Question at position 3 What is the primary function of freight forwarders in the transportation industry?To consolidate small shipments from various companies into larger shipments, thereby reducing transportation costs for each shipper.To operate transportation vehicles, such as trucks and ships, offering direct shipping services to small and large businesses.To act as regulatory bodies that enforce transportation laws and safety standards among small shippers.To provide insurance and liability coverage for goods in transit, ensuring compensation for lost or damaged shipments.题目解析

Question

Question at position 3 What is the primary function of freight forwarders in the transportation industry?To consolidate small shipments from various companies into larger shipments, thereby reducing transportation costs for each shipper.To operate transportation vehicles, such as trucks and ships, offering direct shipping services to small and large businesses.To act as regulatory bodies that enforce transportation laws and safety standards among small shippers.To provide insurance and liability coverage for goods in transit, ensuring compensation for lost or damaged shipments.题目解析

BlackTom AI · Accepted Answer

Question restatement: What is the primary function of freight forwarders in the transportation industry? Options: 1) To consolidate small shipments from various companies into larger shipments, thereby reducing transportation costs for each shipper. 2) To operate transportation vehicles, such as trucks and ships, offering direct shipping services to small and large businesses. 3) To act as regulatory bodies that enforce transportation laws and safety standards among small shippers. 4) To provide insurance and liability coverage for goods in transit, ensuring compensation for lost or damaged shipments.

Analyzing Option 1: This choice describes the core role of freight forwarders—grouping smaller shipments from multiple clients into consolidated loads to achieve economies of scale and lower costs per shipper. Conceptually, this aligns with typical freight forwarding activities such as shipment consolidation, route optimization, and multimodal transport planning. It is consistent with industry practice and the primary function of reducing transportation costs through consolidation.

Analyzing Option 2: This option suggests freight forwarders operate vehicles and offer direct shipping services. In reality, freight forwarders act as intermediaries coordinating logistics rather than owning and operating the transportation assets themselves. The actual operation of vehicles is typically the domain of carriers or trucking/shipping companies, not forwarders. Therefore, this overstates or misattributes the forwarder’s role.

Analyzing Option 3: This statement claims freight forwarders act as regulatory bodies enforcing laws and safety standards. That is incorrect; regulatory enforcement is performed by government agencies and official regulatory bodies, not by private freight forwarders. While forwarders must comply with regulations, they do not function as enforcers or regulators.

Analyzing Option 4: This choice asserts that freight forwarders provide insurance and liability coverage for goods in transit. While they may arrange insurance or advise on coverage, insurance provision is typically offered by insurers or brokers, not the freight forwarder’s defining function. The primary role is arranging movement and documentation, with insurance as a possible supplementary service, not the core function.

Putting it together, the first option best captures the essential purpose of freight forwarders—consolidating shipments to lower costs for shippers—while the other options describe roles that belong to carriers, regulators, or insurers, or misstate the forwarder’s scope. The explanation highlights why each alternative aligns or misaligns with the freight forwarder’s typical duties, underscoring the correct interpretation through contrast.

View Explanation

Log in for full answers

Similar Questions

As an importer with limited experience, what can you do to minimize international freight flow problems?

A freight forwarder’s services include:

In a consumer society, many adults channel creativity into buying things

Economic stress and unpredictable times have resulted in a booming industry for self-help products

People born without creativity never can develop it

A product has a selling price of $20, a contribution margin ratio of 40% and fixed cost of $120,000. To make a profit of $30,000. The number of units that must be sold is: Type the number without $ and a comma. Eg: 20000

Which of the following statement regarding cost is correct:

Under the assumptions used in cost-volume-profit analysis, as the activity increases:

More Practical Tools for International Students

Homework AI Solver

Stylized Writing Assistant

Plagiarism Checker Assistant

Citation Assistant

In-Class Translation Assistant

Class Notes Assistant

Quiz Search Assistant

Past Exam Questions by School

Smart Practice Assistant

Adaptive Practice

Making Your Study Simpler