Uploaded by Mohammad Iskandarani

aramex casestudy

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Introduction:
Aramex was founded in 1982, and it has expanded to become global in 2005. It is listed on the Dubai
Financial Market (DFM) and headquartered in the UAE, its location bridges the path between East and
West. Thus its logistics and transportation industry in addition to innovative services were recognized
globally, and it allowed to solve all logistic problems and reach more customers around the world.
1) Service competency of company:
a) International Express:
Aramex provides a global solution for moving time-sensitive documents and parcels door-todoor around the world and within a variety of transit time options that will meet your every
need. It guarantees on time door-to-door delivery of your urgent documents to any
worldwide destination, it deferred as an economical delivery alternative to suit your
business budget, and it offers the ability to request delivery notification by Email or SMS…
b) Domestic Express:
Domestic Express offers reliable door to door solutions for time-critical packages to be
delivered within a country or city. Aramex picks up and delivers your packages within agreed
delivery times with the ability to track the shipments online at any time. It also differs
important packages within 3 to 5 days.
2) operation strategy that the company:
a) Land Freight:
Extensive Land Network Aramex has one of the largest and most advanced land freight
networks in Middle East, United Kingdom and Ireland. Modern truck fleets equipped with
GPS-tracking technology, scheduled services and strategically located terminal hubs, all
combine to make Aramex land freight a smart and cost-effective shipping alternative.
b) Air Freight
Aramex offers a global and cost effective solution to all of your air freight needs. Through a
worldwide network spanning the four corners of the globe, the teams of cargo professionals
provide global services and local expertise to ensure complete door-to-door transportation
and smooth Customs clearance at all times. Its state-of-the-art technology and network of
offices around the world allow total traceability and visibility of the shipments from the
moment a job is booked until it is delivered at the final destination.
c) Ocean Freight:
Aramex provides comprehensive ocean freight forwarding services. Backed by the global
network of offices covering key shipping lines worldwide, highly skilled teams of experts and
state of the art technology systems, our ocean freight services will take care of the cargo
through the entire shipping cycle, from collection to the delivery to the ultimate consignees.
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4) Globalization stages Aramex has pursued:
Aramex developed from a local firm to a major global transportation and logistics solution
company with many operations internationally. In the Arabian Gulf, Aramex has become the
company of choice in the logistics and other related services. Aramex’s approach to
internalisation involves geographical focus with certain products that enhance shareholders’
value based on the company’s growth strategy.
The company aims to repeat its model used in the Gulf region in the other parts of the global.
Aramex strategy has been “connecting high growth emerging markets, such as those in Africa
and Asia, to its global network”.
The geographical expansion strategy has ensured that Aramex gains significant presence in the
US and China.
5)
a) structural decisions:
Aramex has concluded that Arab countries near the Persian Gulf are its key markets
in addition to its new markets in sub-Saharan Africa. Markets in different geographies are
responsible for the bulk of its revenues. In addition, technology has driven Aramex business
strategy by enhancing efficiency in operations, service quality, sales, business growth and
profitability . Still, Aramex supports small businesses and uses e-commerce to facilitate
growth in trading activities.
strategic acquisitions and partnerships have remained the major entry strategies for
Aramex in certain markets and regions. For instance, the company used such strategies in
Turkey, Malaysia, Bangladesh and Vietnam. Through this, Aramex aims to achieve
sustainable growth that creates values to shareholders.
b) Infra structural decisions:
Fadi Ghandour established Aramex in 1982, acting as an express courier wholesaler to
North American courier companies, including FedEx and Airborne Express; consequently,
becoming DHL’s first real competitor in the Middle East. The company returned to private
ownership following a leveraged management buyout in 2002, before going public on the
Dubai Financial Market in 2005.
Inaddition to that, the CEO or Aramex said:” 26 years ago, you founded Aramex from
scratch. 15 years later, the company became the first Arab company to be listed on the
NASDAQ. Today, with over 8000 people in 150 locations around the world, Aramex is a
model company for the Arab world. “
References:
1. https://ivypanda.com/essays/aramex-international-business-strategy/
2. https://www.aramex.com/content/uploads/109/200/42020/Aramex%20profile%20
comprehensive.pdf
3. https://knowledge.insead.edu/strategy/ceo-view-fadi-ghandour-of-aramex-2048
4. https://www.aramex.com/docs/defaultsource/resourses/aramex_annual_report_2018_en.pdf
5. https://reports.aramex.org/2015/report/strategic-direction/
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