Strengths

• Strong Brand Name/Image

• Strong Revenue Growth

• Large-Scale Operations

Strengths (contd.)

• New and growing use of Technology

• Three decades of Logistics Experience

Strategic Planning on Strengths

• Meets needs for delivery• Includes overnight shipping

• Independent Networks meet different customer needs

• Sustain loyal relationships with customers and investors

• Diversify the workplace

Weaknesses

• Relative small size

• Lower margin

• Less competitive ground shipping

Relative Small Size

• UPS is twice the size in terms of market capitalization

• 2012 Revenue• UPS: $54 billion• Fedex: $43 billion

Lower Margin

• Net Profit Margin 3.1% - 2012 Annual Report

• Difficult to tackle rising fuel cost

• Current investments yielding lower than cost of capital

Less Competitive in Ground Shipping

Strategic Planning

• Enhance integration between air and ground shipping as well as information systems

• Cut environmental costs and launch environmentally friendly campaign

OpportunitiesIntermodal Freight Shipping and Container StorageUse Cooperative StrategiesOnline Shopping

Globalization of tradeMergers and Acquisitions

Intermodal Shipping and Storage

• Textainer Group Holdings and CAI International have seen a consistent rise in demand for container shipping and Storage.

Online Shopping

Opportunities

• Local Competitors with less-competitive service or products.

• Cooperative Strategies in Foreign Countries

• Acquire smaller companies to increase market share

Threats

• Increasing transportation costs• Rising fuel Prices

• Economic slowdown in U.S. causing fewer purchases

• Substitutions• UPS, GDEX, PosLaju, ABS, TNT, USPS

Threats (contd.)

• Online Competitive advantage of rivals

• Increasing ease for companies to cut out “middle man”

• Green initiators make it costly to keep up with standards

Threat Solutions

• Ease into more electric transportation on domestic level

• Offer deals to promote purchases with less concern for shipping costs

• Market services better. Constantly improve customer service.

• Stay ahead of competitors with online shipping technology and service

• Improve areas that lead customers to shipping solutions other than FedEx

• Comply with Green standards to cut costs and attract customers

Works Cited• http://static.cdn-seekingalpha.com/uploads/2012/9/2214541_13467824927223_2_t

humb.jpg

• http://news.van.fedex.com/fedex-named-among-fortune-magazine%E2%80%99s-2013-%E2%80%9Cbest-companies-work-%E2%80%9D

• https://secure.bluenile.com/billing-address.html?track=overlay-guest

• http://static.seekingalpha.com/uploads/2012/3/23/104409-13324970482757564-Bachar-Samawi.jpg

• http://www.flightglobal.com/blogs/aircraft-pictures/assets_c/2009/04/Fedex%20Fleet-thumb-450x322.jpg

• http://www.optimizationweek.com/reviews/shipping/fedex.gif

• http://www.forbes.com/fdc/welcome_mjx.shtml

• http://www.fastcompany.com/1716317/fedex-vs-ups-numbers

• http://www.atlasvanlines.com/fuel-costs/fuel-cost-chart.jpg

Works Cited (contd.)

• http://www.greenbiz.com/sites/default/files/inline/042010fedex-inline2.jpg

• http://www.mbaskool.com/brandguide/transport-and-logistics/2689-fedex.html

• http://www.fedex.com/us/investorrelations/financialinfo/2008annualreport/msg_chairman.htm

• http://tedsgallery.com/pics/ups-fedex-usps-logo.gif

• http://corporate.walmart.com/our-story/our-stores/logistics

• http://www.forbes.com/fdc/welcome_mjx.shtml