1. Introduction of Company Background Federal Express Corporation (FedEx) was built in 1971. The company was operating on 1973 and flies to 186 distributes within 25 cities in the US. However, in a 40 years later FedEx has grown to 658 aircrafts, deliver 7.500.000 packages per day and more than 220 countries around the world (FedEx, 2015). All this was a possible thanks to FedEx’s global acquisition strategy, the main competitive advantage, which has given the company a unique ability to access various markets around the globe. The multiple built firms and companies acquired by FedEx in various countries have all been integrated into a special...
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...CONTENTS I. Introduction……………………………………………………………………………….2 II. Company Overview……………………………………………………………………..3 Company Background……………………………………………………………...3 Services Offered……………………………………………………………………..4 SWOT Analysis……………………………………………………………………...5 III. Environmental Analysis………………………………………………………...……13 PESTEL Analysis…………………………………………………………………..13 Competition Analysis………………………………………………………………16 IV. Marketing Plan…………………………………………………………………………16 Marketing Goals…………………………………………………………………….16 Marketing Strategies……………………………………………………………….17 Marketing Mix……………………………………………………………………….20 Marketing Budget…………………………………………………………………..22 V. Recommendation………………………………………………………………….…..23 INTRODUCTION The competition in the business arena has been very stiff and complex. In this regard, the organization must be able to utilize a strategy and management system that will enhance the performance of the business so as to outgrow its rivals (2000; 2003). There are certain ways or techniques that can be considered in order to emerge and continue to be competitive within the market place. The marketing concept has been defined as ‘the key to achieving organizational goals’ and the marketing concept rests on ‘market focus, customer orientation, coordinated marketing and profitability’. In a profit making business the firm obviously has to try and achieve this level of customer satisfaction as a way of staying ahead of the competition and making a profit. Traditionally, marketing...
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...My presentation that I’m going to show you is about “The impact of CRM capability on innovation and performance advantages”. PRESENTATION My discussion is divided in that part: - Abstract show the motivation of this choose. not only the author’s motivation but also my motivation. - with Teory I would like to give you some key concept like the definition of Innovation and who signify for a firm to bring a new product in the market - Consequently I m going to show you the Main Research of Moustafa and Mahomed Battor from Tana University, Egypt, with their results - and in conclusion I will show you an example of application of that research into practice. I choose the new application of facebook produced by FedEx because at this time the most of the business is done in the social community and because it is a great example in which a big company promoting a new service or uses a new innovative way to promoting a existing services. Abstract CRM and INNOVATION are considered characteristics associated with competitive advantage. This presentation is about a research that investigates the mediating role of INNOVATION between CRM and PERFORMANCE on a firm performance because there is a lack of research on that. The authors use structural equation modeling to test the relationships among these constructs. At the end the results shows that: - the result supporting the impact of CRM and INNOVATION on performance - indicated that the indirect effect of CRM on firm performance through innovation...
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...TABLE OF CONTENT 1.0 Introduction 2 2.0 Measurement of Success 2 3.0 Reasons Behind FedEx Corporation’s Success 4 3.1 Excellent and Leading Service Quality 4 3.2 Effective Employee Management 4 3.3 Intended Acquisition Strategy 5 3.4 Sustained Innovation 5 3.5 Global Reach and Further Expansion 5 3.6 Pursuance of International Market Dominance 5 4.0 Justification of FedEx Corp. Success 6 4.1 Value Chain Framework 6 4.1.1 Support Activities 6 4.1.2 Primary Activities 7 4.2 VRIN Framework 7 4.2.1 Value 7 4.2.2 Rarity 8 4.2.3 Inimitability 8 4.2.4 Non – Substitutability 9 4.3 International Strategy 9 5.0 Contribution of Leadership 11 5.1 Traits Theory of Leadership 11 5.2 4E’s of Leadership 11 5.1.1 Envision 11 5.1.2 Enable 12 5.1.3 Empower 12 5.1.4 Energise 12 6.0 Challenge for Future Success 13 6.1 Intense Competition 13 Reference List 14 LIST OF FIGURES Figure 2.1: Annual Financials of FedEx Corp…….……………………………………………………………………2 Figure 2.2: FedEx Market Share…………………………………………………………………………………………….3 Figure 2.3: Air Freight & Logistics Market Growth…………………………………………………………………3 Figure 2.4: Customer Satisfaction Benchmark……………………………………………………………………….4 Figure 4.1: Porter's Value Chain Framework………………………………………………………………………….6 Figure 4.1.2: FedEx Primary Activities……………………………………………………………………………………7 1.0 Introduction According to Amsler et al (2010), the market of shipping and transport logistics has become a leading...
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...packages each business day (9,000 packages every minute) to over 200 countries worldwide. Question 1 UPS is performing very well in comparison to its closest competitors. UPS has 51% of the domestic air and ground package delivery market share by revenue, followed by FedEx (26%) and the U.S. Postal Service (17%). Between 1988 and 1999, UPS spent more than $1 billion per year upgrading its infrastructure to track packages precisely, deliver electronic proof of delivery, and manage shipments on-line. The new systems included electronic scanners, bar codes on packages, and computerized clipboards for all UPS drivers. By 1999, UPS could handle six times as many on-line tracking requests as FedEx. UPS made no distinction between the operating facilities for air and ground operations, like FedEx. All facilities were shared, including the single fleet of trucks that handled the pickup and delivery of all UPS shipments. The integration of its air and ground operations gave UPS the ability to optimize utilization of its assets while still meeting customer service requirements. Since the operations were integrated, a package marked for “Next Day Air” delivery could be transported by truck if that method of transportation was deemed less expensive and just as reliable. UPS’s sophisticated IT systems coordinated this process. UPS is likely to sustain the strong performance they have shown in the past. UPS management had decided to focus on three emerging trends that they...
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...number of employees). FedEx Express Company is a package services organization based in Memphis, Tennessee. They offer transportation services and house the world’s largest variety of shipments. In recent years, this company changed their services to offer other services besides express shipping. By FedEx expanding their services, it has helped their business grow in size now operating in eight different companies under the FedEx umbrella (History of FedEx, 2012). FedEx Express is the first overnight courier service that runs next day air service as wells as time-certain global service. FedEx Express controls the world’s largest domestic aircraft fleet, to include a large fleet of wide bodied domestic aircraft. This allows the company the capability of carrying more cargo shipments than any other airline or shipping company (History of FedEx, 2012). FedEx Ground assures day-confident delivery for Canada and the United States at a cost savings, when compared to the Express side of the company. They operate a huge fleet of vehicles that has independent owner and operators. These drivers are independent contractors that manage specific delivery routes and areas (History of FedEx, 2012). In addition to the two companies listed above, FedEx Corporation also has six other operating companies under its umbrella: FedEx Home delivery, FedEx Smart Post, FedEx Freight and FedEx Custom Critical (History of FedEx, 2012). These are subsidiary of FedEx Corporation, delivering packages...
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...Blue Sky University Student Research FedEx Corporation Tanan Jargalsaikhan Table of Contents Key Information 3 Business Description 4 Industry Overview and Competitive Positioning 5 Porter’s Five Forces model 5 SWOT analysis 7 Financial Analysis 8 Cash Flows 8 Common size statements 9 Evaluating Internal Liquidity 11 Evaluating Operating Performance 12 Valuation 14 Dividend Discount Model 14 Present Value of Free Cash Flow to Equity 15 Present Value of Operating Free Cash Flow 17 Relative Valuation 19 Investment Risks 20 Investment Summary 21 Conclusion 22 * Key Information Company name: FEDEX CORPORATION Exchange: New York Stock Exchange (NYSE) Ticker symbol: FDX Sector: Services Industry: Air Delivery and Freight Services Price: $166.11 (as of 30 January, 2015) Price Target: $189.13 Recommendation: HOLD / BUY * * Business Description FedEx Corporations (“FedEx”) is one of the largest operating delivery service companies within the United States as well as globally. The company was first founded in 1971 and today operates in over 220 countries with its headquarters based in Memphis, Tennessee. The company has over 300,000 employees worldwide. The revenue for 2014 was $45,6 billion and the net income was $2,1 billion. The firm is the prevailing leader within the delivery and freight service industry. This is substantiated through sales, profit, and growth. FedEx’s revenue is one...
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...FedEx FedEx is a company that provide logistical service. The company is well-known for transportation, e-commerce and business services. Reason behind succeed of the FedEx company has always been efficient information system. The business process will be discussed in the section of How FedEx deliver parcels. Company Mission and Goals “FedEx Corporation will produce superior financial returns for its shareowners by providing high value-added logistics, transportation and related business services through focused operating companies. Customer requirements will be met in the highest quality manner appropriate to each market segment served. FedEx will strive to develop mutually rewarding relationships with its employees, partners and suppliers. Safety will be the first consideration in all operations. Corporate activities will be conducted to the highest ethical and professional standards (FedEx, n.d.).” Company History According to FedEx, the company was originally founded by Frederick W. Smith; known as the chairman, president, and CEO of FedEx Corp. In 1965, it was during the process of writing the term paper; Smith got the ideal for FedEx. His term paper discusses leading organisations’ problem in the information technology sector. He also stressed on the point where most airfreight shippers did badly delivering urgent shipments because relying on passenger route systems. To solve the problem, Smith proposed a specific system to deliver time-sensitive shipments. On the...
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...transporting goods and services. The businesses that can leverage technological advances are in a position to garner market share and add value to their shareholders. FedEx has become a world leader in the parcel delivery business. The name FedEx evokes thoughts of getting packages to customers the next day. FedEx now is used as a verb to tell customers that a shipment will be sent so that it is received the next day. Delivering a product on-schedule is the result of multiple business processes working seamlessly to create a Value Chain that yields a firm greater profit over costs (Dess, Lumpkin, & Eisner, 2007). A primary activity of the Value Chain is Supply Chain Management (SCM). Supply Chain Management is the oversight of materials, information, and finances as they move in a process from supplier to manufacturer to wholesaler to retailer to consumer ((2006). Supply Chain Management Retrieved April 24, 2007, from http://searchcio.techtarget.com/sDefinition/0,,sid19_gci214546,00.html ) Running the full spectrum of products and services, companies rely on sound SCM procedures and techniques to move goods expediently, i.e. Levi promising next day delivery of Dockers to a retail store, or the Department of Defense shipping needed equipment to front line soldiers in the Global War on Terrorism. FedEx is in the business of providing businesses the ability to manage their supply...
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...Code of Ethics OMM640: Business Ethics and Social Responsibility Instructor: Erika O'Quinn 5/26/2014 Code of Ethics Perry's Outreach Ministries is a Christian non-profit organization that relies on government funding, and donations from members of the community. Perry's Outreach Ministries provides,counseling, non-perishable food items,clothing housing vouchers and childcare to the battered and abused women and children throughout the community. The overall mission of POM is to minister Gods word through Bible study, professionalism,participants rights to privacy, reliability,honesty and counseling services. The primary mission of the human service profession is to assist in the betterment of human life and necessaties of all people who may be viewed as vulnerable,oppressed, and living in poverty and unsafe environments. When dealing with the community it I crucial that a code of ethics is set into place where not only the employees but the volunteers follow and take seriously. A code of ethics for POM employee's and representatives: Employee's should obtain eduction about and seek to understand the nature of social diversity and oppression with respect to race, ethnicity, national origin, color sex, sexual orientation, gender identity or expression, age, marital status, political belief, religion, immigration status, and mental or physical disability. Employee's and volunteers should treat colleagues and program participants with respect and refrain...
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