QUESTION
What would a company most likely consider when deciding between air and water as a mode of overseas transportation?
What will be an ideal response?
ANSWER
Answer: The two biggest factors most companies consider when choosing between air and water for overseas transportation are price and time. While water is the cheapest form of transportation outside of pipelines, it is very slow. Air, on the other hand, though the fastest mode of transportation, is the most expensive.
Explanation: Because water is the cheapest mode of transportation outside of pipelines, it is very attractive to a company’s bottom line. It is, however, very slow. Air transport, however, is very fast but very expensive. How quickly the goods need to be delivered and what the cost is to do so, then, are the two biggest factors for companies deciding between the two modes of transportation.
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