Internal and External Corporate Analysis: Fedex

12/02/2025

Matthew Warner

Published by: Psytext


Introduction

Federal Express, or “Fedex for short, is a successful corporate enterprise with a lucrative hold on the logistics market. Fedex is an international company that specializes in all the facets of package and information delivery. This essay will discuss the company Fedex and how it has progressed from a small delivery company to an international business enterprise responsible for many important facets of our current development. 

Other logistical companies work on a city wide national scale. Some may dabble in international courier, but Fedex specializes and maintains a clear focus on international, national and city wide delivery. Based on the needs of their consumers, Fedex will be able to deliver items quickly and according to their contractors availability. 

Table of Contents

1. Company Description

2. History

3. Fedex S.W.O.T Analysis (Internal)

Organizational structure

External Issues

Porter's 5 Forces  

VRIN

Controversy

External Promotional Strategies 

Conclusion 

References

1. Company Description 

The Fedex company has flushed based on a few basic elements. They have a clear goal in mind, have properly planned and calculated the important aspects and made the necessary financial investments. They have a set of corporate morals and values, Fedex also pays close attention to what their clients need and will work to ensure their satisfaction.  Fedex is an American multinational company. Its head office is located in Memphis, Tennessee. It has been in operation since 1973. Fedex originally gained its popularity based on their overnight delivery program. They also implemented a system that allowed customers to track their items, from pick up to delivery.

2. History 

Fedex began as an import, export company and was officially incorporated in the year 1992. Originally Fedex was known as Federal Express. In order to maintain profits and grow, any successful business must analyse their personal and corporate attributes. This can be done in many ways, in this instance, I have chosen to analyze the S.W.O.T (strengths, weaknesses, opportunities and threats) in regards to the Fedex company. Let's take a look at the internal structure of the company. The details  will be itemized and discussed in the following diagram. Please see the information below.

3. Fedex S.W.O.T Analysis

(Internal)

Strengths

Fedex has been around for years. It has a strong grasp of its current market surroundings, followed by financial backing and lucrative resources. Fedex can use their master of logistics to eliminate competitors and dominate the market.

Weaknesses 

Fedex generally has a higher delivery price than the other companies. This is partly because they have the skills, resources and clout. Their skills allow them to charge as they please. This forces them to miss out on various market segments. 

Opportunities

Technology is growing at a rapid rate. Companies like amazon are already playing with automated delivery systems. These are usually in the form of drones or other small UAVs (unmanned aerial vehicles). Fedex may choose to implement similar technology when it becomes accessible.

Threats 

Fedex has many threats to the business model. Small companies and private couriers will provide similar services, fast and at a lower rate. The smaller companies may offer less than zero insurance or guarantee.

(External)

An external S.W.O.T analysis will isolate a separate set of ideals and will be isolated in the chart below:

Strengths

Fedex has a strong company branding initiative. They have an easily recognizable logo and eye-catching corporate colors. Multiplatform marketing has made this company into a recognizable, and reliable system that can be used by all members of the public and private sector. 

Weaknesses

Because Fedex has an established professional appeal, they must hire and train appropriate staff. Fedex is not a company that one normally would study or aspire to work for. Regardless of the quality of work or monetary gains, based on the general and sometimes medial task assigned to logistics, the company may find it is attracting less favorable employees. 

Opportunities

The upcoming Olympic games will offer a new medium to provide or sponsor events. 

Threats 

The rise of the technology age has allowed many to send information online as opposed to requiring a courier to ship paper documents. This is opposed to contacts and other items that need to be physically signed.

4. Organizational structure

 

Essentially, Fedex covers all facets of logistics and delivery. In order to accommodate the various needs of the current and prospective clients, Fedex has broken its corporate structure into separate operating units. The multi-colored Fedex logo is a symbol that the company uses for all of the subsidiary groups. Fedex has an easily recognizable logo, which changes in color based on which section of the corporation it is delegated toward. The blue tone in the “Fed” section on their logo remains the same color, while the corresponding “Ex” symbol attached changes in color.

Orange 

This color represents their original overnight courier service. 

Green

This area of the corporation consolidates e-commerce transactions.

Platinum 

This area provides global marketing strategic planning.

Red 

The red color coding is designated to Fedex’s freight services. 

Blue 

Handles urgent, valuable, or hazardous items. These drivers are independent contractors who own their own vehicles.

In order to organize the massive amounts of information required to maintain smooth operational procedures, Fedex uses a coding system to itemize and determine which package goes where. The coding system has helped Fedex grow as a business. Each code typically has two to four letters. This system was created in the 1960’s to help the transportation industry computerize its data correctly. Here is a diagram of the codes used and their corresponding meanings:

FDE

Fedex Express

 

FDEG

Fedex Ground

 

FXFE

Fedex Freight

 

FXO

Fedex Office 

 

FDCC 

Fedex Custom Critical 

 

FSDC

Same Day Delivery