Recommendations of The Battle For Value 2004 Fedex Corp Vs United Parcel Service Inc Case Solution

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Recommendations of The Battle For Value 2004 Fedex Corp Vs United Parcel Service Inc Case Study Solution

On the basis of above internal and external analysis of the company together with the evaluation of numerous options, the business is advised to think about alternative 3. As alternative 3 would allow the company to expand in global markets without any decrease in its local earnings and any deterioration of its market position. By considering Alternative 3, the company might preserve its shop experience and brand uniqueness. Nevertheless, it could also think about alternative 2 that might enable the company to access the marketplaces without any possible investment. Although, the business could pursue alternative 1 which would make it possible for the company to focus on prospective international markets rather than the regional markets however as the company is extremely based on the local markets with 90% of its shops in the US, there fore pursuing alternative 1 would lead to the significant decrease in business's income. Therefore, the business is advised to think about alternative 3.

Aletrnative-1: Expanding International Brick and Recommendations of The Battle For Value 2004 Fedex Corp Vs United Parcel Service Inc Case Solution Stores

The company has a long term market position in US which can not be produced soon in the new markets. The option would assist the company to expand in global markets along with the removal of concerns raised in its local markets related to its variety.

Pros:

• Expedition of new global markets.
• Boost in profits from international markets.
• Elimination of problems connected to variety.
• Profits diversification.
• Action towards being a strong global brand name.

Cons:

• Loss of comprehensive revenues from the regional markets.
• Increase in competition.
• Differences in cultures might resulted in a failure of the brand specifically in Asian nations.
• Low incomes at initial levels.
• Increase in marketing expenditures to get market share.

Alternative-2: Introduction of Click and Recommendations of The Battle For Value 2004 Fedex Corp Vs United Parcel Service Inc Case Analysis Stores

Alternative 2 consists of the intro of online market locations through producing a proper company's website. With the increased trends towards online shopping, the online stores like Amazon, Alibaba etc. could position an extreme danger to the marketplace share of company. The competitors are moving towards click and Recommendations of The Battle For Value 2004 Fedex Corp Vs United Parcel Service Inc Case Help stores with Gap presenting Piperline. This shift towards online markets might minimize the incomes for business. In this circumstance the business could consider introducing Click and Recommendations of The Battle For Value 2004 Fedex Corp Vs United Parcel Service Inc Case Solution shops. These shops with a low requirement of funds to settle would make it possible for the business to reach worldwide markets, without ending its domestic stores. The benefits and drawbacks of option 2 are given as follows;

Pros:

• Low financial investment
• Reducing competition hazard
• Access to the world markets
• Increasing the size of consumer base
• Easy to manage
• Big Incomes
• Low Operating Costs
• Easy new market entrance

Cons:

• Threat to the market position
• Elimination of brand Uniqueness
• Elimination of the excellent shop experience.
• Danger of decline in elite sales.

Alternative-3: Expansion towards International Markets Without closing Domestic Stores

Another option that the business could consider, is to broaden towards the worldwide markets without closing its domestic stores that adds to the huge part of profits of the company. The pros and cons related to Alternative 3 are offered listed below;

Pros:

• Minimizing competitors danger
• Access to the world markets
• Enlarging customer base
• Big Revenues
• Expedition of new global markets.
• Increase in income from international markets.
• Revenue diversity.
• Action towards being a strong global brand.

Cons:

• Extension of concerns associated with variety.
• Differences in cultures could caused a failure of the brand name specifically in Asian countries.
• Low earnings at initial levels.
• Increase in marketing expenditures to acquire market share.



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