Operations Management: The FedEx Case Because the company’s primary products tend to be service-oriented, they have very long product life styles. At the inception of a new product, like Federal Express when it first launched, a company will tend to look at its competition and use it as a reference point in categorizing the product (UPS and the U.S. Mail, for example) so that consumers can figure out what the product is and how it can help them. Because so many of its products have been in the market so long, and with a relatively small pool of competitors, FedEx has had to look outside its product category for new product ideas. The first product that Federal Express offered at launch was simply, overnight delivery. Its competition was...The end:
..... for instance, FedEx has not been deterred by the economic downturn but instead has continued laying the foundation to profit from an eventual recovery (Burnson 54S). As its flagship product enters the maturity phase of its life cycle, FedEx must continue to design and develop new products outside its legacy category, as well as to innovate and continually grow its market for its flagship product. Works Cited Burnson, Patrick. "Freight Forwarders Brace for Change." Logistics Management Special Report. November 2009: 52S – 59S. Comer, Donald. “How FedEx uses insight and invention to innovate.” PDMA Visions. (Dec. 2007): 12-14. FedEx. “Company Information.” www.fedex.com (2010). Heizer, Jay & Render, Barry. Operations Management. Pearson.