4)
The value inherent to freight forwarding in the modern global supply chain can be stated both in terms of finances and efficiency, which ultimately has its own effect on finances and revenues, as well. These two value elements are largely intertwined in the supply chain itself as well -- freight forwarders are better equipped to locate available shipping space at the best possible price than are individual manufacturers or even distributors (Baluch 2005). Freight forwarders essentially offer a service to both shippers and manufacturers/those in need of shipping, creating greater value for both asset-based entities in the arrangement by creating greater efficiency in the system as a whole (Baluch 2005).
5)
The seven economic drivers of transportation costs can be easily illustrated with the example of a standard laptop computer. Distance for many of these units is considerable, often requiring transport from parts of Asia to Europe and North America, with prices commensurate with the miles and modes of travel required. Weight and density for most laptops is not a major factor of increasing the cost of transport, as individual units are relatively light (between one and four pounds) and are not especially dense for their size (though this varies considerably from model to model). Stowability is also a relatively minor factor...
Our semester plans gives you unlimited, unrestricted access to our entire library of resources —writing tools, guides, example essays, tutorials, class notes, and more.
Get Started Now