FEDEX COMPANY are directly and pose the greatest risks when it comes to current

financial position and the current state of the company. They say that FedEx’s
financial situation flactuating when it comes to economic changes. This is due by
cutting back on their expenses and consumers reducing e-commerce purchases
when the economy slows down, which results in a decreasing need for distribution
or shipping. The competition in competitor is also a major risk factor that they
experienced but their competitor also experienced the same economic risk that
FedEx experienced. They do not have any leverage or power to influence or change
the state of their economy or the current economic situation because FedEx nature
of business and competitors makes them vulnerable to these economic risks.
However, FedEx may also use economic forecasting to help and preserve the
business resources for economic slowdowns.

The negative operating margin for the FedEx Freight division has important to track
and evaluate. In three consecutive years, their margins has been negative which
result in raised a red flag. They need to consider the re-engineering of the division
to make it profitable or remove it and focus on the aspects of the business that are
generating profits. FedEx technology innovations and advances are the most
important strategic element that the matrix traditionally recognizes and
forecasts will result negative impact to FedEx in the future.

FedEx first alternative is to sustain and keep the current strategies that are already in
the place and focusing on fine tuning it. Second, they could pursue a growth strategy
by utilizing their strong brand image and large scale operations to target newly
developed countries to expand internationally, which could help FedEx to increase
its market share in the industry. Third, is the retrenchment, they could restructure
and centralize operations to reduce redundancies across the operating companies.
FedEx consider also cost leadership business strategy as an alternative, through it
they would be able to increase their market share and gain a competitive advantage.
The final alternative is the differentiation business strategy of FedEx that could set
itself apart from competitors with its unique technological innovations.

The assessment or analysis of the result for FedEx will be the FedEx opportunities
and Threats.

FedEx’s financial position is directly related to the state of the economy. For this
reason, FedEx would be best suited to stay committed to and fine tune its current
compete collectively, operate independently, and manage collaboratively strategy
where the companies economy appears when in terms to recovering so it would be
in FedEx best interest to remain focused in their strategic plan. The current compete
collectively, operate independently, and manage collaboratively strategy is the best
option for FedEx at this stage of the corporate development cycle. The three-fold
plan creates synergy across the operating companies while using the brand, fulfills
distinct customer needs, and enables the Board and top management to
keep an eye on it all.The implementation and monitoring of the plans progress starts
at the top of the organization and filters down to every employee.
And for Evaluation, FedEx would be able to provide adequate input when it comes to
implementation of activities and performance. Access to real-time information gives
the firm the ability to pull and analyze what customers are ordering, from which
divisions the orders are from whether it from one division or a combination of
divisions, which is important for performance analysis and forecasting. FedEx
information systems also enables them to monitor and pin-point problems and
create solutions to fix or solve them.

It is important for FedEx to evaluate financial in both ways, so that they can analyze
how the operating companies are performing individually, as well as the corporation
as whole. Benchmarking also help the firm to evaluate their activities and
performance. It is also an essential tool for FedEx to be able to provide superior
customer service, as well as continue to meet their customer’s distinct needs.
It is important for the organization to analyze their performance and service levels so
that they can rectify existing and potential problems, modify policies and
procedures, and create enhancements.