Question
China historically has always been a production center of the world. It was silk, it was porcelain, it was plastic toys, now it is everything...China
China historically has always been a production center of the world. It was silk, it was porcelain, it was plastic toys, now it is everything...China would like to deliver the products to markets at the least possible cost and in the shortest time. The total logistics costs are a sum of transportation costs and inventory costs (financial costs of inventory in transit). The longer it is in transit the higher the financial costs are.For the Middle Eastern, North African, and European markets the two viable options were the sea route (cheap but long) and the air route (short but expensive). Considering that there are goods that need to be delivered in rather a shorter time (than by sea) but are not as valuable to cover the air freight costs, there's an obvious need for an in-between solution.Since there are not any many railroads connecting China and the West, develop a logistics strategy for China. Do not miss that it is possible to use multi-modal (sea-train-sea-train again) transportation. DO NOT Research China's strategy, or Belt and Road Initiative.
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