Acc 100 - Fed Ex Vs Ups

ACC 100

AC 100 Final Project Paper

Fed Ex vs. UPS

Jennifer Kulka, Yukari Matsubara, Cathy Myers and Elizabeth Scofield

Notre Dame de Namur University

Federal Express was founded in 1973 by Fred Smith. The idea came from FedEx Corporation operates in four segments. FedEx Express is the world's largest express transportation company, delivering some 3 million packages daily. It provides transportation, e-commerce, and business services worldwide. The company offers a range of shipping services for the delivery of packages, documents, and freight. FedEx Freight segment offers regional next-day and second-day, and interregional less-than-truckload freight services. FedEx Kinko’s provides document management solutions and many business services including facsimile, black and white and color copying/printing, finishing and presentation services, signs and graphics, Internet access, videoconferencing and various other retail services and products. The company was incorporated in 1971 and is based in Memphis, Tennessee.

United Parcel Service, Inc. (UPS) is a package delivery company, which provides specialized transportation and logistics services in the United States and internationally. Its operations include the delivery of letters, documents, and packages in the United States and worldwide. As of December 31, 2005, the company operated a ground fleet of approximately 98,000 package cars, vans, tractors, and motorcycles, as well as utilized approximately 600 airplanes. United Parcel Service was founded by James E. Casey in 1907 as American Messenger Company. It changed its name to Merchants Parcel Delivery in 1913 and to United Parcel Service, Inc. in 1919. The company is headquartered in Atlanta, Georgia.

Both companies did well in 2004. Federal Express acquired Kinko’s, now called FedEx-Kinko’s. This added $621 million in revenue (Federal Express Annual Report 2005, pg 38)

UPS revenues increased over 6%. They invested in a new technology that re-engineered the U.S. domestic operations. At the end of 2004 UPS wanted to grow their market share in the global