| > | | | | companies, depending on where your shipment is |
| For any business that deals with International | | | | going. |
| suppliers or customers, there is a high chance that | | | | The second way a freight company can affect your |
| sooner or later, the services of a freight forwarding | | | | business is reliability. A shipment needs to be handled |
| company will be hired. Such services are hired to | | | | by responsible personnel. The cargo has to be |
| transport large number of cargo from one shipping | | | | tracked to ensure that everything goes smoothly. |
| port to another. | | | | Otherwise, a shipment could be delayed. When that |
| For example, if you are in the business of selling | | | | happens, money is lost. Sometimes, a shipment may |
| furniture, you may need to import containers of | | | | even be delayed for weeks. There are different |
| furniture, or export some products to customers | | | | elements that may delay a shipment. For example, a |
| from overseas who made purchases from you. In | | | | staff could get the departure time wrong, or the |
| this case, you must be very familiar with port pricing. | | | | containers fail to be loaded on the ship on time. |
| Port pricing is very important because it affects the | | | | Delays affect the business adversely because |
| profit margins of the business. This happens in 2 | | | | whenever a transaction is made, especially with |
| ways. The first way, which is the more obvious way, | | | | companies overseas, it is always based on trust. |
| is the cost involved. Pricing may differ even though | | | | Without trust, it is impossible to have any kind of |
| shipments may be leaving the same port, and arriving | | | | International trade. What if a business received an |
| at the same destination. That is because the services | | | | order from a customer, and then placed an order for |
| are run by different freight companies. It's up to | | | | a large shipment, only to discover that the shipment |
| them to decide on a pricing point. Some may decide | | | | will arrive late? |
| to charge less as a business strategy to acquire | | | | As you can imagine, the consequences can be |
| more customers, while others may choose to charge | | | | disastrous. If there is a time sensitive contract in |
| more upfront so as to provide higher quality service. | | | | place, there may even be a breach of contract, |
| But usually, because price is very sensitive in this | | | | leading to more losses. |
| industry, the difference is often negligible. | | | | To avoid undesirable consequences, always try (as |
| In addition, different freight companies service | | | | much as possible) to work with freight companies |
| different shipment routes. For instance, one company | | | | with a proven track record. I.e. Been in the industry |
| may ship to Singapore, while another doesn't. That | | | | for years, good reputation, etc. You can always |
| means you have to need to hire different freight | | | | make a search online for freight company contacts. |