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FedEx Express - Essay Example

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FedEx Express Abstract: From Federal Export to FDX then FedEx and all its subsidiaries and acquisitions is been discussed. The shining star of FedEx Corporation is FedEx Express. From its starts to struggle, during subprime crisis then European economic slowdown to the rise of South East Asian market and shift of the center of mass of the global economy from western world to eastern world FedEx Express was in business and continuing it prominently because of its strategic management and superior marketing team…
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FedEx Express
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FedEx Express

FedEx started its business long back in 1997 as a logistics services company which specialization was import/ export division with the name FDX. But it started its full operation in 1998 after the acquisition of Caliber System Inc. After that it started ground services with express shipping. Caliber handled the small package ground service and RPS; Viking Freight handled the less than truck loads throughout the western United States, Roberts Express handled the shipping services, airfreight services between Caribbean and United States handled by Caribbean Transportation Services. For technology solutions it got help from Caliber Logistics and Caliber Technology. Later in 2000 FedEx bought Tower Group International which was a logistics services company working internationally and WorldTariff which was a tax and customs duty organization. And then merged those two organizations, and form FedEx Trade Network. (FedEx Express, 2013) The main line of business of the FedEx Express: Later in 2004 FedEx Corp takes over Kinko’s Inc. and set up FedEx Kinko’s. After this merging FedEx not only became a logistics provider for organizations but it enhance its operation to the individual public. After that all the FedEx Kinko retail stores starts offering shipping exclusively but later in 2008 FedEx exclude Kinko’s name from its name and made it FedEx Office. During 2004, FedEx bought Parcel Direct and renamed it as FedEx SmartPost. FedEx Express is an airline service which only dealt with cargo. In terms of freight tons it is the largest airline of the world and in terms of size of the fleet the fourth largest airline of the world. Names of the countries in which the FedEx operates: FedEx Express served to 375 destinations every day to almost all the countries. As the largest express transportation company of the world it headquarters in Memphis International Airport except that in United States of America its national hub is in Indianapolis International Airport. Other regional hubs in United States of America are Ted Stevens Anchorage International Airport, Oakland International Airport, Newark Liberty International Airport, Fort Worth Alliance Airport and Miami International Airport. Outside of United States of America other regional headquarters are like Paris-Charles de Gaulle Airport, Guangzhou Baiyun International Airport, Toronto Person International Airport and Cologne Bonn Airport. Another airport which was about to open for FedEx Express was Piedmont Triad International Airport. 4P's marketing mix concept by the FedEx: Competition: Competitors for FedEx are ARAMEX, BAX Global, Choice Logistics, DHL Express, Purolator Courier, TNT N.V., United Parcel Service etc. Other freight competitors for FedEx Express in international market are like DHL, UPS (United Postal Service) from United States. And from foreign countries like Deutsche Post, TNT N.V. Except them others are like freight forwards, and other passengers and cargo airlines. Many competitors of FedEx are government controlled or subsidized organizations. Because of that those organizations have better resources; costs of services are low, low profit margin and favors regarding government policies and rules-regulations. Target market: FedEx made a seven year contract in ... Read More
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