The is to discuss the advantages and disadvantages of

The four modes of
transportation consists of: air, road, sea, and rail. It is paramount for firms
to choose the most suited mode of transit raw materials, finished products, or
services to the consumers. There are numerous logistical and financial factors
to consider for choosing the right mode. Road transportation (motor) has
demonstrated to be the most effective and economical choice of mode. It is the
most frequent transportation used domestically and internationally to transit goods
that arrives from airplanes, railroads, and sea.  Goldsby et al. (2014) suggested that “given
the extensive network of roadways transport within towns and cities, as well as
the connection among them, most origin-destination pairs within a land mass can
be reached via means of motor transportation (p.17). The objective of this
research paper is to discuss the advantages and disadvantages of road
transportations. This paper will further examine the logistical and financial
strategy of utilizing road transportation from an economical perspective.  

 

 

 

 

 

 

 

 

Introduction: History of the Trucking
Industry

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            The
trucking industry is one of the largest division within road transportation. The
majority of goods transporting on roads are delivered by trucks. When first
were first developed during the nineteenth century trucks main purpose were to
haul freight but they were limited to provide long distance transit like the
railroad industry.  After World War II,
trucks were utilized to meet increased consumers demand and they began to
operate farther and faster.  The trucking
industry has been one of the forefronts of the United States economy. Trucks
can be seen daily on every major interstate, highway, and local road
transporting over a tons of goods across America. The economy depends on trucks
to transport raw materials between producers and consumers.  More than eight-two percent of goods are transported
by trucks.

The trucking
industry was heavily regulated by the government which hindered the truck
driving industry during President D. Roosevelt presidency.  After the Great Depression, The New Deal was
proposed to ensure that there was fair pricing in the transportation industry
by regulating the price, competition, and the markets.  According to Goldbsy st al. (2014) “The U.S
interstate trucking industry was largely deregulated on matters of economic
competition in 1980 through provisions of the Motor Carrier Regulatory Reform
and Modernization Act (known as Motor Carrier Act, or MCA-80) (p.18).  

As the America’s
highway were developing during the 1950s, trucking industry faced another
limitation of transporting cargo through undeveloped terrain. This limited
trucking companies to transport across the company. In 1956, President Dwight
D. Eisenhower signed the federal aid highway act which authorized the
development of a forty-one thousand mile interstate system which was ideal for
cross-country delivering for the industry. Effective roads enabled the industry
to deliver to any location anywhere safely and efficiently.

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