Factors Determining Choice of Transportation
1. Nature of Goods: The nature of the goods to be transported will determine the means of transportation to be used.
2. Cost of Transport: The overall cost of transport does determine the choice of means of transportation of goods. Air transport is costly while rail is cheap over a long distance of either of the two to use.
3. Weighty/Bulky Goods: Goods that are heavy and bulky are better moved by road, rail and sea while light goods are best suited for air transport.
4. The Type of Transportation Available in the Area: The choice of transport can also be determined by the type of transportation available in the area.
5. The Value of the Goods: Commodities with high values like jewelry are better transported by air so as to reduce pilferage.
6. Distance Involved: When the distance is long, the best means of transportation are water and air, irrespective of the cost while road transportation is good over a short distance.
7. Speed: The speed of the means of transportation will be considered. Perishable goods for example are better handled by fast means of transportation.
8. Convenience: This depends on his choice in terms of variety and availability where the businessman resides.