PowerPoint Presentation

StrengthsStrong Brand Name/ImageStrong Revenue GrowthLarge-Scale Operations

Strengths (contd.)New and growing use of TechnologyThree decades of Logistics Experience

Strategic Planning on StrengthsMeets needs for deliveryIncludes overnight shippingIndependent Networks meet different customer needsSustain loyal relationships with customers and investorsDiversify the workplace

WeaknessesRelative small sizeLower marginLess competitive ground shipping

Relative Small SizeUPS is twice the size in terms of market capitalization2012 RevenueUPS: $54 billionFedex: $43 billion

Lower MarginNet Profit Margin 3.1% - 2012 Annual Report

Difficult to tackle rising fuel costCurrent investments yielding lower than cost of capital

Less Competitive in Ground Shipping

Strategic PlanningEnhance integration between air and ground shipping as well as information systemsCut environmental costs and launch environmentally friendly campaign

OpportunitiesIntermodal Freight Shipping and Container StorageUse Cooperative StrategiesOnline ShoppingGlobalization 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

OpportunitiesLocal Competitors with less-competitive service or products.Cooperative Strategies in Foreign CountriesAcquire smaller companies to increase market share

ThreatsIncreasing transportation costsRising fuel PricesEconomic slowdown in U.S. causing fewer purchasesSubstitutionsUPS, GDEX, PosLaju, ABS, TNT, USPS

Threats (contd.)Online Competitive advantage of rivalsIncreasing ease for companies to cut out middle manGreen initiators make it costly to keep up with standards

Threat SolutionsEase into more electric transportation on domestic levelOffer deals to promote purchases with less concern for shipping costsMarket services better. Constantly improve customer service.Stay ahead of competitors with online shipping technology and serviceImprove areas that lead customers to shipping solutions other than FedExComply with Green standards to cut costs and attract customers

Works Citedhttp://static.cdn-seekingalpha.com/uploads/2012/9/2214541_13467824927223_2_thumb.jpghttp://news.van.fedex.com/fedex-named-among-fortune-magazine%E2%80%99s-2013-%E2%80%9Cbest-companies-work-%E2%80%9Dhttps://secure.bluenile.com/billing-address.html?track=overlay-guesthttp://static.seekingalpha.com/uploads/2012/3/23/104409-13324970482757564-Bachar-Samawi.jpghttp://www.flightglobal.com/blogs/aircraft-pictures/assets_c/2009/04/Fedex%20Fleet-thumb-450x322.jpghttp://www.optimizationweek.com/reviews/shipping/fedex.gifhttp://www.forbes.com/fdc/welcome_mjx.shtmlhttp://www.fastcompany.com/1716317/fedex-vs-ups-numbershttp://www.atlasvanlines.com/fuel-costs/fuel-cost-chart.jpg

Works Cited (contd.)http://www.greenbiz.com/sites/default/files/inline/042010fedex-inline2.jpghttp://www.mbaskool.com/brandguide/transport-and-logistics/2689-fedex.htmlhttp://www.fedex.com/us/investorrelations/financialinfo/2008annualreport/msg_chairman.htmhttp://tedsgallery.com/pics/ups-fedex-usps-logo.gifhttp://corporate.walmart.com/our-story/our-stores/logisticshttp://www.forbes.com/fdc/welcome_mjx.shtml