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Federal Express vs. United Parcel Service I. How have the strategies of the two firms evolved? Federal Express started with a strategy focusing on air-delivery and differentiated itself from other carriers through its hub and spoke distribution pattern which allowed it to provide faster service to more locations than its competitors. Later it expanded into other services acquiring more trucks and aircrafts with a growth strategy, continuing to differentiate itself with its superior quality and on-time delivery model. FedEx dominated the overnight delivery market until new entrants like UPS entered the market. Throughout, FedEx maintained its Broad scope/Differentiation strategy, charging a premium price for its services as it expanded into global markets and made improvements in Information Technology to further increase quality and customer service. Thus, overall FedEx had a strategy to grow market share in a broad range of services and differentiate itself from competitors based on superior service and quality...

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