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Question 473

Which of the following statements is true when selecting the mode of transportation to use in a global supply chain?

The difference in cost of warehousing in different countries makes air transportation viable only for very lightweight items.

When moving heavy items long distances, water transportation offers the lowest cost and highest availability in most countries.

Pipeline usage is limited because of the high variable cost of operation and difficulty moving between pipelines.

The availability, specifications, and geographic reach of rail transportation varies greatly from country to country.

Correct Answer: D

The availability, specifications, and geographic reach of rail transportation varies greatly from country to country. This is because rail systems are often developed based on national infrastructure policies and resources, leading to significant differences in capabilities and accessibility.

Discussion

Rajiv8047Option: D

It accurately reflects the inconsistencies in rail transport infrastructure globally, which is a critical consideration when planning international logistics and supply chains. This choice best represents a universal principle in global supply chain management concerning the selection of transportation modes.