Building a company from the ground up is no easy feat, but keeping it afloat through changing economic times is a task only a few businesses master. American Express Company, known similarly as AmEx/Amex, has been around since the mid-1850’s and continues to grow. With a global presence and financial products for just about everyone, AmEx continues to plow through the opposition, creating a path for everyone else to follow in.
American Express Company
American Express (AmEx) came into existence as an express mail business in Albany, NY during the 1850’s. Founded as a joint stock corporation by merging the express companies of Wells & Company, Livingston, Fargo & Company, and Wells, Butterfield & Company, AmEx set up its headquarters in the TriBeCa section of Manhattan where it enjoyed its monopoly on the movement of goods throughout New York. AmEx eventually moved their headquarters to 65 Broadway in Manhattan which was fast becoming the financial district in New York, a location that would not suit them for long due to their rapidly expanding size.
Not wanting to be known as a one-trick pony, AmEx first dipped its feet into the financial services pool during 1882 by introducing its money order business in attempt to rival that of the United States Post Office. Fueled by a frustrating trip to Europe where J.C. Fargo, president of AmEx at the time, could not obtain cash except in large cities, AmEx later introduced the traveler’s cheques in 1891 in denominations of $10, $20, $50, and $100. Ten years later, AmEx was selling more than $6 million annually in cheques.
When World War I erupted in Europe in 1914, it left over 150,000 Americans stranded and without access to cash since the banks refused to pay against an...
... middle of paper ...
..., but internally they were taking steps to avoid the economic issues looming on the horizon.
9/11 changed America forever, and it also changed AmEx. Even with the tragedy that unfolded, AmEx operations continued sans interruption. Employees pulled together to meet the needs of countless customers the world over who had nowhere else to turn. AmEx continued to be tested in the coming months following 9/11, but the entire organization pushed forward not only honoring the companies tradition to provide extraordinary customer service, but raising the bar even higher.
Every setback that AmEx has encountered throughout its 160 year history has allowed it to become even stronger. By constantly adapting to the ever-changing financial landscape while continuing to provide world-class services to its customers, AmEx continues to prove it is here for the long haul.
FedEx Express’s customer segments were based on the amount of revenue FedEx obtained from the particular customer during the previous year. At the top of the pyramid were businesses with more than $10 million in annual FedEx billings. A primary responsibility of account executives assigned to these companies was to analyze the client’s shipping business to negotiate contractual agreements that would typically last from two to three years. At the bottom of the pyramid were small accounts of just $6,000 to $40,0000. In these cases, the account executive’s job was typically to look for ways to increase the use of FedEx at local offices and to report to worldwide account executives of any issues that had come about. The account executives received compensation on achieving particular revenue targets, and the process of determining Express sales goals occurred on a quarterly basis. Account Executives wanted to beat the revenue targets or reach the minimum performance to plan in order to get a sales bonus. Even though there were many sales fluctuations based on changes in customer behavior, account executives would make adjustments in order to meet their goals. In comparison to Express, FedEx Ground shared the hierarchical configuration of sales teams and the geographic reach, but had a smaller customer base. Signing new clients was somewhat more difficult for
The Bank of New York played a major role in the economic growth in the New York metropolitan area. The Bank was also involved with the growth of transportation. The construction of the Morris Canal in New Jersey and the Erie Canal in New York were partially funded by the Bank, which also provided financing to the steamboat companies that benefited from these waterways. Through investments in nearly every railroad and utility, as well as in the construction of the New York City subway system, the Bank of New York continued to provide vital capital to the expanding American economy. However, far more emphasis was given to conservative practices and retaining the confidence of our customers. That policy enabled the bank to survive the economic turmoil of the early twentieth century.
They have been known for exceptional customer service, as noted in their mission statement, however in 2014 one headline read, “After decades of prompt departures and arrivals, its punctuality has been abysmal since August” (Southwest Airlines). This unpleasant and unexpected turn came when Southwest attempted to make a change in the time allotted for turnarounds at the airport. Perhaps they became a little too greedy with everything that was going right for them. Their plan was to crunch time and make money by having more flights in less time. Unfortunately, their plan did not work exactly how they had hoped; one delay caused a domino effect and less than 60 percent of their flights were arriving or departing on time (Southwest Airlines). This is a challenge Southwest is having to overcome still to this day. They are in the process of allotting more time for turnarounds, but in the meantime they will be losing money. This is a sacrifice they are having to make in order to gain back customer satisfaction. One reporter noted, “The poor operational performance is a shocking turn for the Dallas-based airline that typically sits atop customer satisfaction ratings, with such consumer-friendly policies as free checked bags and no fees to change a flight” (Southwest Airlines). Southwest Airlines’ reputation of fantastic customer service has been prevalent for decades. This slip up in an
Before 1860 it was virtually impossible to get a letter or other form of correspondence from St. Joseph Missouri to Sacramento California in less than 20 days. 20 days seemed entirely too long for the west coast merchants and bankers to wait for documents from the east. So three men, William Russell, Alexander Majors and William Waddell created the Pony Express. The Pony Express ensured fast and safe delivery of the mail.
1. Continental Airlines, like other companies in the airline industry, is a volatile organization. However, Continental has many strengths that have allowed it to prevail through tough times and avoid complete ruin. The CEO of Continental Airlines played an important role in reviving the company. His “Go Forward Plan” vocalized the strategy of the company and focused on every aspect of the organization. Continental has a well-defined target market, providing services to upper-class and business travelers. The company has also been able to operate in the face of adversity (such as 9/11) due to effective decision-making.
After working at Peabody, Morgan and Company (his father’s London banking branch) and gaining experience as an accountant, J.P. Morgan relocated to J.S. Morgan & Co’s American branch in New York City. Here, he became an representative for his father’s firm. In 1864, J.P. Morgan’s assiduous determination paid off, as he became an member of great influence at Dabney, Morgan and Co. Soon, in 1871, he struck a partnership with the distinguished Philadelphian Drexels to form the new firm of Drexel, Morgan & Co. This firm was later renamed J.P. Morgan & Co. and recognized as the most prestigious and influential institutions of finance in the world that executed numerous consolidations and reorganization. As America’s Industrial Expansion period hit it’s peak, J.P. Morgan established himself as a top banker and financier.
J.P Morgan was born on April 17, 1837 in Hartford, Connecticut; his family have been in the banking business for years. Lived in England and work for his father bank in London but in 1857 move back to the states; there he formed J.P Morgan &Co in. But in 1871 reconstructed His financial firm was a merger with Anthony J. Drexel calling it Drexel, Morgan & Company but change it back in 1895. Morgan still need to be more powerful and wealthy expand his name into railroads in the east; his business already was increasing because of the railroads. He would take railroads like Albany & Susquehanna which he did and change the way they do management by putting in managerial hierarchies. In this way he can reimage the railroads like a bank and some stated that no bank in the united states had a piece of the railroad system like J.P Morgan did that made the railroad succeed more. His next big move was in 1901 he help formed United States Steel Corporation with Andrew Carnegie and J.D Rockefeller. It became the largest company to produce of steel in the world. The government was worried that he had help created a monopoly in the steel industry; so the government filed a suit. (Schweikart, Larry)
In March of 1852, Henry Wells and William Fargo established the well-known bank, Wells Fargo. Originating in the West, Wells Fargo offered banking services, such as buying and selling paper banks drafts, which served as a representation of gold during a prime time in the economy. They would also extend a delivery service of customer’s valuables, branding their corporate symbol of a six-horse stagecoach. “From the Gold Rush to the early 20th Century, through prosperity, depression and war, Wells Fargo earned a reputation of trust due to its attention and loyalty to customers.” (“History of Wells Fargo”) With the help of the transcontinental railroad, Wells Fargo exploded across the nation throughout the years and still is considered one of the
This comparison between American Airlines (AA) and US Airways (AWE) starts from the year ending report in 2008 after AWE finally completed embedding America West into their operations in October, a process begun in 2005. Neither has taken part in any mergers or takeovers since then and, despite AWE briefly flirting with the idea of taking over United Airlines in 2008, merger and acquisition plans for both had been subordinate to recovering from the Global Financial Crisis (GFC).
Wells Fargo is an extremely popular bank that many people, including me, use. Wells Fargo is an American bank that is the third largest bank in the United States, the first two being JP Morgan Chase and Bank of America respectively. The bank’s headquarters is located in San Francisco and since I am from this city, I would love to intern at the company and maybe work at the bank in the future. There are many things I love about this bank, however, the most enjoyable asset about Wells Fargo is its convenience in both the overall bank and in tracking your purchases and your card by simply putting your username and password onto the Wells Fargo website.
American Express has been known as a commodity to most business travelers. In order to build its customer base, other consumers need to see the card as an indispensable convenience in their lives. American Express offers convenient methods to obtain account information, pay bills, find discounted products, and even make travel plans via the Internet. The Internet site offers these options, as well as other services, such as on- line help and assistance for small businesses. American Express realizes the need for many consumers to save time and money, but to still feel important and respected. The ingenuity and thought put into the services offered on the web site shows that American Express is genuinely concerned with the satisfaction of its customers.
For the purpose of our paper, we will be discussing FedEx Corporation. Federal Express was originally founded in 1971 by Frederick W. Smith, a Yale University undergraduate. The idea for such a company came to Smith while writing a term paper. He saw the logistical challenges that many firms faced in terms of delivering urgent shipments. Therefore, his idea started a new industry, one in which time-sensitive shipments were accommodated to be delivered in a timely fashioned. His idea came to fruition after he first handly saw the challenges of getting packages deliver in a day or two. From here, Federal Express was up and running thus revolutionizing business practices to the point of becoming synonymous with speed and reliability.
UPS was founded in 1907 as a messenger company in the United States and now
It all started in 1971, when Rolling King and Herb Kelleher decided to challenge the existing rut of charging high prices for air travels. They considered the railways and roadways their competitors and decided to offer cheaper travel for smaller routes. The company was incorporated in 1967, apart from initial entry troubles, Southwest has been the only US airline to have earned profits since 1973. The eccentric company’s outlandish way of conducting themselves has been the sole reason for Southwest Airlines to succeed in a highly competitive and packed industry.
Federal Express is an express transportation company, founded in 1973 by Frederick W. Smith. During his college years, he recognized that the United States was becoming a service-oriented economy and needed a reliable, overnight delivery service company. In 1965, as a undergraduate at Yale University, Smith wrote a term paper about the passenger route systems used by most airfreight shippers, which he viewed as economically inadequate. He wrote of the need for shippers to have a system designed specifically for airfreight that could accommodate time-sensitive shipments such as medicines, computer parts and electronics.