Introduction
FedEx Corporation is company based in Memphis, Tennessee in the United States of America
that deals in courier delivery services. Between the years 1973 to 2000 it was known as the
Federal Express. FedEx operating system is organized in semi-independent operating units which
have their own version of the Wordmark logo which were originally created by Landor
Associate’s leader known as Lindon in the year 1994 in San Francisco. The word Fed is written
in the color purple which is the standard for all its trademarks while the word Ex is written in a
different color which depicts its unit in the FedEx operational structure. For instance, FedEx
home delivery services, a division of FedEx ground delivery services “Ex” color is green.
We can use SWOT analysis to understand how internet has affected the operations of FedEx
Corporation.(Simmonds, 1981) With a market capitalization of over $36 billion and average
revenue of over $42 billion in the last three years which have generated an average $1.6 billion
dollars in net income for the last three years, we can be certain that the policies being undertaken
are making a positive growth in the corporation. www.Yahoo.finance
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The major strength of FedEx lies in its huge capital base, its experienced and professional work
force. The adoption of advanced information technology in its operational units has positively
improved its delivery services. FedEx SmartPost which has a grey “Ex” undertakes the
consolidation of parcels from all merchants including those from the e-commerce and other
catalog firms by also incorporating the services of United States Postal Services for ultimate
delivery. This service was initially being provided by Parcel Direct before it was acquired in the
year 2004 by FedEx Corporation. www.FedEx.com
FedEx Office, initially FedEx Kinkos, which has a blue “Ex” is a unit of FedEx that offers digital
printing, photocopying, and document creation, rentals of computers, graphics, shipping and
internet access. FedEx office has a web-based printing service as well as direct mail. All these
services have been facilitated by the use of the internet.
FedEx can integrate the modern real time technology in checking and following up of the
delivery processes by confirming the dispatch of parcels and the estimated arrival time. These
will help ease the anxiety that builds up when important parcels delay or are held up for reasons
which are beyond the control of FedEx operations.
Internet use has grown and expanded considerably in the last decade and its spreading at a very
high rate. E-commerce has gained a lot of popularity worldwide and its becoming significantly
important in many sectors that includes their application in private and public companies, homes
and other small businesses. The estimated e-commerce business generated $230 billion in the US
alone in the year 2008. www.forrester.com/ER/Press/Release/0,1769,823,00.html,
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The global competition and the economic life of most business depend heavily on time factor.
Sale and acquisition of products can be transacted and concluded in matter of minutes. The use
of internet has shortened the business circles of most companies.
The use of internet has opened new opportunities globally for FedEx as some of its transactions
are web based and they can be transacted in any part of the globe. However, the greatest
weakness and threats facing FedEx and other companies that base some of their services on the
internet is the danger posed by such factors as system failures and rampant hacking by rogue
computer experts and deadly computer viruses.
FedEx has successfully integrated the use of internet in most of its services worldwide. Though
it’s facing tough competition from their major competitor Universal Parcel delivery services
(UPS), FedEx still remains the market leader in Parcel deliveries worldwide.
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