Fedex and Ups Comparative Analysis

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UESTION FOR DISCUSSION 1. FedEx entered in to China in 1984 through a joint venture, while UPS entered China in 1988 through an agent partnership relationship. Critically examine the contrasting strategies adopted by both the companies, while entering and expanding their service network in China. The case discusses in detail about the entry and expansion strategies of the two US-based logistics companies - FedEx and UPS in the Chinese market .The case examines the contrasting strategies adopted by FedEx and UPS in their efforts to establish presence in China. FedEx followed an aggressive, high risk, more investments approach to expand its services network in China which enabled the company to capture higher market share .On the…show more content…
To accommodate China's surging demand for international cargo transport, FedEx Corporation has accelerated steps to expand its business in China. On January 24, 2006, FedEx Corporation entered into an agreement with Tianjin Datian W Group Co Ltd :(DTW Group) to acquire DTW Group's 50% share of the FedEx-DTW International Priority express joint venture and DTW Group's domestic express network in China for approximately US$400 million in cash. This acquisition will convert the company's joint venture with DTW Group, formed in 1999, into a
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