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Industrial Analysis:: Major Competitors
Industrial Analysis:: Major Competitors
DHL falls into a service and logistics industry, the main job of
DHL is to provide consistent and better quick service around the globe. Therefore there
are many competitors in the market, who think they can provide even better service then
DHL. So in order shrug off the threats of competitors, DHL has expanded worldwide and is
one of the oldest companies who is in this service industry.
MAJOR COMPETITORS:
Major competitors of DHL are:
FEDEX
TNT
UPS
TCS
FEDEX:
Founded in 1973, FedEx focused for many years on the U.S. domestic market. During the
late1980s, the company began to expand internationally through acquisitions and competitive pricing,
sometimes undercutting DHL published prices by as much as 50%. Between 1987 and 1991, FedEx
invested over $1 billion in 14 acquisitions in nine countries: the United Kingdom, Holland, West
Germany, Italy, Japan, Australia, United Arab Emirates, Canada, and the United States. FedEx
remains a formidable competitor.
TNT:
Thomas Nationwide Transport (TNT) was a publicly owned Australian transport group
which had historically concentrated on air express delivery of documents. TNT focused mainly on
Europe and had a low profile in North America. To participate in the North American market, TNT
held a 15% stake in an American shipper Airborne Freight Corporation. This stake could be increased
to a maximum holding of only 25% under U.S. aviation laws. During the late 1980s, TNT began to
target heavier shipments and bulk consolidations to fuel its growth.
UPS:
United Parcel Service (UPS) was a privately held U.S. company, most of whose equity was
owned by its employees. UPS had traditionally been known as a parcel shipper that emphasized
Everyday low prices rather than the fastest delivery. Unlike DHL, UPS sometimes held a package
back to consolidate several shipments to the same destination in the interest of saving on costs. UPS
had historically tried to avoid offering discounts from its published prices.
TCS:
TRANZUM COMPANIE AND SERVICES TCS came into being in 1983 as a domestic
courier company to fill a void that arose due to the Government of Pakistan denying foreign
courier companies the right to operate locally. 26 years into its existence the TCS brand has
evolved, into a formidable symbol of trust & reliability.
Each trying to gain maximum market share but DHL has the highest market share among its
competitors.
TABLE OF MARKET SHARE:
INTERNATIONAL AIR EXPRESS:
DHL 44%
FEDEX 7%
UPS 4%
TNT 18%
OTHERS 27%
TOTAL 100%
DHL 65%
FEDEX 12%
UPS 8%
TNT 6%
OTHERS 9%
TOTAL 100%
MAJOR PRPDUCTS:
Are major products are following:
FINANCIAL POSITION:
ASSETS
Intangible assets 11,627 11,727
Property, plant and equipment 6,676 6,457
Investment property 32 32
Investments in associates 61 1,669
Other non-current financial assets 574 376
Non-current financial assets 635 2,045
Other non-current assets 514 1,378
Deferred tax assets 1,033 677
Non-current assets 20,517 22,316
BCG MATRIX:
IDENTIFICATION OF PROBLEMS:
There are some problems which occur in DHL like
DELAYING OF SHIPMENTS
LOST SHIPMENTS ( TRACKING PROBLEM)
MANAGEMENT ISSUES