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BUS 599 Executing Strategies in a Global Environment(USE AS GUIDE ONLY)
Assignment 2: Executing Strategies in a Global Environment: Examining the Case of Federal
Business 599 Strategic Management
In this assignment for business course 599, we are to analyze Federal Express’ value creation
frontier, and determine which of the four building blocks of competitive advantage the company
needs in order to continue to maintain above-average profitability. We are to determine the main
aspect of product differentiation and capacity control that Federal Express could use in order to
maintain an edge over its rivals. We are to assess the efficiency of Federal Express’s current
business model, and recommend one new business-level strategy that gives the company a
competitive advantage over its rivals. We are also asked to examine the manner in which overall
global competition may impact the new business strategy. And, finally, we are asked to suggest
one significant way that Federal Express may confront its global competition.
Senior management at FedEx must appreciate the need for adding new value to their
organization if they intend for FedEx to remain viable. Senior management needs to be
committed to the creation of new internal capabilities for FedEx growth. And management must
be ready for strategy innovation and the exploration of FedEx’s strategic frontier.
Innovative new business opportunities found on the strategic frontier can provide forward-
thinking leadership with the entrepreneurial growthideas FedEx needs.FedEx does not need
decades of R&D expenditures to develop new business ideas and opportunities. All FedEx really
needs is an understanding of its customer’s needs.
If FedEx is really in touch with the needs of the customer, then the organization will be
closer todeciding where on the strategic frontier meaningful value is to be found. Once FedEx
reaches that point then senior management will need the conviction and motivation to create a
new business model to address those needs. Strategy innovation can takethe form of new
products and services, as in the case of FedEx. The capacity for strategy innovation is within the
capabilities of any organization.
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