Fedex its business environment and who they are

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Fedex its business environment and who they are

FDX are two leading delivery services companies and main competitors to each other, at least in the public eye. But to those following them closely, the two companies are actually quite different in their business models and strategies.

Fedex its business environment and who they are

While UPS is wildly known for its domestic ground package delivery, FedEx is mostly recognized for its worldwide air express freight.

The two companies also differ in terms of their approaches to serving customers, how they have fared in the e-commerce environment and the different business structures unique to each company.

Express Service Package delivery and express service are where the two companies have made names for themselves. Although each company has other delivery services that make everything they do seemingly overlap, such as UPS also being a common carrier in air freight and FedEx having a similar package delivery unit called FedEx Ground, the reality is UPS' ground package business and FedEx's air express operation are, respectively, the bread and butter for each company.

UPS delivers packages worldwide on every day except Sunday. InUPS delivered around 20 million packages and documents each day, which totaled 5. FedEx in its own right generates over half of its revenue from its flagship FedEx Express division by flying about 6 million packages a day to more than countries and territories around the world.

When it comes to business models, the two companies have each found their different business niches, with UPS focusing on small package delivery and FedEx specializing in time-sensitive express service.

FedEx Office The UPS Store and FedEx Office are retail outlets set up by the two companies to bring in individual shipping orders for their respective package delivery and express services. Having such stores and offices also represents the different approaches by UPS and FedEx to serve their customers.

While both outlets provide shipping, packaging and certain office supply services such as copying and printing, they attract different kinds of customers because of the different nature of each company's underlying delivery business. The UPS Store is often a relatively small retail setting, independently owned by franchisees.

It primarily serves retail customers and small businesses for their small package delivery needs plus certain postal and shipping-related services. FedEx Offices usually occupy large spaces, really resembling big offices, and are corporate owned. FedEx Office can provide sophisticated equipment such as digital photo kioskslaser printers or desktops with image scanner and Adobe design software.

FedEx mostly attracts retail customers and corporate clients who prefer, and can afford, the kind of express service offered. As more people make purchases regularly online, merchants on the Internet are increasingly pressured to make their offline delivery of goods on time to customers.

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They see logistics as having a much bigger role in retail success, and to help themselves better navigate through the e-commerce way, online merchants rely on package delivery companies such as UPS to make the final connections to their customers.

As a result, UPS has seen increased demand for its business and even struggled to keep up its capacity during times of heavy shipping orders. The same positive business effect cannot be said for FedEx.Investigate the different business models and strategies for UPS and FedEx, two companies that seemingly compete for the same delivery business.

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