.: 2. Warning to the FedEx What will they do?

Original Article

The Position of FedEx

Fedex position is like two strikes three balls in baseball game. Great effects from high oil price make them to think new strategy. Now, Fedex’s business strategy is focused on the managing cost. As raw material price is going up such as oil. Its service cost might increase, too. As price goes up, demand is going down. As demand and supply going down, revenue would fall. FedEx CEO already predicts glum economic situation for their next year. Rightnow, last shot for FedEx is international shipment. Even, FedEx revenue falls. Their international shipments were growing. They have to use this advantage to keep their business.

S.W. of The Fedex

Weakness part of the company is high price of using fee. Even, in my experience, I feel that they cost me too much for 1 box as around $45. They also asked me for insurance fee. I did object to not spend more money on delivering.

Strength Parts of the company are that they always consider customers' satisfaction and international delivery parts. As they started early their business, the other companies are hard to catch up FedEx brand name. Another strength of FedEx company CEO listen to the customers' opinion to reflect on FedEx company. It would increase customers' satisfaction

The main strategy for Fedex is that delivery as fast as they can in America. Nowaday, they expand their business area to the world. Their international parts of business are growing; however, quality of Fedex outside of America service is different from what America have. They need to develop their international market of business which also include E-business.

My Advise for the FedEx

As International business grow, FedEx have to increase their E-business to get more demand from customer. Fedex business strategy was focusing on the fast and safety delevery. They also satisfy the customers' demand. As raw material increase they have to spend their money wisely. Nowaday, most people went through E-business. They need to invest E-business to cover their weakness.

Reference

http://www.expeditersonline.com/artman/publish/article_005543.html

Woody Baird, "FedEx sees profit fall, glum forecast, http://news.yahoo.com/s/ap/20080320/ap_on_bi_ge/earns_fedex;_ylt=AnBW12DUl76QTExmif9u73j957EF,

3.20.08