THE EFFICIENCY OF TRANSPORTATING PERISHABLE GOODS BY ROAD AND RAIL

Abstract

This research analyses the competitive advantages of road and rail transport through the example of Ukraine transportation market. Spheres of efficient usage of rail and road transport while transporting perishable goods have been studied. The key factors influencing the mode choice, as well as the kinds of cargo that depend on the mode choice have been determined with the help of revealed preference data. A mathematical model of mode choice has been offered. The criterion of the effectiveness of this model is the economical profit of the logistics system ‘shipper – carrier – receiver’. The advantage of using the suggested model is the possibility of calculating invisible costs while evaluating alternative transport mode, including funds immobilization and cargo loss. The tools in the study are the methods of system analysis, mathematical modelling, regression analysis and expert evaluations. The acquired results can be used while justifying the mode choice and determining the spheres of efficient usage of various modes of transport. It has been determined that the factor for using the rail is the distance longer than 600 km, as the economical profit of the logistics system is higher in this case. At the same time, with distances shorter than 600 km, road transportation is a better choice.

Keywords

• freight mode choice
• road and rail
• logistics system