In today’s class, we will discuss transportation.
Transportation
CONTENT
Definition
Importance of transportation to commerce
Commercial requirements of a good transport system
Factors influencing the choice of the type of transportation
Methods of transportation
Transportation is the process of conveying goods and people from one place to another, either through water, road, rail or air.
Importance of transportation to commerce and industry
1. It facilitates the quick and efficient distribution of goods and services
2. It encourages large-scale production by widening the market for goods and services
3. It improves the people’s standard of living by facilitating their movement and making needed goods available
4. Transportation prevents the wastage of perishable goods
5. It enhances specialization and division of labour
6. It provides employment opportunities and sources of income to operators in the sector
7. It facilitates international trade
8. It leads to speedy economic growth and development.
Commercial requirements of a good transport system
1. Low cost/ reasonable cost
2. Safety of passengers and good
3. Convenience
4. Flexibility i.e., easy to adapt to existing situations
5. Minimum formalities: The procedures involved in its operations must not be complicated
6. The timing of operations must not be too rigid
7. Speed: especially for urgently needed or perishable goods
8. Reliability: enabling traders to get their goods on schedule
Evaluation
1. How does transportation make modern commerce possible?
2. List seven requirements of a good transportation system.
Factors to be considered in selecting the right type of transport for the delivery of goods
1. The distance involved
2. The nature of the goods i.e., perishable, fragile, durable, or timed goods
3. The value of the goods
4. The cost of transport/freight charges
5. The number of goods to be conveyed
6 The urgency of delivery
7. The needs and wishes of the consumers/owners of the goods
8. The reputation of the carrier
9. The position or situation of the goods involved
10. The customs of the trade or the firm
11. The weight or bulkiness of the goods
12. The type of transportation available in the areas
13. The destination of the goods
The various methods of transport available for conveying persons or goods from one place to another are:
1. Porterage
2. Air
3. Beast of burden
4. Pipelines
5. Road
6. Containerization
7. Rail
8. Water.
Evaluation
1. List six means of transportation of goods in Nigeria.
2. Describe five factors that determine the choices of means of transportation for goods
General evaluation
1. Explain five measures taken by a country to promote exports
2. State the difference between an ordinary invoice an a pro forma invoice
3. Explain five roles of transportation to businessmen
4. List and explain five problems associated with international trade
5. Give four advantages and three disadvantages of A. branding B. self-service C. vending machine
Theory
1. In which THREE ways does transportation aid commerce
2. Give TWO commercial requirements of a good transport system.
Next class, we will discuss more about Transportation. Send your questions in the comment section below and we will respond.