Business Case Study: Alliances At Union Pacific

Decent Essays

Union Pacific has alliances with three other railway companies: Ferrocarril Mexicano, Transportacion Ferroviaria Mexicana and the Canadian Pacific Railway. As stated on the Union Pacific website, these alliances with three other North American railroads are key to “providing seamless service beyond Union Pacific’s traditional 23-state reach.” These partners include all of the major railroads in North America, which leads to allowing customers’ affordability and easy access in their markets.

Since relationships are already built with North American railway companies outside of the United States, Union Pacific can develop new alliances with companies that exist within the same company. With alliances to United States railway companies such as …show more content…

This could potentially expand the company’s reach from 23 states to all 50 – something that is unheard of now that would greatly expand the number of consumers for Union Pacific.

Kansas City Southern Railway would be another good company to form an alliance because of their size. The railway is the smallest Class I railway in the United States, which means that forming an alliance would be easy, given all Union Pacific could offer. With an alliance with this railway, Union Pacific could expand their tracks in the 10 states Kansas City Southern Railway runs through. Additionally, their company promises efficient market access, secure cargo, access to overseas markets and excellent customer service. With an alliance, these are all traits that would be passed to the Union Pacific name as well.

The American Alliance of Museums is the third alliance Union Pacific should join. As one of the oldest and most powerful companies in the United States, Union Pacific is able to aid the preservation of history with the alliance. By donating old train cars and materials to museums, it both preserves their history and promotes Union Pacific as a philanthropic

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