The concept of transportation costs

by：CNS 2021-07-06

The concept of transportation cost 2021-06-20 18:53:49 Under the conditions of a market economy, any economic activity has its own costs, and similarly, transportation economic activities also have their own costs. Both the micro decision-making of transportation companies and the macro-control of the government must be considered. Transportation cost refers to the sum of various expenses paid for the transportation process between two geographic locations. This includes expenses related to administrative management and maintenance of inventory in transportation. It is paid and settled in currency. The purpose of controlling transportation costs is to make the total transportation cost the lowest without affecting the reliability, safety and speed of transportation. Transportation cost management is a comprehensive management, which is a comprehensive reflection of the economic performance of the entire logistics transportation. The purpose of transportation cost management is to minimize logistics costs, which means that the lowest transportation costs do not always lead to the lowest total transportation costs.

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