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Fed Ex - 1 -
Fed Ex
Jeffrey Lehart
Ashford University
BUS 630 Managerial Accounting
Dr. Goussak
June 9, 2012

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Fed Ex - 2 -
What is FedEx’s strategy for success in the marketplace? Does the company rely primarily on a
customer intimacy, operations excellence, or product leadership customer value proposition?
What evidence supports your conclusion?
FedEx’s strategy in the market place combines customer intimacy, product leadership
customer value proposition, and operational excellence. In our textbook, Noreen, Brewer, and
Garrison describe how companies who have customer intimacy attract new and retain past
customers by understanding and reacting to their needs better than their competition. Operational
excellence is defined as providing faster services, conveniently, and at a lower price than their
competition (Noreen, Brewer, & Garrison, 2008). Companies that pursue product leadership
customer value proposition get their customers to select them due to delivering a higher quality
service or product than their competition (Noreen, Brewer, & Garrison, 2008).
You can find the evidence of customer intimacy and operational excellence in the 10-K form
that states they strive to provide their customers with convenient, seamless access to our entire
portfolio of integrated business solutions. The form goes on to state they are pursuing a number
of initiatives to continue to improve the FedEx customer experience. This includes improving the
capabilities of FedEx’s sales professionals. FedEx’s OneCall program assigns a single customer
service agent to handle almost all issues of a customer’s account. Intimacy can be further found
in the statement that each segment of FedEx operates independently because this allows them to
anticipate and respond to customer needs.
Operational excellence can also be found where they state they are the leader in reliable rapid
global delivery of packages, documents, and freight plus have specialized services such as

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Fed Ex Jeffrey Lehart Ashford University BUS 630 Managerial Accounting Dr. Goussak June 9, 2012 What is FedEx’s strategy for success in the marketplace? Does the company rely primarily on a customer intimacy, operations excellence, or product leadership customer value proposition? What evidence supports your conclusion? FedEx’s strategy in the market place combines customer intimacy, product leadership customer value proposition, and operational excellence. In our textbook, Noreen, Brewer, and Garrison describe how companies who have customer intimacy attract new and retain past customers by understanding and reacting to their needs better than their competition. Operational excellence is defined as providing faster services, conveniently, and at a lower price than their competition (Noreen, Brewer, & Garrison, 2008). Companies that pursue product leadership customer value proposition get their customers to select them due to delivering a higher quality service or product than their competition (Noreen, Brewer, & Garrison, 2008). You can find the evidence of customer intimacy and operational excellence in the 10-K form that states they strive to provide their customers with convenient, seamless access to our entire portfolio of integrated business solutions. The form goes on to state they are pursuing a number of initiatives to continue to improve the FedEx customer experience. This includes improving the capabilities of FedEx’s sales professionals. F ...
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