Federal Express (B) Case Study

Q: Do you think courier Pak is a comfortably shuffle in or a bad suitable for federal official official expressage? wherefore? The messenger Pak was a good harmonise for Federal utter (FEC) from an environmental, political party, cost, and competitive standpoint. The concern environment of the mid mid-seventies airfreight industry played almost directly into the relative strengths of a small- packet boat air service uniform FEC. As stated in the chemise study, Bulk harvestings and good goods were rarely sent by air. Indeed, most air shipments were kind of small. This type of environment, combined with FECs uncommon flight routes and reliable pick-up/ voice communication system created an opportunity that the partnership wisely seized with courier Pak. In 1975 and 1976, a majority of FECs shipments were for next daylight talking to (Exhibit 4). So from a company perspective, Courier Pak fit perfectly into FECs harvest-festival mix. On the one hand you had precession One bundle preservation ( outlay based on dispatch down and distance. Average charge in 1976=$23.56), which guaranteed overnight lurch anywhere in the FEC system, and on the other hand you had Courier Pak (a surplus 12 in. x 151/2 in. waterproof, tearproof envelope), which guaranteed overnight oral communication of documents or other items up to two pounds anywhere in the FEC system--all for a fixed footing of $12.50. Rounding out FECs product stemma you had example tonal pattern Service (price based on system of weights and distance.

Average price in 1976=$12.62), which guaranteed two-day package delivery and parsimony Air, which guaranteed three-day package delivery. From a cost perspective, the size of the Courier Pak as well as the manner in which consumers underutilized this product in terms of weight also fit FEC. As stated in the case study, the variable costs associated with the amount antecedence One package totaled $10.61; for the average Standard Air Service package they were $9.21; and for... If you want to get a replete(p) essay, order it on our website: Ordercustompaper.com

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