International Transportation Logistics

What is the maximum number of 40-ft containers a 10,000-TEU containership can carry?

5,000

In terms of containerization of cargo, which of the following is NOT true?

A big advantage is that moving containers does not require ports to have cargo handling specialized equipment

Which of the following best describes a private carrier?

A vessel owned by a shipper and used to carry its own products.

While negotiating a charter agreement, which of the following is not a variable to be defined?

All of the above are elements to be considered

What options in terms of airfreight service are available to a shipper?

All of the above.

A company that assists shippers in dispatching shipments with liners, as well as helping shippers prepare proper documentation is called:

An ocean freight forwarder

The liner rates to move goods from China to the US are much higher than moving goods between the US and China. This pricing strategy is called:

Backhaul pricing

In international water transportation, when a shipper (charterer) is responsible for providing and paying for bunker fuel, port charges, as well as crew and maintenance, this is known as a:

Bareboat charter party

Which of the following is not true for liner consortiums?

Consortiums support destructive competition

Which of the following is NOT an impact of megaships operations?

Draft at ports are shallower due to megaships

Which is a top express carrier?

FedEx.

Which are NOT premium rates?

General Commodity Rates

Air freight carriers that carry time sensitive packages and provide door to door services are called:

Integrators

Which is NOT a benefit of transporting products by air?

It is more expensive compared to using ocean carriers.

Ocean carriers who are common carriers that follow a fixed itinerary and sail, whether filled or not, on the date fixed by a published schedule are called:

Liners

Which of the alternatives below is NOT an effect of slowsteaming?

Lower inventory levels for shippers

One of the services offered by ABF Logistics include international ocean transportation, despite not owning nor leasing vessels. When ABF provides this service, ABF Logistics is acting as a(an):

NVOCC

Regarding the responsibilities of freight forwarders and NVOCCs, what is true?

NVOCCs act as carriers and are liable for the shipment.

Which of the following is NOT a general attribute of ocean transportation when compared to air transportation?

Ocean transportation costs are higher than air transportation.

The statements below present a number of messages described in the second video from the Macao wastebasket problem. Please select the appropriate alternative below: I. The more expensive basket to manufacture was the one that exhibited the lowest transportation costs. II. There were trade-offs between production and transportation costs. III. The selection of the basket type to be shipped should not consider consumer preferences. IV. Locating value added activities closer to consumer markets can be a useful strategy to reduce your total landed costs.

Only statements I, II, and IV are correct.

The price strategy of charging different prices for the same product or service to different customers is called:

Price discrimination

In the Macao Wastebasket problem, what costs components are included in the CIF price?

Price of product at Machado s plant + truck transportation to port of Hong Kong + international ocean transportation to Vancouver + insurance

The practice in which liners operate containerships at significantly less than their maximum speed is called:

Slowsteaming

According to the Wastebasket case, why is the ocean carrier charging two types rates: one by the actual weight (in tons) and another considering every 40 cubic feet to be a ton?

The liner wants to charge higher rates for excessively bulky cargoes.

What is the key motivation for liners to use megaships?

The more containers a vessel can carry, the smaller the cost per container

According to the Macao Wastebasket case, what is the CIF price?

The price that includes the costs of bringing the product to the port in the country of destination including international insurance

What is the customary means through which shippers locate vessels for chartering?

The shipper will find vessels with the assistance of a ship broker.

Which is true of pallets or containers for airfreight?

They are used to carry the vast majority of airfreight.

Which of the following is NOT an attribute for liner shipping?

They charter vessels to single shippers

Which of the items below is NOT true for NVOCCs?

They operate privately owned or leased vessels

What is the main differentiating characteristic of liners when compared to tramps?

They sail on a regular schedule and serve many customers.

Which is NOT true of air freight forwarders?

They use their own flight equipment.

A common carrier that provides ocean transportation, but does not operate the vessels that transport the cargo is called:

an NVOCC

concentrated grape juice in barrels

break-bulk cargo

Petroleum, grain, coal, and iron ore are common examples of ____ cargoes.

bulk

oil in free form

bulk cargo

gasoline in a 20 ft liquid build container

containerized cargo

The tons of cargo, storage, and fuel a vessel can carry refer to its ____ tonnage.

deadweight

Logs

neo-bulk cargo

Related cargo needed for a single, certain purpose (e.g., building a major pipeline) is known as ____ cargo.

project

big hydroelectric turbine

project cargo

What is yield in airfreight?

rate per freight ton-mile

The responsibilities of an ocean freight forwarder DO NOT include:

to pay for insurance claims in the case of physical damage to the cargo

Which products make little sense to be shipped by air?

wheat grain