Asked by Gerson Torres on May 07, 2024

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Cheaper modes of transport typically have

A) shorter lead times and smaller minimum shipment quantities.
B) shorter lead times and larger minimum shipment quantities.
C) longer lead times and smaller minimum shipment quantities.
D) longer lead times and larger minimum shipment quantities.

Lead Times

The amount of time that elapses between the initiation and completion of a process, such as the period from placing an order to delivery.

Minimum Shipment Quantities

The smallest amount of product that a supplier is willing to ship, usually determined by transport efficiency or the supplier's policy.

Transport

The movement of goods or people from one location to another, typically involving vehicles such as trucks, planes, or ships.

  • Recognize the effects of transportation mode choices on lead times and shipment sizes.
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Simone CastroMay 13, 2024
Final Answer :
D
Explanation :
Cheaper modes of transport, such as sea or rail, often have longer lead times due to slower speeds and may require larger minimum shipment quantities to be cost-effective, compared to more expensive, faster options like air freight.