Recommendations of Fedex Corp Versus United Parcel Service Of America Inc: Who Will Deliver Returns From China Case Solution
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Recommendations of Fedex Corp Versus United Parcel Service Of America Inc: Who Will Deliver Returns From China Case Study Solution
On the basis of above internal and external analysis of the business along with the evaluation of various alternatives, the company is recommended to think about alternative 3. As alternative 3 would enable the company to broaden in worldwide markets without any reduction in its local incomes and any deterioration of its market position. The business could pursue alternative 1 which would enable the business to focus on potential international markets rather than the local markets however as the business is extremely reliant on the regional markets with 90% of its shops in the United States, there fore pursuing option 1 would result in the substantial decline in business's earnings.
Aletrnative-1: Expanding International Brick and Recommendations of Fedex Corp Versus United Parcel Service Of America Inc: Who Will Deliver Returns From China Case Help Stores
The business has a long term market position in US which can not be produced soon in the new markets. The option would assist the business to broaden in international markets along with the elimination of concerns raised in its local markets related to its diversity.
Pros:
• Expedition of new global markets.
• Boost in income from international markets.
• Removal of issues connected to diversity.
• Earnings diversification.
• Action towards being a strong worldwide brand name.
Cons:
• Loss of substantial incomes from the regional markets.
• Increase in competition.
• Distinctions in cultures might caused a failure of the brand especially in Asian countries.
• Low profits at initial levels.
• Increase in marketing expenditures to get market share.
Alternative-2: Introduction of Click and Recommendations of Fedex Corp Versus United Parcel Service Of America Inc: Who Will Deliver Returns From China Case Solution Stores
With the increased patterns towards online shopping, the online stores like Amazon, Alibaba etc. might pose an extreme risk to the market share of business. In this circumstance the business might consider presenting Click and Recommendations of Fedex Corp Versus United Parcel Service Of America Inc: Who Will Deliver Returns From China Case Help stores. These shops with a low requirement of funds to settle would allow the business to reach international markets, without ending its domestic shops.
Pros:
• Low financial investment
• Lowering competition danger
• Access to the world markets
• Enlarging consumer base
• Easy to manage
• Big Revenues
• Low Operating Expense
• Easy new market entrance
Cons:
• Hazard to the market position
• Elimination of brand Originality
• Removal of the excellent shop experience.
• Danger of decline in elite sales.
Alternative-3: Expansion towards International Markets Without closing Domestic Stores
Another choice that the company could consider, is to expand towards the worldwide markets without closing its domestic stores that adds to the major part of revenues of the business. The advantages and disadvantages related to Alternative 3 are provided below;
Pros:
• Decreasing competition risk
• Access to the world markets
• Expanding consumer base
• Big Incomes
• Expedition of brand-new international markets.
• Boost in earnings from international markets.
• Profits diversification.
• Step towards being a strong global brand.
Cons:
• Extension of concerns related to variety.
• Differences in cultures might caused a failure of the brand name particularly in Asian countries.
• Low earnings at preliminary levels.
• Boost in marketing expenditures to acquire market share.
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