Case Title:

FedEx Kinko's to FedEx Office: Brand and Cultural Integration Challenges

Abstract:
FedEx's acquisition of Kinko's has been sailing in troubled waters. In 2004, FedEx acquired Kinko's to leverage its brand and strengthen its customer services. But even after four years after acquiring Kinko's, the company is still charting out ways to enhance customer service and resolve corporate culture clashes. In 2008, FedEx decided to drop the name Kinko's and renamed its business as FedEx Office. This case study focuses on the branding challenges a company faces while trying to restore its reputation. This would enable a debate on FedEx's dilemma – whether to continue with the brand identity of acquired company (Kinko's brand) or does it make sense to integrate the brand of acquired companies' with its own brands. It also prompts a discussion on how the culture of the acquired and acquiring company influence the performance of the latter (in this case – FedEx).

The following issues are to be addressed with the help of the case study (or) the following issues can be resolved through the case study:

• Is there a strategic fit between FedEx and its acquired businesses?
• What are the measures a company must take when acquiring a company to ensure that the acquired company compliments with its business and culture as well?
• Now that FedEx has decided to do away with the Kinko's name, is the decision of doing away with its name a right move?
• Will the new brand name help FedEx improve its performance in copying and business services segment or had it called for new problems?

Pedagogical Objectives:

• To understand the nature of FedEx business and discuss the Key Success Factors (KSFs) for its business
• Given the nature of FedEx business, what are the ideal growth options and also to analyse the strategic fit between FedEx and its acquired companies
• To debate on the efficacy and feasibility of continuing with the brand identity of acquired company – in this case the Kinko’s brand- or does it makes sense to integrate the brand of acquired companies with the brand of acquiring company.

Course: Strategy

Concept: Making acquisitions work

Key focus: Brand and culture integration challenges in an acquisition