Literature Review on Management and Business

This literature review assignment covers various management and business-related topics, including HRM (Human Resource Management), CSR (Corporate Social Responsibility), leadership styles, business process management, and more. The assignment references several studies and articles published in journals such as the Strategic Management Journal, Tourism Management, and British Journal of Management. It also includes a list of sources with corresponding page numbers for citation purposes.

Contemporary
Developments in
Business
Management

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1.1 Influence of external factors on working of FedEx and significance of each element on
business activities...................................................................................................................1
TASK 2............................................................................................................................................4
2.1 Marketing communication mix affect the policies and decision making process of
company.................................................................................................................................4
2.2 Critical evaluation about the effectiveness of the response of FedEx.............................8
2.3 Areas in which company can do improvements...............................................................9
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................12

INTRODUCTION
Every enterprise do various efforts in order to achieve its set goals and objectives.
Various factors are there which affect the functioning of a business organisation. It is very
essential for managers to identify those factors and examine the same as this help in formulate
better and effective strategies for business activities (Baillie Smith and Laurie, 2011). Marketing
is known as one of the most essential activity of every enterprise as this is the one which provide
opportunity to manager to communicate with target markets and influence them to buy
company's products and services (Stokes Wilson and Wilson, 2010). Different channels of
communication are there and it is very important that effective use of all resources must be done
by manager as this help to reach end goals. FedEx an American courier company which offer
delivery services to it customers is taken under this report for study. Major elements which exist
in business environment and affect the functioning of business is all detailed under this report. In
which way customers and supplier of firm affect operations of company is all given in this.
Further, effective use of all channels of communication by FedEx to achieve its objectives is
also mentioned in this. In addition to this, various areas in which firm can do improvements is all
described.
TASK 1
1.1 Influence of external factors on working of FedEx and significance of each element on
business activities
FedEx is an American multinational courier organisation that offer delivery services to
its customers. Firm is popular for well known for provide its services overnight. Basically,
Fedreal express is a transportation firm founded by Frederick W. Smith. At present, FedEx
express delivers approx 3.7 million packages per day throughout US and in 210 countries.
Management policy of FedEx is to maximise the revenues of company so to achieve the same,
enterprise use an cut-throat technique. In which firm set the prices of its services high with the
hope that customers will use the same and will take purchase decision on the basis of company's
reputation and due yo their unique tracking system (Bučiūnienė and Kazlauskaitė, 2012). As
company execute its business activities in an environment in which various factors exist that
affect its decisions. Managers of company is the one who remain liable to to examine all this
elements as this help in formulate a better business strategy and at the same time ensure
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completion of business operations in time. To analyse the elements exist in business environment
PESTLE can be use by FedEx.
PESTLE analysis
This is a tool which is use by managers to recognise the different elements present in
business environment such as social, technological, political and many more. All this help
manager in formulate a better plan for business (Chen and Farh, 2010). Further, it guide and
support managers what should be done by them in what way and many more. Affect of external
factors on functioning of business is stated below under following points: Political factors: As FedEx is operating in number of countries and regions so political
structure of every nation and various rules affect the business activity of company. Legal
framework, involvement of government, regulations related with price, political stability
and tax rate are the major factors of this. Any variation or modification in these affect the
business operations of company (Collis and Hussey, 2013). As business operations of
FedEx consists transportation of goods through by sea and air so different rules are there
which need to be followed. However, approval of government gave a high up gradation
to enterprise which contribute a lot in growth of company (Sturdy, 2011). Changes in
rules or any kind of instability negatively affect the business operations of FedEx.
Overall, political element has a great contribution on overall performance of firm.
Importance: Analyse various political elements is very important for FedEx as this make
the firm aware about different rules of government. Whenever a variation take place in
government policies that must be consider by firm to formulate better plans for business. This
support manager in take better decision for business. It is very significant for FedEx to adhere
the laws of government as ignorance of this results in a penalty. With this FedEx can operate
efficiently along with this can expand its operations in various other regions. Economic factors: One of the major feature of FedEx is that it has contributed a lot to the
economy as the success of business. All this results in increase GDP which leads to
economic growth. Variation in price of dollar affected the business decisions of FedEx
which impact the economy (Frey and George, 2010). As per the a research carry out in
US, FedEx is the 21s biggest contributor. In addition to this, company donated huge
amount of funds since the year 1990. From which 45% was used for democrats and rest
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for republicans. These type of practices resulted in trade opportunities for firm and this
boost up the business operations.
Importance: Identification of different elements such as variation in value of dollar,
interest rate, inflation and deflation rate all must be consider by FedEx to get a better position in
market. If interest rate of country in which firm wants to expand its operations is high then in
that case firm can go for Foreign direct investment. Social factors: Social practices of FedEx consists loading to be in time and without
damaging the resource for provide better services to customers. All this increase the
demand among individuals and at the same time increase market share of company
(George and Jones, 2015). Nations which have more population rate are likely to be more
potential clients for firm. Literacy rate is the one on which FedEx is dependent as more
literal will be the individuals than there will be more demand for services of FedEx.
Further, airline services require more cost as compare to ground services yet firm offer
effective services to its clients.
Importance: Collect information about various social factors is very important for
enterprise as when firm produce and offer products to its customers as per their unique
requirements then it help enterprise in maintain a positive image. This provide competitive
benefit to company and public also support the firm. Skilled and capable candidates helps in
remove cultural differences. Technological factors: One of the main feature of FedEx is that its has already
implement different technological concepts to keep a proper update system and to track
the couriers in market. Further, various trends such as online shopping has increased
home deliveries and all this increase the economy (Gustafson, 2012). In addition to this,
various advancements in technology has made it easy for clients to keep a track of their
equipments and for FedEx to easily interact with customers for feedbacks and queries.
Importance: Use of latest technology decrease cost of business operations and make the
company able to offer quality products to its customers at affordable prices. This also increase
the effectiveness of business activity by remove unnecessary obstacles. Legal factors: Fedex is strictly abiding the rules and regulations for its activities. ISO
14001 is follow by firm regarding the environment, along with this, firm follows various
rules and regulations. Further, company also offers online data security.
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Importance: Adhere these laws make the firm free from any kind of penalty and legal
action. Further, follow various regulation such as helathy and safety of employees and many
more help firm in maintain good relations with subordinates and at the same time increase their
productivity. Environmental factors: Change in Climate is one of the large impact of environment on
FedEx. All this affect the transfer of equipments and may create delay in process of
delivery. However, firm do better work provide better solution to customer's problems
and motivate other to take action. An environment sustainability leader is hired by firm to
make sure the environment clean and healthy.
Importance: It is very essential for firm to follow environmental laws and implement the
principle of waste disposal. This ensure growth of firm and provide various long term
advantages.
Every business enterprise requires to examine the external environment in which its
operates. As FedEx is a part of logistics sector so to offer effective services to its customers and
to capture a large market share from its rivals company need to examine the various elements.
FedEx is a big corporation offering courier services in a comfortable manner which increase the
profits of business and at the same time create more demand in market.
TASK 2
2.1 Marketing communication mix affect the policies and decision making process of company
Every enterprise use some communication channels in order to make the customers aware
about its customers. This consists personal sales, advertising, public relations, direct marketing
and many more. Major and popular brand use a mix of communication tools to serve more
number of customers (Hodgkinson and Healey, 2011). Basically, marketing communication is a
concept in which enterprise use a mix of marketing tools and channels. Main aim of this
communicate the business message to target audience. It is very essential that all tools must be
use by enterprise in an effective way so company can capture a larger market share and at the
same time can attract more number of customers towards it offering. Major components of
marketing communication mix is stated below: Advertising: It produces products according to the customer demand .They made good
quality products at lesser prices which is convenient to the people. Through this it can
reach many people at a time. Company tries to provide reliable,accurate,precise and
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relevant information through advertisement shown in radios and televisions. It tries to
build favourable image in minds of target audience so that they can take purchasing
decision to purchase the product. Firm needs to do different advertisement campaigns and
it can be changed according to changing conditions , needs ,preferences of consumers.
Through this they gets satisfied . Sales promotion: It is a direct tool of communication to increase sales and has a short
term impact on people. After creating a favourable image through advertisements sales
promotion tries to persuade clients (Khurana, 2010). They uses different tools and
techniques such as bonus, incentives, discounts, free gifts, contests, coupons to audience.
In addition to the product it can give extra benefits to customers. Consumers get
attracted through these attractive offers and incentives and can quickly take purchasing
decision. This helps the company to increase sales,profits and can expand its business. Public relations: It is a tool which uses different mediums for promotion of the product.
They tries to create good image in minds of target audience such as
customers,employees,shareholders and government. This helps them in increasing sales
and profits. Through this loyal customers also give references to others and in this way
network can be created. Thus indirectly increases the business. Direct marketing: It is a method which uses different promotional methods for giving
information about product,service and company to the target customers. This helps in
raising the interest and desire of consumers. There are various forms of direct marketing
which includes newsletters ,brochures,catalogues,coupons,phone calls,text messages ,post
cards,online display ads ,magazines etc. It is done according to the clients needs,tastes ,
preferences and increases the customer satisfaction. Publicity: It uses direct medium such as advertisement, newspapers for promotion of
product. This helps in creating interest in consumers and they take purchasing decision to
purchase the product (Jeston and Nelis, 2014). They also helps in maintaining customer
loyalty of product. Through this it increases the sales as well as reputation of the firm
which indirectly widens the business. Online marketing: It is a indirect medium for giving details of the gods and services.
Different websites and innovative pages are made to increase the attractiveness of
product. They uses emails and telemarketing which shows demonstration ,specification of
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product, benefits and other benefits of products such as jewellery,mixture grinder.
Customers can easily understand the characteristics of goods which helps them in taking
a purchasing decision. Through this people can communicate with the seller and their
problems are also solved. So it reduces the confusion in minds of customers. This tool
helps in reducing the expenses and increasing the profits. It also helps in maintains the
competitive edge on others as it reaches large number of customers in minimum time.
 Post Sales services: This provides after sales services to maintain the customer loyalty.
It provides warranties,extensions,home delivery services,thank you notes,emails,SMS
and other text messages (McDonnell,and et. Al, 2010). Toll free numbers are also
provided in different centres in various countries for solving grievances of audience.
Through this customers gets happy and satisfied. This helps in maintaining customer
loyalty and it increases the standard and position of firm. By rendering these services
there can be long term growth and success of company.
Importance
Number of communications tools are there which can be use by firm to communicate
with customers and to encourage them to buy company's products and services. One of the major
importance of communication tools is that it helps firm in capture a larger market share and at
the same time provide various benefits to organisation (Meredith Belbin, 2011). Further, this
help firm in expand its business operations in new areas and at the same time helps to introduce a
new product in market. With help of communication channels FedEx can make its customers
aware about the services and about the price which it charge for that. Before choose the
communication channel it is very essential for managers to consider various elements related
with that channel like the cost, time and effectiveness of that communication channel.
Influence
Marketing communication mix refers to all the promotional mix techniques,includes
advertising, public relations, sale promotion, personal selling and direct marking. The main
objective behind this technique is to attracted the target audience in order to influence the
behaviour and attitudes. In respect to Fedex which is known for overnight shipping business and
covers large part of 50,000 delivery vehicles, rolling billboards uses marketing communication
mix tools with an mission of enlarging their delivery business . Some are the important factors
that influence the policies and decision making process.
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Competitors: Fedex uses various marketing tools in order to enhance competitive
position in market. Company spend millions to sponsor sports events and for naming rights to
stadium in order to establish long term relationship with key customers and wants to create
competitive advantage over competitors. But due to high competition in market especially with
D&B Hovers which create hurdles in progress of this company which also affect the policy and
decision making of company.
Ethical legal considerations : Company at the time of using sales promotion sometimes
because of long term benefits offering misleading consumer promotions and paying slotting
allowing to gain retail shelf space and this fraudulent activity seen in delivery based company.
Further it uses high pressure selling and giving misleading information about product create bad
image. So fedex must uses ethical and legal policies otherwise wrong measure impact badly on
decision making.
Credibility: It is usually said that anyone can buy an ad that say their product is best.
Under this situation consumers always want to know that for what they paid, brand value
importance and offering reassurance will get their attention. Many companies various marketing
strategies in order to attract the attention of customers regarding all the product and service they
are offering, Fedex can create credibility through rational use of marketing tools but due to
continuous change in external market factors affect the decision making of company either it
give chance for future growth or dilute company image.
Relevant marketing strategies: Readers are more likely to pay attention on those ads
which are relevant for them. Effective communication through various marketing tools is one of
the way to convey company message in relation to the benefits of their products rather than its
feature. In case of fedex that starting the business all types of delivery, think about why people
use it. Different parties wants benefits of quick delivery, safe packaging, proper logistics tools
and affordable price system so negligence in one of the factors at the time of making policies
affect future marketing decision and profitability of company.
Changing communication technology: Changes in communication technology and
instant access to information through tools such as internet and social media explains one of the
reason why marketing communication mix is important in today scenario. Consumer are also
changing and because of too friendly with social media wants to access information through
internet site, interactive media. In order to inform costumer regarding the presence of fedex in all
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over the world in order to communicate the services given by them use such media tools. Some
companies already create brand image in this sector so the policies and decision making of
company affected by competitors established image.
2.2 Critical evaluation about the effectiveness of the response of FedEx
Every company uses different communication channels and marketing techniques for
increasing sales. Fedex is a company who provides courier services. It uses various tools and
techniques for promotion of products and its business. This is beneficial for long term growth
and improved performance of firm. All these tools of marketing communication mix has wide
range in market and expands the reach of management to worldwide to attract the large number
of customers towards their services. The tools which are includes in marketing communication
mix includes advertising, personal selling, public relation, direct marketing etc. There is
diversifies role of all these tools which helps in research, distribution, pricing, communication
and promotion of their services. All these tools are very effective in development of
sustainability in the functions of Fed ex. Large number of benefits are also derived by the use of
each single tool which are define below: Growth of business activities: Advertising is the important tool which helps in promotion
of the different services of Fed ex provide by them. This tool is large number of
effectiveness in increase the number of customers and expansion of the area of delivery.
The management of Fed ex uses online advertising method with the help of social media.
This is the more effective because the youth is largely depend on social media regarding
the search of different services. This is the cost efficient method which helps in attraction
of the large number of customers. Build effective relation with customers: Public relation is another tool of marketing
communication mix which helps in fulfilling dual purpose of marketing of services and
maintaining effective communication with their customers. This is the most effective
tools which helps in attaining the views of customers regarding their services.
Appointment of PR agencies in performance of promotional functions helps in provide
timely information regarding launching of their new services to their customers.
Feedbacks of customers helps in improvement of their services and capturing the market
of competitors also. The major part of this tool is contributes in maintenance of good
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relation with their customers which helps to attain their loyalty towards their services. So,
they can use the services of Fed ex. Competitive advantage: Discount and promotion is one of the effective method which
helps in influencing the behaviour of customers to use their services instead of
competitors. This is the effective strategy which helps in expansion of the business and
easily enter into new market. This will happen because it is the nature of consumer that to
use the services of company which provides discount. This helps improving their position
in market by attaining competitive advantage and drive out their customers out of market.
 Identification of demands of different customers: Direct marketing is the method which
includes the involvement each and every customer of company which uses their services.
This helps in identification of the demand of customers of different regions and to make
changes in their existing process of providence of services. This helps in promotion of
limited time deals and new services launches with their customers. This will enhance the
profitability of FedEx.
2.3 Areas in which company can do improvements
Every company has to provide products and services to customers. Organization provides
courier services to customers. This firm needs to improve its services and quality so that goods
can be delivered at right place at right time to consumers for maximum satisfaction. It is also
important for success and its long term growth (Mosse, 2011). It uses different methods to
improve its services - Honest details: It can take reliable and accurate details. Letter can also contain precise
details so that customer can take decision regarding purchase. This helps in increasing
the business and its promotion. Online source: It can use different applications in online .Different websites such as
Facebook, Twitter are used to promote various products. Unique and creative pages
needs to be created which provides relevant and useful information to customers related
to products. So thus helps in promotion of goods in various countries worldwide. Reach customers: Through use of different applications and web pages it can reach many
consumers. It can communicate with the customers (Myers, 2013). Their problems can
be solved and suggestions can also be taken. This helps the company to make various
changes in their strategies and plans and helps them in selling product.
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 Reduces price and customization options: It can use various methods such as envelope
can be wrapped as a gift .Cover should carry a unique colour and other tools to attract
customers. Through it they gets happy and satisfied. Thus helps it in maintaining
consumer loyalty and thus increases their sales. Company needs to adopt low pricing
strategy to increase the market share. Communicates clearly: It mentions all relevant facts regarding the delivery processing
and its time to customers through emails. So customers do not wait for extra hours for
receiving their products (Rosemann and vom Brocke, 2015). Consumers can be happy
through purchasing of goods and services. Afterwards they give reference to their
friends,relatives and others. Thus it helps in widening of the business. Extra perks and taking feedback: Extra incentives such as bonus,coupons,free gifts and
contests can be given to postman to increase sales. They are motivated and encouraged to
perform better. Their feedback can be taken and problems needs to be solved to increase
their confidence level to deliver their services (Smit and et. al, 2011). It indirectly give
good services to customers.
 GPS system: By using this system workers can identify any address and location. So it
reduces searching cost. Thus it increases the efficiency of workers to give best services
worldwide. This results in increasing the customer satisfaction.
Marketing mix consists of different communication channels, activities, processes to
reach target audience. It uses different tools and techniques such as advertising,sales promotion,
publicity, word of mouth, publicity, public relations, online sources, direct marketing etc. They
helps in increasing the services and promotion of product (Smit and et. al.2011). Warehousing is
used to store goods and deliver them according to needs of customers. This reduces excessive
production of goods , helps in inventory planning and its maintenance. Transportation facilities
can be made more efficient by using good vehicles which help in reducing cost,fuel and deliver
the goods to the company. It helps the company in maintaining and managing proper inventory
records. Thus results in timely delivery of products at right time at correct place to increase
sales,profits and maximum satisfaction of audience.
CONCLUSION
From the above given information, it can be summarised that large number of internal
and external factors are there which affect the functioning of an enterprise. It is very significant
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for managers of FedEx to examine all elements in order to formulate a better and effective
strategy for business. With help of this company can achieve all its set goal and at the same time
can better satisfy the needs of its products. Further, number of communication tools are there
which can be use by company to make the customers aware about its products and services and
to influence them to purchase the same. But to achieve maximum benefits it is very relevant that
right tool of communication must be choose by FedEx. Effective communication helps firm in
achieve its end goals and at the same time provide various other benefits to company. Number of
areas are there in which FedEx can improve to increase the number of profits.
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