Frederick W. Smith - The Entrepreneur who Created an Industry

Smith had always been a strong advocate of globalization. After performing exceedingly well in the US, Smith felt that FedEx should commence international operations. In 1984, FedEx started operations in Europe and Asia. In his pursuit to expand rapidly in global markets, Smith acquired several major foreign companies.

For instance, FedEx's acquisition of Tiger International,¹³ in 1989, transformed it into the world's largest full-service, all-cargo airline, with flying routes to 21 countries. Smith was also a strong advocate of open sky policy. In 1995, he lobbied intensively to pressurize the US Federal Government to allow FedEx's planes to fly on 11 new routes in Asia...

Though Smith was appreciated for his entrepreneurial qualities and management style, a few analysts criticized him as well. Analysts accused Smith of resorting to unethical means to arrange money for FedEx during the initial years of its operations. For instance, in 1973, in a desperate bid to finance the purchase of Falcon aircrafts, Smith forged papers of his family trust to secure loans from banks. As per the reports,¹⁶ Smith even went to the extent of gambling at Las Vegas to earn $27,000 to mobilize the additional amount required to finance the Falcon deal...