(a) What is transportation? (b) List and explain six factors affecting the choice of transportation mode.

Answer Details

(a) What is transportation?

Transportation is the marketing function concerned with the physical movement of goods and people from one place (the point of production or supply) to another (the point of consumption or sale). It creates place utility by making products available where they are needed and links producers with middlemen and final consumers.

(b) Six factors affecting the choice of transportation mode

1. Nature of the product: Perishable, fragile or bulky goods require special modes; for example, perishable goods need fast transport such as air, while heavy bulky goods suit rail or water.
2. Cost of transportation: The firm compares the charges of each mode and chooses one that is affordable relative to the value of the goods.
3. Speed required: Urgent or perishable goods call for faster modes like air or road, while non-urgent goods can go by cheaper, slower modes.
4. Distance to be covered: Short distances favour road transport; very long or overseas distances favour water or air transport.
5. Nature of the route and available infrastructure: The presence and condition of roads, railways, waterways or airports determines which mode can be used.
6. Safety and reliability: The mode chosen must deliver the goods safely, on time and with minimum risk of damage or loss.

Other acceptable factors: quantity/volume of goods to be moved, and flexibility of the mode in reaching the final destination.