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The Barriers

by Brianna - March 6th, 2014.
Filed under: News. Tagged as: , .

Freight forwarding includes this segment of the market defined as the handling and management of transportation of goods by truck, air freight or sea freight. Forwarder for rent / reserve transportation carriers and offer them to their customers for their own purposes. The processing of the documentation along the transport route, such as customs clearance and control of payment of duties / taxes at import and export, or billing is an important part of the service. In principle, it is an asset-light”product that requires no physical means of transport. The barriers to entry are therefore relatively low, which is the leading, global provider of vertically integrated platforms and flexibly to customer requirements differentiate to customize IT systems from the competition.

They provide upstream or downstream services such as warehousing, tracking & tracing (elaborate infrastructure necessary), contract logistics or door-to-door “worldwide on transport from a single source. Generally not covered by private storage demand the Forwardingvolumen develop analog of global trade flows, which leads to a stronger Umsatzvolatilitat and why the Forwardingvolumen are also often used as an early indicator of economic. As a result of the asset-light “model with low fixed costs, the low investment requirements and the short-term price agreements with customers and service providers, the addressed cyclicity affects usually significantly less than profitability, cash flow and ROCE of the provider. Contract logistics and supply chain management contract logistics business model is, however, mainly through medium-to long-term service contracts (3-5 years) with manufacturers and/or dealers and thus generally less short-term economic fluctuations affected, where however volume changes (adjustment of the treaties on economic turmoil) also sales under these long-term contracts affect. Contract logistics companies take over here, typically a variety of logistics tasks along the value added chain of customers who turned almost always to the core performance of the management of the warehouse of the customer. These are the coordination of trans location services between suppliers, warehouses, factories and customers on the one hand, on the other hand, the market especially in the outsourcing of value added services such as simple assembly operations, quality control, shipment tracking, repair services or packaging services is growing.

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