Marketing Essay – FedEx Corporation

feed acquired Kink in 2004 for $2. 4 billion, expandinning its presence among small and midsized businesses that have long been Kinks main customer base. provide Chairman stated it was supremely logical for them to offer arrives to the whitewalls and office ingredient that are analogous to what they offer their corporate customer base (Deutsche, 2003). Fed has a more defined white-collar customer base, mainly consisting of fast-cycle logistics shippers pursuance time-definite morning deliveries (Richer, 2009).Their services will meet demands for time-definite morning deliveries to wholesalers, (ibid. ) manufacturing businesses, retail stores, and high-value right-hand(a)s. 10 Recommendations Although Fed has been successful in moving into the international arena, it still does not have a competitive advantage in the shipping industry. Its hirer competitor, UPS, controls the ground shipping market (see Appendix A), guaranteeing them a large piece of the internal market mete o ut.Fed should maintain a controlling stake in the express delivery market while increasing their market share in domestic ground delivery, by further differentiating itself from UPS through establishment and service offerings. Securing more business partnerships, eve at slightly rase margins, will religious service develop brand loyalty. This is especially true of long-run contracts with large firms. Studies predict the international package market will incur by 5-6% in the coming ears, nearly double the expected one-year growth in world GAP (Waistlines, 2014).Fed should continuously invest capital of the United States in Asia, whilst penetrating into foreign markets by partnering with local carriers. This will progress to them valuable insight into a relatively foreign and unknown market. getting smaller shipping companies, such as Excel (I-J) or theorise (France) also increases their international reach. Fed could seek alternative energy sources to crucify their operat ing costs. Investing in solar power or bio-fuels could help counter additional costs due to increased fuel prices.Fed should utilize economic aircrafts to increase their carrying capacity, thereby reducing the number of operating planes. Lastly, by forging strategic alliances with oil and gas suppliers, they could bargain for discounts, whilst curtailing the negative make associated with volatile oil supplies. Looking forward, Fed has positioned itself for growth opportunities in the domestic and international arena. It has exhibited an exceptional track record of international expansion and good financial restraints during times of easy credit, proving it can operate successfully even in a tough economic climate.