Based on your reading of the Airborne Express case, please answer the following two questions. Make sure to clearly indicate the beginning and end of the answer to each question
Based on your reading of the Airborne Express case, please answer the following two questions.
Note 1:Make sure to clearly indicate the beginning and end of the answer to each question.
Note 2: Please try to not use any other reference except the document attached.
Note 3: Use the frameworks to support your analyses, and quantify
Questions:
(1) Does Airborne have a competitive advantage or a competitive disadvantage? What explains the performance of Airborne?
(2) What is your recommendation for Airborne to improve their performance?
– Explicitly consider the question: should Airborne move toward distance-based pricing?
– More broadly, what should Airborne do to survive and thrive in this industry? (12 points)
Note 4: If the question is not clear enough, state your assumptions.
You may also want to use the following information:
The average ROE of the US economy in 1996 was 14%. The economy ROS was about 6.5% in 1996.
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