Final answer:
Freight forwarders consolidate small shipments into larger ones for efficient transport, a vital part of the global trade system, making the statement True. Cargo ships are a key mode of goods transportation in globalization, with factors like transport routes and shipment types affecting efficiency and cost.
Step-by-step explanation:
The statement that freight forwarders are businesses that consolidate small shipments from various customers into bulk shipment for a common carrier to transport is True. Freight forwarders play a crucial role in the global economy by optimizing the efficiency of cargo transportation. By consolidating smaller shipments, they can take advantage of economies of scale, reducing costs for their clients and improving the utilization of transportation resources like cargo ships, trucks, and rail systems.
Within the context of globalization, cargo ships serve as a vital transportation mode, as they are capable of moving large quantities of goods across oceans. This method of transportation is instrumental for shipping goods in the international trade system, as depicted in Figure 1.10. These ships are designed to move various types of cargo, including bulk commodities and containerized freight, with container ships operating along regular routes with multiple stops to load and unload goods.
In contrast, bulkers, which carry unpackaged bulk cargo like grain, coal, or iron ore, typically transit between two ports with a full load or in ballast, with their destination ports shifting based on market demands. The choice of transportation method and the accessibility to various modes of transport, such as proximity to rail or water transport, can significantly impact the cost-effectiveness and efficiency of moving goods.