SWOT Analysis

Name of Organization: FEDEX Date of Analysis: 11/11/2013 Period of Analysis: 36 months (till end of 2016)

Strengths Delight Customer Service First company in overnight mail Centralize Hubs Great Brand Name Largest market share in airborne service Superb service !!"#$lus on#time service level Cost advantage %rganization structure advantage &sset leverage Opportunities +)pand online services Financial leverage %--er larger variety o- shipping services 7ncrease technical services -or hard*are and so-t*are installs 7ncrease number o- (orld (ide Hubs 8arket *ith other on line companies Cross marketing e)isting Fed+) and other products 7ncreasing ground -reight activities in the B4B business 9he strong net*ork in &sia through &sia %ne the nature othe geography in &sia may bene-it Fed+) core competency Gro*th o- global business economic and enterprise service Global supply chain services

Weaknesses 'ising Fuel $rices (orld e)pansion is *eak compare to competitors +)pensive compare to other services &c,uisitions and debt burdens Signi-icantly smaller ground market share than .$S /01"2 33" domestic through '$S B4+ strategy did not live up to management5s prediction consumers chose ground instead o- air -reight products High level o- debt to service .npredictability in Fed+)5s operating model 6uality o- +arnings concerns

Threats Fuel prices +)ternal competition (orld*ide government politics Natural resources costs +merging potential threat non#asset based online providers +)peditors: Circle: +agle: CH 'obinson: Hub Group /online -reight matching companies2 'ising interest e)pense although this can be some*hat mitigated by -i)ed debt e)penses operating cash re,uirements and stock repurchase plan2