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Business model of the FedEx franchise
The FedEx franchise offers consolidated financial reporting and strategic leadership for the independent companies which constitute FedEx. These include FedEx Ground, FedEx Kinko's Office and Print Services, FedEx Express, FedEx Custom Critical, FedEx Freight, FedEx Supply Chain Services, FedEx Trade Networks and FedEx Services. The business service provider has the aim to operate independently, manage collaboratively and compete collectively.
The business model of the FedEx franchise is not complicated, but it is a flexible network of companies, which is designed to give exceptional access to the global marketplace. As each FedEx company operates independently, it manages its specialized network of services such as e-commerce, transportation and integrated business solutions. This model was adopted, as separate operations allow the companies to pay attention to what they are best at doing.
However, these companies compete collectively, and the FedEx Corporation acts as the hub, by letting these separate companies to work together across the globe. The FedEx Corporation by utilising the powerful FedEx brand tries to strengthen the wide range of services. By collaborating the management, the FedEx business services franchise provides customers a unique portfolio of services, which differentiates FedEx in the marketplace across the globe.
To achieve the its mission, the FedEx Corporation is focusing on profitable growth and provides a consolidated financial report for a fiscal year ending May 31.14.05.2007