In the logistics-systems design matrix, volume, cost and speed of delivery are three variables (assume three levels: low, moderate or high) used to describe attributes of transportation modes. Air is associated with
A) moderate volume, moderate speed and high cost.
B) low volume, high speed and high cost.
C) high volume, moderate speed and low cost.
D) low volume, high cost and low speed.
E) high volume, high speed and high cost.

Question

Quizplus · Accepted Answer

Air transportation is known for high speed, but also for high cost. As a result, it is usually chosen for shipments with low volume but high priority where speed is critical. Therefore, option B, which corresponds to low volume, high speed and high cost, is the best choice.

In the Logistics-Systems Design Matrix, Volume, Cost and Speed of Delivery