Airborne Express

1) How and why has the structure of the express mail industry evolved in recent years? How have the changes affected the small competitors? How has the rivalry between FedEx and UPS impacted them and the rest of the industry? - The face of shipment industry changed drastically with the proliferation of many services wherein companies offered next afternoon delivery, second day services, third day deliveries and pricing these options on the basis of delivery time. …

…The smaller companies could not invest such huge amounts into technology, operations and infrastructure. Hence, they made liaisons (RPS with Airborne in the late nineties). One of the main sources of income for FedEx came from international deliveries, which other big competitors too begun to realize as a fair chunk of market. The small competitors were not able to compete in the international operations, and hence had to be satisfied with the domestic markets itself.