A Canadian company import heavy, bulky steel castings from a Chinese supplier. The agreed Incoterm is CIF. The company find the delivery service is very poor and shipment often got delayed and stuck at customs because of incomplete paperwork. The Logistics Manager recommends to change the Incoterm.

1. Which mode of transportation would you use and why? (10 marks)
2. Which Incoterm would you use instead of CIF, and why? (10 marks)

Answer rating: 100% (QA)

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