TNT maps out strategy to gain market leadership
In a bid to gain market leadership by 2005, e-logistics provider TNT
has mapped out a strategy that will be dominated by strategic
alliances and mergers and acquisitions. Martin Phillips, director for sales and marketing for Asia, said in
an interview at the Shangri-la Hotel in Makati City, that the
company will engage in such activities to further strengthen its
hold on the market. Mr. Phillips added that the company has already established a
strategic alliance with Kintetsu Worldwide Express. It has also
acquired TEI, a domestic logistics provider that maintains the
largest fulfilment network in Thailand, he added. In the Philippines, TNT holds a strategic partnership with the
Aboitiz Transport Group (ATG), which has the largest nationwide
infrastructure support system. “We are strengthening our strategic
alliances at the domestic level,” Mr. Phillips added. Such alliances are becoming integral to the company’s new services.
For instance, TNT’s local office is working with ATG to offer its
new warehousing service. TNT said ATG will supplement its two domestic warehouses with its
own in 48 locations nationwide for its local services. While the company has not named specific targets for its merger and
acquisition activities, Mr. Phillips said that it is looking at
partnerships that will “create value” for the company and its
clients. To gain the top position in the e-logistics market, Mr. Phillips
said that the company has to grow its courier services by 300% and
its logistics business by 1,000% in 2005. Mr. Phillips added that the company is confident it will meet its
targets despite the softening global economy. “This we feel is just
a speed bump in the growth path of Asia,” he added. He explained that the ensuing cost cutting measures in supply chain
management and logistics have created more opportunities for the
company.
Copyright 2001 BusinessWorld (Philippines).
Source: World Reporter (Trade Mark) – Asia Intelligence Wire.BUSINESSWORLD (PHILIPPINES), 25th July 2001
