Friday, October 8, 2010

FedEx - which of the five strategies employed?

In considering which of the five generic strategies is used by FedEx, I immediately ruled out the low-cost provider, best-cost provider, and market niche based on low-cost because in comparing prices between the package carriers, they don't seem to be using price as their main selling point.  Prices were pretty well in-line with other providers, though lowest provider can vary depending on shipping location, package size, and weight.  I see them in the category of Broad Differentiation.  They are offering many services in their overall category to appeal to different users (business, home, large and small package, freight, and copy/print services).  They offer differentiated service in the late dropoff offered and early delivery times. 

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