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Which of the following has the lowest transportation costs?

A) Walmart store
B) Fingerhut (Drop shipping)
C) Amazon
D) Domino’s pizza
E) None of the above are associated with a transportation

1 Answer

2 votes

Final answer:

Among the given options, Domino’s Pizza likely has the lowest transportation costs due to its localized delivery system, which involves short distances for delivering goods to customers.

Step-by-step explanation:

The company with the lowest transportation costs among the options provided would vary depending on various factors such as volume, distance, and the specific business model of each company. However, if we take a closer look:

  • Walmart store generally has high transportation costs due to the physical movement of goods from warehouses to brick-and-mortar stores.
  • Fingerhut (Drop shipping) might have lower transportation costs since drop shipping means the seller doesn't hold the inventory, and the manufacturer ships directly to the customer.
  • Amazon has a complex logistics network, which can be cost-effective due to scale but still significant due to their vast delivery network.
  • Domino’s Pizza has localized delivery areas and thus potentially lower transportation costs due to short delivery distances from their stores to customers' locations.

With these considerations, Domino’s Pizza likely has the lowest transportation costs due to its localized delivery system, which minimizes the distance goods must travel.

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