FedEx is an end-to-end courier company that focuses on transporting packages to any destination at reliable times. Customers identify with FedEx for faster delivery of products. The idea of the giant company comes from a student, Fredrick W. Smith, at Yale University. The company’s concept was initially put down on a paper as a thesis by Fredrick, who researched the process of goods delivery in the United States. The research enabled Fredrick to acquire much knowledge on water transport, where he noticed that ships extensively relied on business owners importing large goods across the United States. In the research as part of his course work, he also figured out entrepreneurs used air transport for transportation of both imported and exported products across America.
When writing his thesis report, Fredrick wrote some of the ideas he had thought to improve the transportation industry in the United States and the globe, but his lectures did not highly appreciate his efforts. Smith did not give up but worked towards his goals, and in 1971, the visionary man launched the logistic company. Initially, the company name was Federal Express until 2000 where the name changed to FedEx, a name that the company has continued to bear to date.
At the start, the company started with about three hundred and eighty-nine members. With determination, the company has grown with branches across America with many employees. Like other businesses, for the first three years, FedEx experienced bankruptcy. Every month the company could record losses of one million dollars due to the high fuel price. Fredrick Smith tried all means, including asking for funding, but not even a single of his requests went through.
Smith’s determination to save the falling company drove him not to give up. He flew to Las Vegas, where he managed to secure some funds to protect his business. On his return, the businessman was able to fuel the airplanes and continued with his transportation business. The company made many profits that paid the debt borrowed from other investors and reported tremendous growth. The growth of the company commenced when it started international delivery. The global mission is a crucial aspect in every business, that company should not rely on local customers only, but internationally also made FedEx witness huge profits. FedEx has shown outstanding growth with annual revenue of US$45 billion and ranked as the best logistic company.