Question: Ave Force indentifies 5 key competitive forces that the industry should consider and anlysize to formulate competitive strategies.sqmi snimila 10 2001 of isbom toista Firstly,
Ave Force indentifies 5 key competitive forces that the industry should consider and anlysize to formulate competitive strategies.sqmi snimila 10 2001 of isbom toista Firstly, New entrance level is high in the courier industry because market share mostly is holding by big name like Fedex, Ups, and DHL. Those first movies which have cost advantages in driving down the large fix cost with high volume of packages delivery everyday while new entrances need to suffer for large capital investment Supplier powers is low because those the industry is at the mature stage, so they have different suppliers in terms of material, vehicle and plane. Those suppliers may compete on prices to get the contract with those firms. Buyer power is low because all firms nowadays have similar services like fast delivery, overnight delivery with tracking service. Customers can negotiate based on volume of shipment or choose the service that afford to their location and budget. Customers also can switch to other service without cost. Threat of substitution is low because there is no substitution for cargo industry and the demand of the cargo industry is increasing, however digital transmission may substitute physical shipment cost. Nature of rivalry is high because most players try to compete by differentiating and integrating their service and expanding their original systems. They try to gain more marketing share while still earn profit but it is may be very challenge. Overall, as long as they can keep the model weak, firms still can earn above average profit by developing the e commerce system to avoid substation/ indirect competition from new players like Uber and Amazon Our Project will focus to analyse Fedex. Fedex is An American multinational delivery service which is established since 1971. The firm is specialized in time sensitive express courier and pioneer a system that could track package and provide real time updates on package locations Its main Business segments are express courier: it is overnigh delivery, Freight Courier is about heavy and large supment and its service are Fedex office retail stores. Based on internal analysis, we have concluded that Fedex have the following core competencies that provides them a competitive advantage. 1. brand reputation 1. Fedex has reputation for precise, time guarantee delivery, superior customer friendly tracking system 2. logistics management is one of its main core competencies because the firm can personified in the collective knowledge and influence the way employees interact. Therefore, it help to generate Speed and efficiency to distinguish Fedex product and service to its competitors 3. environment focus Ave Force indentifies 5 key competitive forces that the industry should consider and anlysize to formulate competitive strategies.sqmi snimila 10 2001 of isbom toista Firstly, New entrance level is high in the courier industry because market share mostly is holding by big name like Fedex, Ups, and DHL. Those first movies which have cost advantages in driving down the large fix cost with high volume of packages delivery everyday while new entrances need to suffer for large capital investment Supplier powers is low because those the industry is at the mature stage, so they have different suppliers in terms of material, vehicle and plane. Those suppliers may compete on prices to get the contract with those firms. Buyer power is low because all firms nowadays have similar services like fast delivery, overnight delivery with tracking service. Customers can negotiate based on volume of shipment or choose the service that afford to their location and budget. Customers also can switch to other service without cost. Threat of substitution is low because there is no substitution for cargo industry and the demand of the cargo industry is increasing, however digital transmission may substitute physical shipment cost. Nature of rivalry is high because most players try to compete by differentiating and integrating their service and expanding their original systems. They try to gain more marketing share while still earn profit but it is may be very challenge. Overall, as long as they can keep the model weak, firms still can earn above average profit by developing the e commerce system to avoid substation/ indirect competition from new players like Uber and Amazon Our Project will focus to analyse Fedex. Fedex is An American multinational delivery service which is established since 1971. The firm is specialized in time sensitive express courier and pioneer a system that could track package and provide real time updates on package locations Its main Business segments are express courier: it is overnigh delivery, Freight Courier is about heavy and large supment and its service are Fedex office retail stores. Based on internal analysis, we have concluded that Fedex have the following core competencies that provides them a competitive advantage. 1. brand reputation 1. Fedex has reputation for precise, time guarantee delivery, superior customer friendly tracking system 2. logistics management is one of its main core competencies because the firm can personified in the collective knowledge and influence the way employees interact. Therefore, it help to generate Speed and efficiency to distinguish Fedex product and service to its competitors 3. environment focus