GSM 1St Opp-2019

SECTION B:

STRUCTURED QUESTIONS (66 marks)

QUESTION 3 (35 marks)

3.1 One of your global suppliers has amended the incoterms used in a sales contract you have agreed on before. Analyze the consequence of each change by stating:

(a) Where risk is transferred?

(b) Who bears the cost?

(c) The new delivery place?

(15 marks)

Terms Changed	Transfer of Risk	Cost incurred by	New delivery place
CIF to CIP
FCA to FOB
EXW to DDP
CFR to CPT
DAT to DAP

3.2.

State any three ways on how you will manage conflict that could arise between distributions channel members? (10 marks)

3.3.

Namibia has envisioned herself as the logistic hub for Southern Africa, the success of this highly depends on the performance of the Walvis Bay Port in relation to the maritime transport indicators. What will you consider when evaluating the Namibian port and why? [10 marks]