Cultural Implications of Conducting Operations Term Paper

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I believe the market is simply too small for continued growth to occur.

In regards to Surrey British Columbia, I also believe it to be a viable option for FedEx, but not to the extent of Miami. For one, Surrey has a population of 394,976 people which makes it the provinces second most populous city (5). The economy is fast growing and has a significant upside potential. Because of this fact, I believe Surrey to be a better option than St. Johns. Industries that are growing quickly are Clean Energy, Finance, Real estate, High Technology, Advanced Manufacturing, Health, and Education (6). I believe the sectors of interest for FedEx are manufacturing, real estate and technology as they can either provide business possibilities or opportunities for joint ventures. Unlike the other two locations however, FedEx may want to defer entry into this market until the technologies actually come to fruition. This is due primarily to the fact that unavoidable failures and setbacks will occur with excessive growth. Such is the nature of the business cycle. Many companies that invest heavily in research and development will inevitable have products without a large enough market, or a failed product altogether. However, through due diligence, many innovations arise and are quite profitable. I believe FedEx will be better served to wait on this particular market in such a case. . More than $6 billion of building permits have been issued in Surrey over the past 5 years. Housing starts in Surrey increased over 48% since 2009. According to the Greater Vancouver Home Builders' Association, each residential housing start generates 2.8 person years of employment, further expanding the economy (7). Three of the largest construction companies are locate in Surrey (7). These companies combined with the inevitable growth in the area will need shipment of goods and products. The faster the economy grows, the greater the need for these goods. A spectacular growth in construction would not arise unless a corresponding increase in either population or business activity arises with it. This is exactly the case with Surrey as its population has increased 25% of the past nine years. Finally, the community of Surrey is committed to the growth of the community. This is evident with its Build Surrey capital investment plan. This plan is designed to create high density amenity rich areas with the Surrey area. This will be done through construction of recreational parks, community centers and transit areas. As FedEx positions itself in the Surrey area, this growth in business activity will translate into growth with the various business segments of FedEx as demand for its services grows.

Real Estate manufacturing and technology are also experiencing growth that will ultimately aid in the operations of FedEx. First, real estate and manufacturing generate over $49 billion to the over GDP of Surrey. Technology in particular has outgrown the economy over the past 5-year (8). The technology industry first contributes high paying jobs that will eventually further help the economy grow. More importantly FedEx can harness this technology to improve existing operations. One facet that Surrey is heavily invested in is that of automated services. These services help automate critical business functions such as energy usage, pocket sized data loggers, and miniaturization of computing equipment. All of which is of importance to operations of FedEx. By controlling costs associate with these technologies, FedEx can provide goods and services more cheaply and efficiently. As such, these savings can be passed on to consumers or retained in the company to engage in more profitable endeavors. With this being said, I believe operations in Surrey will be profitable once the technology and infrastructure is properly in place. As the economy grows, FedEx will be in position to grow alongside the economy of Surrey.


1) "Population by Age and Sex." Web. 02 Aug. 2011. .

2) "Detailed Highest Level of Schooling by Sex and Age Group." Economics and Statistics Branch (Newfoundland & Labrador Statistics Agency), 2001. Web. 02 Aug. 2011. .

3) "Canada Census." Web. 03 Aug. 2011. <3)>.

4) "Newfoundland." Web. 03 Aug. 2011. <4)>.

5) "Survey Census." Road Side Thoughts. Web. 03 Aug. 2011. <5)>.

6) "Growing Sectors:: The City of Surrey, British Columbia." City of Surrey:: The City of Surrey, British Columbia. Web. 03 Aug. 2011. .

7) Construction Sector Profile." Surrey. Web. 03 Aug. 2011. <7)

8) "Surrey." Technology Sector Profile. Web. 03 Aug. 2011. <8)[continue]

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