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Fedex and Ups

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Fedex and Ups
ICMR Case Collection
ICFAI Center for Management Research

FedEx vs UPS: Competing with Contrasting Strategies in China
MKTG069 - Sample Questions and Answers
This case was written by Vivek Gupta, ICFAI Center for Management Research (ICMR). It was compiled from published sources, and is intended to be used as a basis for class discussion rather than to illustrate either effective or ineffective handling of a management situation.

For use by students of Icfai Flexible Learning programs. Not to be reproduced or distributed in any form or by any means.

© 2003, ICFAI Center for Management Research. All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, used in a spreadsheet, or transmitted in any fomn or by any means- electronic or mechanical. without permission.
To order copies. call 0091-40·2343·0462163 or write to ICFAI Center for Management Research, Plot # 49, Naga~una Hills, Hyderabad 500 082, India or email icmr@icfai.org. Website: www.icmrindia.org

ICFAI
Cuter for Management Research

MKTG/069

FedEx vs. UPS: Competing with Contrasting Strategies in China
Sample Questions and Answers
Question I. FedEx entered into China in 1984 through a joint venture, while UPS entered China in 1988 through an agent partnership relationship. Critically examine the contrasting strategies adopted by both the companies, while entering and expanding their services network in China.
L Legal regulations in China stipulate that a foreign logistics management company can enter into a pmtnership or joint venture with a Chinese company, but not enter on its own, to do business in China. Foreign companies are also disallowed from handling cargo business within Chinese cities, but they can operate in the international express cargo business.
ADS

Fedex's Strategy
FedEx entered China in 1984 by acquiring Gelco Express International, a UK-based courier company, whose operations spread across Europe and the Asia Pacific.

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