SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : fedex: phantom internet play
FDX 296.33+0.1%Dec 26 9:30 AM EST
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Darryl Olson who wrote (17)4/8/1999 2:21:00 AM
From: Ingenious  Read Replies (1) of 26
 
This is probably the start of much more to come. Fedex currently delivers boxes and things that people can hand to you in your office or home. In volume, even these small amounts of money can really add up. If I were the president of FedEx right now, I would be thinking of increasing margins by carrying items that have even higher margins. Fedex is really a pick ax of the Internet riding the coattails of everyone else. Relatively speaking, their job does not get as complex as everyone else trying to enter the e-commerce market since they are just taking orders and filling them as usual.

in the future, I see Fed Ex increasing margins (increasing profits and the stock going even higher) by:

1. getting into the home retail space - most fed ex is busines or occasional home use (ie mail order). Perhaps Fedex can penetrate the home and become part of Christmas, birthdays, and all gift giving events. Would'nt everyone send overnight if it was only $3???

2. Increasing margins with higher margin items and higher surcharges. As the internet increases volume and variety of goods, FEdEx will be able to start sending a wider variety of goods at increased margins and lower costs due to volumes. Will FedEx start to ship cars overnight express from Florida to California because a dealer in Florida had the best deal?? Is there really a limit to the size of a product shipped as long as it makes business sense??

Thoughts??
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News