Strategic Management Analysis of United Parcel Service

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STRATEGIC MANAGEMENT
UNITED PARCEL SERVICE

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TABLE OF CONTENTS
INTRODUCTION............................................................................................................................. 3
EXTERNAL ANALYSIS...................................................................................................................... 4
PEST ANALYSIS...........................................................................................................................4
PORTER'S FIVE FORCES ANALYSIS..............................................................................................5
INTERNAL ANALYSIS.......................................................................................................................6
GROWTH STRATEGIES....................................................................................................................8
CHOICE OF APPROPRIATE GROWTH STRATEGY.........................................................................8
CONCLUSION............................................................................................................................... 10
REFERENCES.................................................................................................................................11

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INTRODUCTION
Strategic management is the analysis of the resources and the market which is required by any
organization for managing its existing products. It also helps in planning the objectives by
making substantial use of the corrective methods helpful in the development of the
organization (David and David, 2016). This strategic management report which has been
prepared for the United Parcel services is aimed at analyzing the internal and the external
environment of the organization use of various tools and techniques such as porters five forces
analysis, pest analysis and SWOT analysis. The report would also be focused on providing
strategic choices to the organization which would be highly beneficial in developing the
strategies.
united parcel services is a major player within the logistics industry and are engaged in
providing package delivery services, financial services, logistic services and specialized
transportation among others. The organization majorly performs its operations under three
major business segments namely the supply chain & freight, international package and U.S.
domestic package (About UPS, 2019).

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EXTERNAL ANALYSIS
PEST ANALYSIS
The strategy of the organization and its performance within the market is impacted by a large
number of factors which exist within the external environment of the business. The following
are the internal and the external factors which have an impact on the growth of the business
organization:
POLITICAL FACTORS
It is very essential for the organization to consider the importance of freight services and the sir
delivery services within the economy. The trade regulations and the favoured trading partners
are needed to be considered. Also, the wage legislation along with the minimum wages and
overtime should also be taken into consideration (Shamsuddin et al., 2017). The organization is
also bound to adapt to the anti-trust laws which are related to the freight and air delivery
services.
ECONOMIC FACTORS
The operations of the United parcel services is impacted by a large number of factors which
comprises up of the inflation rate, growth rate and the other industry factors such as spending
power of the consumers, growth rate of the freight and delivery services industry and others.
SOCIAL FACTORS
The marketers of the united parcel services can understand the customers within a given
market when they gain a detailed understanding of the shared attitudes and beliefs of the
customers within the industry (Flouris and Oswald, 2016). The other social factors which can
have an impact are the marketing message which has been adapted to be conveyed to the
customers within the Air delivery and freight services.
TECHNOLOGICAL FACTORS