Economics Assignment Sample on Global Freight Logistics Management

Global Freight Logistics Management Sample Assignments

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Management Assignment Question

Question 1

Oil Prices have been at high levels for a number of years, and it is expected that oil prices will remain high in the foreseeable future. Please find evidence of a company that has changed its sourcing and/or distribution system in response to higher oil prices.

Question 2

In your view, what are the three main challenges affecting the global logistics business in the coming 10 years?

Question 3

The structure of Germany’s economic output is different to the UK. Please explain how these differences affect imports and exports.

Question 4

Do you think 2014 will be a better year for the global container shipping business than 2013? Why?

Question 5

In January 2014, China announced that it was ending a 14-year ban on the sale of foreign game consoles (such as the Xbox, Wii, and Playstation). Will this have an impact on international freight transport?

Question 6

Total manufacturing inventory to shipment ratios in the United States is at a higher level today than five years ago. What does this mean for the overall demand for airfreight?

Question 7

Worldwide e-commerce market penetration has increased from around 4% of total sales in 2008 to 6.5% of total sales in 2012. By 2016, this figure is expected to be over 9%. Which segments of the transportation business stand to benefit from this development?

Question 8

The attached spreadsheet shows a time series containers handled in Hong Kong between January 1999 and Sep 2013. Please describe and comment on the trends that you see.

Management Assignment Solution on Global Freight Logistics Management

Answer 2

There are many factors influencing global logistics. Of which some of the prime concerns are

Transportation Cost
With the spiralling oil price, it is forcing every organization to take the alternative routes to make their business profitable. Fewer organizations look into renewable energy as well. It also forces every company to run their transportation with their maximum efficiency. There arise a trade-off between speedy delivery and cost.

Answer 3

Germany, UK and France being the major contributors in Euro zone each of them has their own set of trade advantages and difficulties to be addressed. Germany is the biggest exporter in the Euro zone and they stand at number third position in the world level.

Germany’s trade surplus gap widens every year. They rely extremely on Asia Pacific countries as their trade partners. They are major exporters in terms of Manufacturing goods and heavy industry equipment and precision materials. Their platform of success looks precariously narrow. They rely heavily on these industries and they go with minimal wages which makes their product attractive across the world. This also reduces their demand within their country as the employees have lower buying power.

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Answer 5

China has decided to lift the ban on gaming consoles after a long wait. The justification posted by Chinese government being to curb piracy. The intention was to promote their manufacturing contribution on this front.

They have formed a Shanghai SEZ zone from where international companies can make their Xboxes and gaming consoles. They have also imposed a restriction that they can make them only with a partnership of local manufacturers. On logistic front they have restricted bigger shipper lines from entering into inbound transportation logistics. This reflects huge dependencies on China local transporters. Each of these companies will have to ship their raw materials to the manufacturing plants in Shanghai SEZ through china logistic transporters. Going over to selling perspective with growth in e-commerce and china with greater population base B2C shipping of products stimulates huge demand of Air Freight Carriers in China and also across other parts of the world.

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Answer 7

Mobile and internet turning out to be the buzz of the growing economies, there is a positive spike in the e-commerce mode of trade. Every company has to provide this e-commerce facility to their customers for sustainability in a competition.

In this model of business customer being demanding delivery lead time to the customer has to be shortened to its best. This supply chain model differs from the traditional model in the aspect of transportation types. In traditional transportation, it is bulk loading of goods of some variety to a single destined location. In this model it is heterogeneous material to multiple locations. This model favours the courier’s services and 3PL logistic providers along with Air Freight Carriers.

Answer 8

With silt free natural harbour and being one of the opening gates to Mainland of China undoubtedly it is one of the busiest transport hubs in Asia.

On analysing the container traffic handled by Hong Kong since 1999 it is clearly visible the capacity change of the port. In the initial periods they were handling container traffic in the ranges of 700,000 TEU, post-2004 it has taken up a drastic shift to 900 TEU. This shows the efficiency of handling container traffic during this period and also increases in trends of Container Lines mode of shipping.

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