Your role is the materials and distribution manager for Apotex Pharmaceuticals in Montreal. You are responsible for all transportation, distribution, materials, and purchasing for that firm. Your freight forwarder is GCA $($Global Canadian Agents$),$ and Apotex can take care of the delivery to CGA at the airport terminal using their own trucks.

Your companies have been hired to deliver aid to the conflict zone of Yemen, supplying emergency pharmaceuticals to Medicin sans Frontiere in that country. The United Nations has brokered a fragile peace plan, and the blockade of Yemeni Ports and risks to air traffic will be lifted for a one$-$week period. Your task is to take this opportunity to deliver $4\mathrm{.}5$ cubic meters of materials weighing $1\mathrm{.}2$ metric tonnes and having a value of $$8,000,000\mathrm{.}00.$ You are responsible for deciding all logistics necessary to deliver the goods to the hospital in Yemen.

You have, so far, found the best two choices to get the cargo close to the destination, but you will need to recommend the best choice and the method of delivery to the final destination in the Governorate of Amran, in the north$-$west interior of Yemen.

Alternative $1$ Alternative $2$

Montreal $$ New York $$ Riyadh

$($Air freight, UPS via JFK$)$

Freight rates:

Montreal $$ JFK by express truck, CAN $$15\mathrm{.}00/100$ lb$.$

JFK $$ RUH: $+500$ kg $-$ US $$11\mathrm{.}02/$kg

Montreal $$ Paris $$ Cairo

$($Own consolidation to Paris, then your French agent$$s consolidation to Cairo$)$

Freight rates:

YUL $$ CDG: $+300$ kg $-$ CAN $$3\mathrm{.}36$

CDG $$ CAI: $+500$ kg $-$ EUR $6\mathrm{.}93$

Exchange rate: US $$1\mathrm{.}00=$ CAN $$1\mathrm{.}30$

EUR $1=$ CAN $$1\mathrm{.}40$