You are currently working for a local distributor of various electronic devices, as a logistician. Your role to create, modify and supervise the movement of local and international shipments in the supply chain. The Operations Manager (OM), your boss, has discussed with you, a new product that management wants to import. The OM wants your suggestions as to: 

-what concerns that the company should be aware of

- which mode of transportation should be used

- how to reduce transportation cost

- should they use FCA or another INCOTERM

- should they use 1 x40 (freight rate US6000.00 (all in))

- should they use LCL ($290.00 w/m (all in)) minimum bill of lading fee $300.00 

- or a combination of FCL and LCL- should they use airfreight ($3.50/kg all in)

- what is the most economical freight cost to ship the 700 sets. (show all calculations)

 

The following details were given

1. Product: Replacement Set of Ink Cartridges for Printer

 Measurements of Individual box (not export packaging) 18cm L x 11cm W x 5cm H

Weight of Individual box - 250 grams each

Master carton: L 46cm x  W 23cm x H 23cm Total max weight 50kg 

Maximum height per pallet 91.44cm

Stacking ; max 3 layers per pallet 

1. Vendor: MIKJIM Industries located in Xiamen, China
2. Mode: Air or Ocean
3. First order quantity - 700 sets

Please show all the calculations.

Your answers to the concerns should include a full explanation (pros & cons) in your choice of report format. Show all calculations.

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