00:00In the early 1970s, air freight was not what it is today. It was expensive, slow, and unreliable.
00:05If you needed to ship something urgently, your options were limited and the cost was
00:09prohibitive. Then in 1973, everything changed. A new airline called Federal Express was launched
00:15with a mission to provide fast, reliable, and affordable air freight services. At first,
00:20the company only served 25 major cities in the United States. But soon, it expanded to
00:25international destinations, connecting Europe, Asia, and the Middle East to the US. By the early
00:301980s, Federal Express was well on its way to becoming a household name. The company had grown
00:35rapidly and was known for its exceptional customer service. Customers loved the convenience and
00:40reliability of the service and the company's reputation grew. But the company's success did
00:44not come easy. There were plenty of challenges along the way. For example, the recession of the
00:49early 1980s hit the company hard. Demand for air freight fell sharply, and the company was forced
00:54to lay off workers and cut costs. Additionally, competition was fierce. Other airlines were
00:59trying to enter the market and steal Federal Express's customers. But despite these challenges,
01:03Federal Express remained focused on its mission and continued to innovate.
01:07One of the company's key innovations was its hub and spoke delivery system. This system allowed the
01:12company to consolidate shipments at its hubs and distribute them to smaller markets. This helped
01:16to reduce costs and increase efficiency, which allowed the company to pass on lower prices to its
01:21customers. Another key innovation was the company's tracking system. Customers could track their
01:26shipments online or by phone, which gave them peace of mind and helped to build trust in the brand.
01:31By the late 1980s, Federal Express had become the largest air freight company in the world.
01:35Its growth was nothing short of phenomenal, and its future looked bright. But the company was about
01:40to face its biggest challenge. Yet, in 1997, Federal Express merged with another shipping giant RPS
01:46corporation.
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