News

Devry University

BIS 412

Professor Pinero

Corporation

The corporation I chose for my project is Federal Express (Fed Ex). Fed Ex is a publically traded shipping company that specializes in air and ground shipping as well as office and e-commerce solutions.

In the News Summary

Fed Ex recently purchased Dutch company TNT Express for five billion dollars. This expands Fed Ex’s reach in the European shipping and e-commerce markets. This places Fed Ex as the third largest shipper behind DHL and UPS. (Fairless, 2016)

The Competitive Environment

This news is relevant to our subject matter as it reinforces the competitive environment and the many factors that are associated with it. More specifically it relates to Porters Five Forces of Industry Competition (Dess, 2012). Two of Fed Ex’s major competitors are DHL and UPS. This merger allows them to substantially grow operations in Europe which allows Fed Ex to compete for the market share of business. However, Fed Ex must continue to use this analysis in order to maintain is competitive place in the market.

Managerial Implications

It would imperative for senior managers to continue to expand the global reach of Fed Ex. In doing so, a continual process of reviewing the competitive market will allow for growth opportunities not only in the European market, but other markets across the globe.

Works Cited

Dess, L. M. (2012). Strategic Management Text and Cases. Burr Ridge, IL: Mc Graw Hill.

Fairless, T. (2016, 01 16). EU approves FedEx acquisition of TNT Express . Retrieved from About Fed Ex: http://www.marketwatch.com/story/eu-approves-fedex-acquisition-of-tnt-express-2016-01-08-6485579