Excellence in Services and Satisfy System †MyAssignmenthelp.com

Question: Discuss about the Excellence in Services and Satisfy System. Answer: Introduction: The United Parcel Service, as a global parcel distribution strives to grow their business globally by offering excellence in services and satisfy the needs of the customers. The enterprise also works towards fulfilling the long term targets of their shareowners and maintain a robust employee base as well as an expanding and loyal clientele. Along with their long term business goals, the mission of the company is also to look into the aspect of development and welfare of their business partners and with these objectives the company dreams of moving towards a path of sustainability and of making a difference by contributing to the community (Crew and Kleindorfer 2012). According to the Five Forces Model, the issues experienced by the UPS in their operations in India and the relevant alternatives are discussed as follows: The company being the biggest of its kind in the markets of India, does not face substantial competition from many competitors as there are not many competing firms in this sector. However, DHL and FedEx are two potential competitors whose market share is just a little below that of the UPS (24.91% for UPS and 21.21% for DHL). DHL being another big name in the industry and also giving international services of more or less same quality to the customers, the UPS needs to take into account its potential and to stay ahead in competition they can use the techniques of product differentiation as well as cost effectiveness in their delivery (Rothaermel 2015). The parcel distribution market of the country is predominated by UPS, DHL, FedEx and few others. These companies already enjoying huge economies of scale and considerable market shares, it is quite difficult for any new entrant to infiltrate in the market, as there are huge fixed costs associated with venturing in this market (E. Dobbs 2014). Bargaining Power of the Consumers: Though the company has a huge share of loyal customers in India, there are still scopes of losing their customers to less expensive alternatives. Theoretically, this problem can be explained with the help of the Consumer Decision-Making Process. According to this, there are five steps in this process including need recognition, searching for information, analyzing alternatives and purchase behaviors of the consumers (Solomon 2014). Thus, keeping this in mind, to retain its clientele, can work on making their service more premium and work more on their one day delivery schemes and also introduce money back schemes to win the confidence of the customers. As per the theory of the seven Ps of Marketing Mix one of the primary P is the Process and it includes how the product or service is delivered and therefore, in this context, it is required for the UPS to take into account its dealing policies with the suppliers who are attached to the company (Gordon 2012). The delivery vehicles, which the company uses, are mostly owned by other enterprises. They have also signed agreements according to which the prices cannot be raised. However, changing the suppliers will force the company to incur increased expenses, which in its turn will hamper the competitive edge of the company. Therefore, maintaining good terms with the current suppliers as well as searching for potential new partners can be a beneficial step on part of the company. There are several competitors in the market in India, including DHL, FedEx and others and they offer same types of services as that of the UPS and each of these enterprises enjoy sufficient market share in the Indian parcel delivery market. However, UPS, being the largest service provider in this market, in a global scenario, enjoys a bigger market share in India too. To retain this advantage and to prevent the potential competitors to surpass them, the company needs to strengthen their tie-ups backward and forward linkages with other enterprises, which are linked with the same industry. This can create a collusive structure, which can help UPS to enjoy cost effectiveness and enjoy their position as a flagship courier company in the markets of India. References Crew, M.A. and Kleindorfer, P.R. eds., 2012.Managing change in the postal and delivery industries(Vol. 25). Springer Science Business Media. Dobbs, M., 2014. Guidelines for applying Porter's five forces framework: a set of industry analysis templates.Competitiveness Review,24(1), pp.32-45. Gordon, R., 2012. Re-thinking and re-tooling the social marketing mix.Australasian Marketing Journal (AMJ),20(2), pp.122-126. Rothaermel, F.T., 2015.Strategic management. McGraw-Hill Education. Solomon, M.R., 2014.Consumer behavior: Buying, having, and being(Vol. 10). Upper Saddle River, NJ: Prentice Hall.