CHAPTER 1 TRANSPORTATION – CRITICAL LINK IN THE SUPPLY CHAIN

1. What are the major forces or external factors which have impacted our economy during the latter part of the 20th and the early part of the 21st century? How have each of these factors influenced companies as well as their respective supply chains? Which of these factors do you feel is the most important for a computer company? Why?

2. What is the actual nature of transportation demand? How does transportation demand influence individual companies in the economy economy?

3. Measuring transport output can be challenging to individuals trying to make a comparison among modes of transportation. Why is this measurement so challenging or difficult? Is there a better measure? Why or why not?

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4. What is meant by the concept of derived demand? Why is it so important in the area of transportation for shippers and carriers? Does this concept have application in other area, give some examples?