DIBM402 GLOBAL LOGISTICS AND DISTRIBUTION MANAGEMENT FEB-MARCH 2025

Description

SESSION	FEB MARCH 2025
PROGRAM	MASTER OF BUSINESS ADMINISTRATION (MBA)
SEMESTER	IV
COURSE CODE & NAME	DIBM402 GLOBAL LOGISTICS AND DISTRIBUTION MANAGEMENT

 

 

Assignment Set – 1

 

 

Q1. a. What are the factors influencing the global trade environment? Explain any two briefly

1. How does production dispersion strategy contribute to promoting global trade? Explain briefly.

Ans 1.

1. Factors Influencing the Global Trade Environment

The global trade environment refers to the overall ecosystem of rules, policies, and conditions under which international business takes place. Several dynamic factors shape and influence this environment, determining the flow of goods, services, capital, and information across borders. These factors can either facilitate or hinder trade activities depending on their nature and impact.

One important factor is political stability and policy environment. Countries with stable governments, transparent policies, and strong legal systems attract more international trade.

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Q2. a. What are the types of tunnels? Explain the key benefits of tunnels in supply chain and logistics.

1. Modern shipping technology is a vital lifeline of global trade and connectivity. Justify.

Ans 2.

1. Types of Tunnels and Their Benefits in Supply Chain and Logistics

Tunnels play a strategic role in transportation logistics by providing direct and uninterrupted routes through mountains, under rivers, or across dense urban areas. They facilitate the efficient movement of goods and enhance supply chain resilience. Based on their purpose, tunnels can be classified into several types:

1. Road Tunnels – Built for vehicular traffic, they reduce travel time and improve access Modern shipping technologies enhance global connectivity, reduce supply chain bottlenecks, and play an indispensable role in sustaining international commerce in today’s highly integrated economy.

 

 

Q3. a. What is a charter agreement for shipping? Differentiate between voyage charter and time charter agreements.

1. Explain the key components of the ocean liner contract system.

Ans 3.

1. What is a Charter Agreement for Shipping?

A charter agreement in shipping is a contract between a shipowner and a charterer (the party hiring the vessel), under which the shipowner agrees to lease out their vessel for the transportation of cargo. The agreement outlines the terms of usage, responsibilities, duration, payment terms, and liabilities associated with the use of the ship.

Charter agreements are essential in bulk cargo transportation such as coal, iron ore, oil, or grain,

 

 

Assignment Set – 2

 

 

4. a. Explain the role of cargo insurance in international Air Transportation
5. Intermodal containers are essential in global logistics and supply chain management. Justify.

Ans 4.

1. Role of Cargo Insurance in International Air Transportation

Cargo insurance plays a crucial role in protecting the value of goods being transported by air across international borders. In air transportation, shipments are exposed to risks such as theft, damage, misrouting, delays, or destruction due to accidents or natural disasters. Cargo insurance helps mitigate these risks by providing financial compensation in case of loss or damage.

Air cargo insurance is generally classified into all-risk and named perils coverage. All-risk

 

Q5.a. Explain various logistics intermediaries used in global logistics.

1. What are Automated Clearing House’s (ACH) features in Global Logistics?

Ans 5.

1. Various Logistics Intermediaries Used in Global Logistics

In global logistics, logistics intermediaries play a vital role in facilitating the movement, storage, and delivery of goods across borders. These intermediaries bridge the gap between shippers, carriers, and consignees by offering specialized services that enhance efficiency, reduce risk, and improve supply chain coordination.

One of the most important intermediaries is the Freight Forwarder. A freight forwarder acts as

 

 

Q6. a. Explain the components of a Cargo insurance policy.

1. Explain the inventory holding costs in global sourcing.

Ans 6.

1. Components of a Cargo Insurance Policy

A cargo insurance policy provides financial protection against loss or damage to goods during transit by air, sea, or land. It is crucial for exporters and importers in international trade, where shipments are exposed to multiple risks across long distances and multiple handling points.

The first major component is the insured value, which typically includes the cost of goods, freight charges, and an additional percentage (usually 10%) to cover potential profit loss. This