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Federal Express
Beginning of essay
(FedEx) under the leadership of Fred Smith has been innovative from its very beginning. The very idea of a hub-and-spokes distribution system was revolutionary. Smith saw the air freight industry in the early 70’s as inefficient and unreliable. In the early stages Smith was quoted as saying, “ ....
Middle of essay
....ch day.
Customers tend to be loyal to a reliable company. For example, FedEx believes that customers will choose the more reliable of available shipping companies, even if that company is more expensive than the competition. Their success is evidence of this.
There is a high barrier to entry in this industry. The tremendous infrastructure necessary to compete with the likes of FedEx keeps out potential new entrants.
In the market segment where packages can be picked-up as late as 9:00 p.m..... |
| Number of words: 2404 |
Approximate pages: 9 |
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