Theory question 106
TransportCommerce 2 (essay)
(a) What is transportation?
(b) Explain dead freight
(c) List and explain five factors that will determine a seller's mode of transportation.
Show the model answer
Model answer
(a) Transportation is the movement of goods and people from one place to another.
(b) Dead freight is the charge paid to a shipowner for cargo space booked but not used.
(c) Any five, explained: nature of goods (perishable, fragile, bulky); cost of transport; speed/urgency; distance; safety and security; availability of the means; value of goods; reliability; quantity of goods; door-to-door needs.
Explanation
Explain how each factor affects the choice.