Operational Model of China's Express Services Industry: A Case Study of SF-Express

Abstract

China has a very suitable environment for the development of the express industry. The growth rate of online stores in the world has exceeded the GDP growth of China and other countries. In the past five years, the express service market of China had expanded rapidly, reaching an annual growth rate of over 35%. Enterprises are engaged in this industry mainly because of the high profits, low entry requirement and great growth potential in the domestic market. This paper, through literature review, provided a case study of SF-Express, an outstanding privately operated express company in China. It analyzed the operational model of SF-Express to find out the effective means for enterprises to hone their core competitiveness for rapid development. It then used SWOT analysis to match opportunities, threats, strengths and weaknesses. This was vital for reaching optional strategic schemes for enterprises. Finally, it proposes some referential suggestions on the operational model of express companies.

Keywords: China’s Express, Operational Model, SF-Express, SWOT Analysis

JEL Classification: L53, L87, M16