Business

Repositioning of Empty Containers Is a Highly Expensive Business How Can a Foldable Container Cut Down Costs of Empty Transport

As part of typical business practice, cargo is being moved using a non-foldable steel container boxes coming from the place where goods are manufactured to the market whereby the products has been sold (Priyo, 2008). One of the distinct disadvantages of using traditional shipping containers is highly associated with the high costs of repositioning the empty container boxes from one place to another. Since it is too costly on the part of the shipping and/or cargo company to reposition empty containers once the goods have been delivered to the point of destination (Wang amp. Wang, 2007. Konings, 2005), some of the cargo and shipping businesses had to rent out space within the destination port area until such time that they are able to ship back the empty containers to the point of origin.and the high cost associated with the need to reposition the empty containers from one place to another, shipping companies are being challenged to innovate new strategies that could enable the company to maximize its annual profitability. In return, a shipping company are expected to increase its competitive edge over a similar company that offers the same type of service.The transportation of empty container boxes due to repositioning requirements within the logistic chain is very expensive. (Wang amp. Wang, 2007) In order to maximize the profitability of cargo businesses, there is a strong need to search for new and alternative ways to cut down the costs of transferring empty container boxes to an absolute minimum. In line with this matter, the proposed research study will conduct primary and secondary research to examine and analyze the benefits and cost-efficiency of using foldable containers on behalf of the cargo businesses. Prior to the primary research, literature will be gathered to determine the benefits and consequences of using foldable containers as compared with the use of traditional non-foldable containers.In the process of going through the discussion, general information regarding the empty container transport will be tackled in details to give the readers a background regarding the research topic.

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