History and Overview
The Mail Boxes Etc. concept was introduced in 1980 as a convenient alternative to the post office. Throughout its evolution, it has continued to define and lead the business services category it created. In 2001, UPS acquired Mail Boxes Etc., Inc. In 2003, the two companies introduced The UPS Store brand. On April 7, 2003, approximately 3,000 Mail Boxes Etc. locations in the United States (at the time, nearly 90% of the domestic U.S. network) re-branded as The UPS Store and began offering lower (around 20% on average) UPS-direct shipping rates. The centers remain locally owned and operated, and continue to offer a variety of shipping, freight, postal, digital online printing, document and business services, with convenient locations and world-class service. In addition to its U.S. network, Mail Boxes Etc., Inc. has had a master license agreement in place for Canada since 1988. In 2005, more than 260 Mail Boxes Etc. locations in Canada re-branded as The UPS Store.
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sold more than 500 new The UPS Store locations in the United States; a record for the company, and phenomenal growth for a quarter-century-old franchise. Special-venue site development also has grown steadily with locations on college campuses and military bases, as well as in convention centers, hotels, and urban renewal areas/empowerment zones. Special-venue sites create an opportunity to provide services to consumers, regardless of where they live, work or travel.
In October, 2012, Mail Boxes Etc., Inc, was officially renamed as The UPS Store, Inc., to better align with its franchised locations. Throughout the company’s historic growth, one thing has remained constant: the commitment of its franchisees to providing personalized and convenient business solutions and a world-class customer experience.
Industry
The amount of letters commissioned in America has been steadily decreasing on a daily basis. The majority of citizens are now sending their letters via e-mail or other methods of technology. Postal service companies such as USPS are struggling to keep business thriving. To compete with the technological advances in modern America, USPS should restructure their postal systems by terminating unessential delivery days and strategically limiting postal branches in order to conserve government money.
UPS has announced that after more than 90 years as a private company, it was planning an initial public offering to become a publicly traded company. In response to this, we will first analyze UPS¡¦s business strategy and it¡¦s sustainability of its current performance. Then we will look at key factors to estimate the UPS¡¦s market capitalization value using FedEx¡¦s multiples as well as ¡§best in breed¡¨ company premiums. From this, we concluded that UPS¡¦s IPO should create a market capitalization for UPS between $17,520 million and $30,415 million.
FedEx’s modeling capability gave them a competitive advantage as they implemented new methods and technology. They currently have a SuperHub with several regional hubs and packages are managed and tracked by a system called COSMOS. This system allowed customers to know where their packages were at all times and was later integrated for web use, allowing customers to track packages over the Internet. Today, UPS also allows customers to track packages over the Internet and has improved customer service. I would assume that they have developed a mainframe similar to that of FedEx to decrease FedEx’s competitive advantage. The United States Postal Service, which has lower rates, has also increased their customer service and quality. FedEx must find new technological advancements to stay ahead of the competition in the package delivery industry.
In addition to the change in behavior of consumer, many companies or retailers change the sales channel combinations. The greatest impact of the Web-bases electronic revolution has occurred in companies adopting the click-and-mortar approach. Click- and-mortar is one the strategy used by the companies or retailers that they continue to conduct their business in the physical locations and have added the electronic commerce component to their business activities. According to one study, 37% of United States retailers are selling through a combination of the internet, in stores and catalogs. This represents a growing demand for the business-to-customer package delivery service.
Place (channels of distribution), refers to the point of sale (POS). The method of which a product is assessable to the consumer is a crucial part in the distribution of goods. Retailers pay top dollar for prime real-estate, one of the most popular saying in business is “location, location, location”. Location is key in the retail market and Victoria’s Secret understands that very well, they offer a number of outlets for consumers to reach their products; they have a number of physical store locations both inside and outside of the mall and centrally located to consumers, including overseas and in a number of countries throughout the world, offer online shopping for the millennial and convenience shopping as well as via catalogue (mail order). There is great utilization in all outlets for distribution of the product line; Victoria’s Secret ensures high engagement of its consumers in all outlets by offering special sales and promotions significant to the specific outlet. By doing this they appeal to each market
Demand for Panera franchising opportunities was very high, which allowed Panera to be picky about where and with whom they would do business. Panera determined where bakery-café locations could be. The franchisees bore the cost of opening new locations, and were required to obtain their ingredients from the home company. Expansion using the franchise model provided many upside benefits for Panera, while limiting the downside r...
The purpose of this report to compare the current distribution system to a distribution system without the aforementioned limitations on which distribution centers are allowed to service a specific area. In order to determine which system would be better, Darby Company has gathered additional information about the costs of shipping to other areas. For example, the Ft. Worth center could also service Denver, in addition to its current zones, Santa Fe could ship to any customer and Las Vegas could ship to Denver, Salt Lake City, and Phoenix, as well as LA and San Diego. In Appendix 2.2B, specific costs of shipping from distribution centers to customers are detailed.
We understand the importance of our missions and the trust our customers place in us. With this in mind, we strive to excel in every aspect of our business and approach every challenge with a determination to succeed.
The company has established good relationships with most of its customers which has assisted it to create high level of brand and customer loyalty
The first post office in the United States was established in seventeen seventy-five, which makes it the oldest most reliable post service in history. It is a well know fact that in the beginning, this business was called the Pony Express, which began in eighteen sixty. Years later the US Post office has become the largest company that we rely on to deliver our mail. This mailing institution delivers more mail to a larger area than any other delivery service in the world. They are rendering assistance to more than one million people in North America. There are over six hundred thousand employees and in excess of thirty four thousand facilities nationwide. This institution thrives to provide customer service, available products, transport of products, and accessibility to all consumers. The United States Postal Service is a reliable, excellent, and efficient delivery service. They supply a wide variety of convenient products to help with any shipping needs consumers may have.
Through the extensive use of technology UPS is no longer only a package delivery company. The technology driven growth model has not only helped UPS strengthen its current business, but also allowed diversification into varied business arenas. UPS’ subsidiaries now provide and supporting other services such as venture capital management and aviation equipment and professional services according to the client requirements.
Box, Inc. is a software company based out of California. The co-founders of the company made it clear to each other when they started the company that they would all do their best to preserve the “secret sauce” behind their success. The executives at Box are focused on keeping their software “ridiculously easy” to access, use, and manage. The Box executives were trying to preserve their young start-up culture, and discovered in was rather difficult while expanding to almost 1,000 employees in headquarters in three different countries. As Box grew, CEO Levie’s head did as well.
UPS is a global parcel transportation company, if we look at the numbers we could say that UPS is the third biggest parcel delivery company in the world.
“Going forward, the company is well positioned for future growth, and Nigel and his team remain focused on driving franchisee profitability and delivering shareholder value” shares Lead Director Raul Alvar...
Real Threat of Substitute Products or Services: High customer satisfaction earned through conscientious drivers, high reliability, and Internet-based tools has kept UPS at the top. UPS has created an economic advantage by assembling a dense integrated global shipping network that is unlikely to be matched by any but a few global players.