TRANSPORT (Unit 21b Schema)

1. Why is transport an essential element in sales transactions? Transport is an essential element in sales transactions as it gets the goods to the final consumer. 2. What are the most common forms of transport used in Italy for export trade? The most common forms of transport used in Italy for export trade are land and water. 3. What has changed in transporting goods over the last thirty years? Over the last thirty years, there have been many important changes related to transporting goods. Perhaps the most important modification has been the introduction of standardised packing units, such as the container. 4. How is it possible? It is possible because container can be transferred easily from one mode to another. 5. How does a company choose a means of transport? Many factors need to be considered before a company chooses an appropriate means of transport. The most important are: Type of goods, size, weight, quality (valuable, fragile, durable or perishable goods) Urgency Distance Cost

Goods require different forms of packing depending on whether they are sent by air or sea; insurance costs also differ depending of the amount of risk involved. 6. Why is road transport the most frequent form of land transport? Road transport is the most frequent form of land transport because offers door-to-door service and is not subject to a strict timetable. It is usually cheap and fast and can reach places which other forms of transport may find inaccessible.

7. What are pipelines used for?

Pipelines are used for transporting oil, gas, petro-chemicals and even some solids, but costs are high.

8. What are railways used for? Railways are usually used for moving bulk freight over long distances. They are also used to transport urgently required or dangerous items such as nuclear waste. 9. What are the transport documents? The transport documents used by road or rail are the consignment note or waybill. It acts both as a receipt for the goods and proof that there is a contract of carriage. The carrier makes three copies: one for himself, one for the consignor and the third for the consignee.

10. What does the transport document usually consist of?

(BOH)

11. What are the advantages and disadvantages of transport by air? Advantages: Transport by air is very quick and so for perishable or non-durable goods. It is the best form of transport. It is also used for medical transport where there is urgency. Disadvantages: The cost is very expensive and logistically speaking. It is not the most suitable for big companies who want to transport in bulk as the airports may not be well connected to rail lines or the most important infrastructure.