Dhl the History of International Term Paper

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By acquiring Airborne Express, a new ranking for this year would likely move them up the chain a spot or two. The second table looks simply at the domestic market share for 2002, and it can be seen that DHL does not rank very highly. This was likely due to the fact that the merger with Airborne Express was not yet completed and therefore the abilities that DHL had on the ground in the domestic market were not strong. Although no new data has yet been presented, it would be interesting to see whether DHL's ranking is higher now than it was then, now that the merger with Airborne Express has been completed.

Table 2: U.S. domestic expedited cargo market share

Third quarter 2002

U.S. Postal Service

FedEx Express/Ground

Airborne/DHL

All others

Includes domestic air and ground parcel.

Source: DHL/Airborne, 2003.

Driving Factors

One of the reasons that DHL does so well is that much of the business it gets would have otherwise been handled by the Post Office (Wessel, 1995). Because the postal service has been somewhat privatized recently, however, much of the business that would have gone to it has gone to other carriers. DHL is not the only one, but they are capable of sending packages to areas of the world that the other carriers are not involved in. They are following in the footsteps of UPS and FedEx by signing an agreement with 1200 independent parcel and mail centers (DHL, 2004).

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They are fast, but this is not the main reason that they do so well. Instead, it has to do with the diversity that they have and the fight that they are willing to keep up when they feel that they are being pushed out of the marketplace by UPS and FedEx (DHL Worldwide, 2004). Not only can that send something just about anywhere in the world very quickly, but they are also there for logistical advice and helping their customers to do the best business possible. This is evidenced by the many awards that DHL has won in various Asian countries for advertising, innovation, and operations (DHL Scoops, 2002).

Many of the other 'courier services' simply send packages, without and advice as to how the business in question could save money, or whether a certain kind of shipping would be beneficial. It is this targeted customer service and the ability to send to so many different places across the world that sets DHL apart from its competition. The battle for gaining ground against UPS and FedEx in some areas, however, is just getting started (DHL: Once, 2004).

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