Which of the following have driven growth in the freight transportation industry in the past few decades (check all that apply)?Group of answer choicesDeregulationFree trade agreementsOn-line businesses (like Amazon.com, etc.)A general trend toward outsourcing
Question
Which of the following have driven growth in the freight transportation industry in the past few decades (check all that apply)?Group of answer choicesDeregulationFree trade agreementsOn-line businesses (like Amazon.com, etc.)A general trend toward outsourcing
Solution
All of the options have driven growth in the freight transportation industry in the past few decades:
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Deregulation: Deregulation in the transportation industry has allowed for more competition, which has led to growth. It has made it easier for new companies to enter the market and for existing companies to expand their services.
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Free trade agreements: These agreements have increased international trade, which has increased the demand for freight transportation. They have made it easier and cheaper for companies to ship goods across borders.
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Online businesses: The rise of online businesses like Amazon has greatly increased the demand for freight transportation. These companies need to ship goods to customers all over the world, which requires a robust transportation industry.
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A general trend toward outsourcing: As companies have outsourced more of their operations, they have needed to ship goods between their various locations. This has increased the demand for freight transportation.
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