Deutsche Post World Net has a unique spectrum of international services including brands DHL, Deutsche Post and Postbank with different types of services. Thus, we have decided to focus on DHL in this analysis in order to better understand to strategic position within logistic services.
▪ Deregulation and liberalisation of the airline industry ▪ Environmental regulations and protection
▪ Liberalisation of international trade
▪ International trade regulations and restrictions
▪ EU expansion(needs for infrastructure and information technologies)
▪ Economic integration
▪ Globalisation Economic growth
▪ Stage of the business cycle
▪ Consumer confidence
▪ Lifestyle Changes – global consumer
▪ Growing world population (increased urbanization and created more megatropolises)
▪ Developing of communication
▪ Development of infrastructure
▪ Energy use and costs
▪ Changes in IT
▪ Changes in Internet
▪ Changes in Mobile Technology
▪ Increasing pollution
▪ Oil consumption
Major competitors are global logistic groups, which operates on global markets, include FedEx, UPS, TNT, Kuehne+Nagel. However in Europe, due to the dominance of the national postal operators within their own markets, the majority of the leading players are subsidiaries of these key postal operators.
| |Turnover(milion €) |Countries |Employees |Vehicles |Aircraft | |FeDex |31 560 |220 |275 000 |42 000 |674 | |UPS |27 100 |200 |407 000 |91 700 |268 | |TNT |6 109 |200 |48 000 |19 000 |43 | |Kuehne+Nagel |8 609 |100 |25 607 |n/a |n/a |
Competitive advantage HOLKY
Focus of major players
DHL offers same day, express, parcel and freight services that are complemented by an Internet track and trace service. The company offers following international services: o Express services
o Air and ocean freight
o Industry solutions
o Logistics solutions
DHL specialize in cross-border express deliveries and provide Internet tracking and order fulfilment services.
DHL on European market
DHL's main market is according revenue Europe which DHL cover together with Deutsche Post in Germany. Thus, further segmentation is focused on European market. [pic]
Compiled from Annual Report 2005 DPWN
Next day delivery services are the most lucrative within the European express logistics market, accounting for 44.1% of its revenues.
Sources: Data Monitor
DHL on Asia market
Until 2009 China's average annual growth rate in international express business will be between 34 a 45 per cent. There is obviously huge potential and every Global logistic group wanted to catch the chance to obtain this market. China becomes the top market of DHL last year and they invested to this market about $900 million. DHL on US market
Us market accounts nearly half the worldwide total express traffic (DHL's American Adventure) In 2003 DHL buy Airborne Express and become the third largest express service provider in the USA. As a result of complex air and hub consolidation, in which DHL invested millions of dollars, DHL lost many of its customers and this market will...