When dealing with logistics there is a fundamental trade-off between transport and inventory. The goal is to keep one high and the other low, but they tend to increase together.
The trade-off between transport and inventory is a crucial one in the design of a worldwide distribution network. Transport can be less expensive overall in some nations than running a business and keeping inventory. Due to the lack of available land to build warehouses and other distribution assets, property is expensive despite the high quality of the road infrastructure. The cost of keeping merchandise in warehouses, the cost and accessibility of land, and the cost of labor can all be compared to the transport variable of driver, vehicle, and road expenses.
To learn more about transport click here:
https://brainly.com/question/12133248
#SPJ4
