Fed Ex Current Market Trends And Conditions

4915 words - 20 pages

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Current Market Trends and Conditions-FedExMarch 15, 2010University of PhoenixFedEx - Current Market Trends and ConditionsThe purpose of this paper is review the current market trends and conditions for FedEx. There are numerous ways that a company can become a success or become a failure. The market trends and conditions are just of those reasons. Team A has analyzed the market trends and conditions by reviewing FedEx's operating structure, competitors, the impact of government regulations, price elasticity of demand, along with a supply and demand analysis.History of FedExFedEx Corporation is responsible for the direction of FedEx which is comprised of FedEx Express, FedEx Ground, FedEx Freight, FedEx Office, FedEx Custom Critical, FedEx Trade Networks, and FedEx Services. FedEx started in 1998 and wanted to expand their express delivery service so that they could diversify their portfolio ultimately to compete in the market on a global scale. In 2000, FedEx acquired a new subsidiary called Tower Group International who is a leader in the business of international logistics and trade information technology. Through this acquisition, FedEx has become the largest-volume customs entry filer in North America and a leader in global ocean and air cargo distribution and trade facilitation.In January 2001, FedEx Global Logistics realigned to streamline the organization to further improve their customer service across the board. They bought out American Freightways and Viking Freight changing them to FedEx Freight encompassing the Eastern two thirds of the United States. In 2004 FedEx acquired Parcel Direct who is a leading parcel consolidator, which became SmartPost. This helped FedEx in its alliance with the U.S Postal Service and provided customers with proven cost effective solutions for low weight and time sensitive shipments within the United States.FedEx Operating MarketFedEx created a new market less than 40 years ago by providing customers with the next day just-in-time delivery services. FedEx currently operates in more than 200 countries making it a global market. FedEx is one of the most reliable shipping companies that has the capability to ship any package of any size locally or internationally. In 2009 FedEx expanded their global capabilities by intensifying their freight forwarding presence in multiple countries. According to Wikinvest, the new expansion should benefit FedEx's customers by:Enhanced global freight forwarding services and end-to-end multimodal solutions; Direct access to local personnel with industry experience and local expertise to meet customer needs; Expanded regional access to services, including international direct distribution, and supply chain visibility, online FedEx trade tools such as WorldTariff®, and trade and customs advisory services; and Increased access to the FedEx global network and seamless support across other FedEx operating companies in markets...

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