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Opportunities for Fedex
Since Fedex is the biggest express-service company in the world, it set the standard for the whole industry. Being the pioneer putting new software into its business infrastructure will save a lot of money for the company in the long term. Also, Fedex should always keep an eye on information technology and try to adapt to the new emerging technology because it would reduce the operating cost and make the delivery business become more efficient.
Since each subsidiary operates independently and collectively compete with each other, it will become more dynamic, more productive and more efficient than ever before. Decentralization will give subsidiaries more power to perform on its own. Therefore, Fedex could expand Viking Freight so that it could compete on the international market. This would be a big step to gain the global market share for the freight business.
Since Fedex is in the transportation business, a rise in fuel price could affect the company tremendously. However, a rise in fuel price would also affect the entire industry rather than Fedex alone. Customers might switch to other alternatives in that case.
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