The Federal Express 's Value Creation Frontier Essay

1700 WordsJan 23, 20157 Pages
Abstract This paper will analyse the Federal Express’s value creation frontier for purposes of determining and/or finding out which of the four building blocks of competitive advantage is fit for use by this firm for it to maintain its above average profitability. It will discuss the company’s aspect of product differentiation and capacity control to be used in order to maintain an edge over the company’s rivals. Here, we will also assess the efficiency of the Federal Express current business model and further recommend a new business-level strategy that gives the company a competitive advantage over its rivals, and lastly, examine how overall global competition may and/or will impact the new recommended business strategy and in which way will the company confront this global completion. Introduction Initiated in 1971, the Federal Express company has been transforming and/or evolving and thus at the moment, it is not just an express delivery company but it has widened its scope from that to being a globally recognized logistics and supply chain management company. (Hill & Jones, 2013), noted that the company, since the launching of the internet in 1994 has largely invested in information technology systems, thus integrating their systems in order to provide services throughout its customers’ supply chains. Federal Express has also built a powerful technical architecture, pioneering it into e-commerce with the investment in the system’s infrastructure throughout the years and
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