Relationship Between Fedex And UPS

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RELATIONSHIP BETWEEN FED-EX, UPS AND REGIONAL AIR CARRIERS Name of St Student ID Abstract Cargo industry plays has a very important role in the economy. The industry is dominated by the FedEx and UPS as leading players. Due to the cut throat competition for maintaining leadership position, both companies have developed relationship with the regional players. The report aimed at exploring the positive and negative implication of such relationship of the leading players with regional carriers. FedEx and UPS are generating considerable positive economic benefit such cost saving, access to distance areas and pacing the globalization. To cater the need of different customers air carriers have launched different packages. These tailor made…show more content…
The company is based in Memphis, Tennessee, United States . It is world’s largest air carrier in terms of the freight tons while in terms of the fleet size; FedEx stands fourth . The company earns an income of about $2 billion on average and revenue of around $42 billion . Fed-ex sends its parcels all over the world. Among many services, provided by the company, the prominent one is the transportation, business services and the e-commerce. Fed-ex is also engaged in biding and copying and video conferencing. It has its branches all over the world and has about 135 locations in about seven foreign countries. The company also has around thirty production centers that are commercial (Hult, 2012). Its operations offering different services are carried out in the segments including FedEx Ground, FedEx Express FedEx Freight and FedEx Services.…show more content…
For example, GXS’s Enterprise Gateway is providing single gateway service to the growing number of electronic Transaction conducted at FedEx . Similarly, UPS has also developed partnership in order to effective deal with changing market dynamics. Agile Network has a partnership with major carrier services providers. For example, FedEx, UPS, DHL and other leading players of the industry take services from Agile Network for the automatic conduct of their business information. Both FedEx and UPS have also developed regional partnership with U.S. postal service . To work in a global economy it is important to sustain good relationships with the other countries and companies of same sector. Therefore, The European Commission along with the U.S. Transport Security Administration (TSA) has acknowledged in 2012 that they will jointly recognize the regimes of their respective air cargo’s security. This is to create harmony and flourish the business worldwide

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