The Economics of Jumbo Jets for Freight of Low Density and Low Value 680512

FIRMS TODAY ARE turning more and more to a total cost or logistics view of their distribution operations.Protective and promotional packaging reduces the shipping density of commodities.Modal transportation economics become decisive in distribution of low value--low density commodities.Air freight economics will be significantly affected by the advent of jumbo jet aircraft.Ground support, and particularly the aircraft-truck interface through terminals, will be a more decisive factor in air freight pricing in the future.Rate penalties for low density will be triggered at a lower density level and should begin to disappear for distances beyond the normal range of the aircraft.


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