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Air Flows in the Fedex Hub-and-Spoke System over 24 Hours
Like its main competitor UPS, Fedex is organizing its air distribution network as a hub-and-spoke system, with Memphis being the main hub. For UPS, Louisville serves the same function. This enables to provide parcel services over the North American continent in a 24 hour cycle with parcels being delivered in Memphis early in the morning by inbound flights, and delivered to their destination after being sorted and consolidated. The reason why aircrafts are arriving and leaving the Memphis hub in a short time frame is that such a strategy enables to sort the parcel at once and then have them on outbound flights. However, this requires a sorting center having a very high capacity and a privileged access to an airport terminal.