Fed Ex Case Study
FedEx Case Study
Introduction:
FedEx has been around for many years. They were the first business in America to profit $1 billion in less than ten years. That predicted the future for their business because FedEx is now the number one provider of shipping and information services worldwide. Although, with all the success in the company lately they have been experiencing a downfall. They are having a problem because people are more likely to wait a longer time for their goods, rather than express delivery. They have been trying to keep the business on top so they continue making a good profit. The struggle for FedEx continues and here are the basics of the FedEx Company, along with benefits and suggestions to get away from this
Background:
Frederick W. Smith is the founder of Federal Express, an express transportation company, in 1973. When Smith was in college when he realized that the US was becoming service-orientated and needed a reliable, overnight delivery service company. As an undergraduate at Yale University, in 1965 he wrote a term paper about how the passenger route systems used by most airfreight shippers were economically inadequate.
He wrote about systems that should be designed specifically to accommodate time-sensitive shipments. Smith started his business in 1971. Smith then recognized the difficulty in getting packages delivered within one or two days. This motivated him to do all of the research and make a plan in order to fix the inefficient system. With this idea, FedEx was made. The company revolutionized global business practice and now examples speed and reliability. The company was incorporated in June 1971 and began operations on April 17, 1973. They first launched 14 small aircrafts from Memphis International Airport. Smith raises over $91 million in loans and equity investment within the first year. Although the company did not progress until July in 1975, FedEx became the premier carrier of high priority goods.
Introduction:
FedEx has been around for many years. They were the first business in America to profit $1 billion in less than ten years. That predicted the future for their business because FedEx is now the number one provider of shipping and information services worldwide. Although, with all the success in the company lately they have been experiencing a downfall. They are having a problem because people are more likely to wait a longer time for their goods, rather than express delivery. They have been trying to keep the business on top so they continue making a good profit. The struggle for FedEx continues and here are the basics of the FedEx Company, along with benefits and suggestions to get away from this
Background:
Frederick W. Smith is the founder of Federal Express, an express transportation company, in 1973. When Smith was in college when he realized that the US was becoming service-orientated and needed a reliable, overnight delivery service company. As an undergraduate at Yale University, in 1965 he wrote a term paper about how the passenger route systems used by most airfreight shippers were economically inadequate.
He wrote about systems that should be designed specifically to accommodate time-sensitive shipments. Smith started his business in 1971. Smith then recognized the difficulty in getting packages delivered within one or two days. This motivated him to do all of the research and make a plan in order to fix the inefficient system. With this idea, FedEx was made. The company revolutionized global business practice and now examples speed and reliability. The company was incorporated in June 1971 and began operations on April 17, 1973. They first launched 14 small aircrafts from Memphis International Airport. Smith raises over $91 million in loans and equity investment within the first year. Although the company did not progress until July in 1975, FedEx became the premier carrier of high priority goods.