UPS. UPS is a leading competitor to FedEx in the package delivery business.

UPS has a significant market

share advantage over FedEx, but FedEx is growing rapidly. UPS is facing challenges from the declining
mail volume and the forced pre-funding requirements for retirement benefits. UPS is responding to
these challenges by consolidating mail-processing centers, reducing delivery days, training employees
better, making rural post offices part-time, and offering discounts to customers. UPS is also heavily
unionized, which can make it difficult to implement changes.

Deutsche Post. Considered the world’s largest courier company, Deutsche Post employs 488,000 workers
and reported 2014 revenues of €29.4 billion, or approximately $35 billion USD (up 8.1 percent from the
prior year), and profits of €1.38 billion, or approximately $1.65 billion USD (down 9.1 percent from prior
year). Headquartered in Bonn, Germany, Deutsche Post serves customers in over 220 countries. The
company currently trades under the ticker symbol DPW on the Xetra in Germany. The company most
directly competes with FedEx and UPS through DHL Express, a shipping company it acquired in 2005.

For us to visualize the competition between these three companies, we used a Competitive Profile
Matrix (CPM). It is a tool companies can use to compare their strengths and weaknesses to industry
competitors directly.

Operational Vehicles.

Market Dominance. International express and deferred package delivery is available to more than 220
countries and territories, with a variety of time-definite services to meet distinct customer needs.
FedEx Express also offers domestic pickup-and-delivery services within certain non-U.S. countries,
including France, the United Kingdom, Australia, Brazil, Italy, Canada, Mexico, Poland, India, China, and
South Africa. In addition, FedEx Express offers comprehensive international express and deferred freight
services, real-time tracking, and advanced customs clearance. FedEx Freight also offers freight delivery
service to most points in Puerto Rico and the U.S. Virgin Islands.

Services Offered. FedEx prides itself as the world’s top express delivery company. However it lacks in
other services that it can offer. A prime example is the logistics side of UPS. They offer supply-chain
solutions, warehousing, and freight forwarding. Not to mention DHL is the largest postal company of
Europe. Pursuing other services can be an alternative course of action.

Locations. We strive to sustainably operate our more than 5,000 air and ground hubs, local stations,
freight service centers, and retail locations through continued investments in efficiency, renewable
energy, and other energy management programs. 74,000 drop-off locations

E-Commerce. Simply put, e-commerce integration is the accumulation, exchange, and coordination of
data between your company's e-commerce data management system and other back-end channels.
FedEx Services provides sales, marketing, information technology, communications, customer service,
technical support, billing and collection services, and certain back-office functions that support our
operating segments. UPS not only handles its own e-commerce integration but also partially offers it
through its supply-chain solutions. FedEx has better ratings than DHL because they have a more user-
friendly website.
Operations.

Financial Profit.

UPS FedEx DHL

Areas of Consideration Weight Rating Score Rating Score Rating Score

Operational Vehicles 0.1 3 0.3 4 0.4 2 0.2

Market Dominance 0.1 3 0.3 2 0.2 4 0.4
Services Offered 0.08 4 0.32 2 0.16 3 0.24
Locations 0.1 3 0.3 4 0.4 2 0.2
E-commerce Integration 0.08 4 0.32 3 0.24 2 0.16
Domestic Operations 0.12 3 0.36 4 0.48 2 0.24
International Operations 0.12 4 0.48 3 0.36 2 0.24
Freight Operations 0.1 4 0.4 2 0.2 3 0.3
Financial Profit 0.12 4 0.48 2 0.24 3 0.36
Totals 100% 3.4 3 2.5