Strategic Management Question 2) the Research Proposal

Evidence of FedEx's success can be found in Dahl's departure from the U.S. market. FedEx has several strengths, including a strong culture, established transportation networks, powerful brand and favorable plane lease terms. Weaknesses include being exposed, full force, to the business cycle. Another weakness at FedEx is the Kinko's unit, which has failed to generate synergies and seldom turns a profit. There remain opportunities to develop overseas businesses, and further opportunities to increase its presence in customs, LTL and other key transportation-related industries.

FedEx has a very strong competitive position.They are the #1 player in the key overnight business. FedEx and UPS have essentially an oligopoly, in which the two companies can manage their costs and prices in concert. The most significant strategic issue is that of the economy, which is hurting FedEx's customers. This reduces FedEx shipping capabilities. The second strategic issue will be the fuel costs. This may force the company to rethink some aspects of its business model going forward. These issues will drive the company next year and into the next five….....