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1. What is global supply chain management? What is the role of international logistics in global supply chain management? (p.1)

* Global supply chain management refers to the complex integration of processes necessary to manage materials from their point of origin through manufacturing and shipment to the final consumer(or beyond, in the case of recycling) * International logistics is the international transaction, trades and movements of goods and services in supply chain. * Nowadays, supply is higher than demand because logistics can support customer’s needs; hence a lot of competitors are existed (Variety of products). In order to survive in the market, firm should make product with cheaper price, and service qualities should be greater than competitors.

2. What are flags-of-convenience? Why are they used? (p.30) * Sea/ Water/ River are divided by nations; hence, when ships enter into a nation, they suppose to follow the nation’s rule. * Flag State Control: Vessels are subject to the laws of the nation where they are registered and, in a sense, the vessel is a part of that nation. * Flag of Convenience: When the owner who lives in one nation choose to register his vessel in a second nation and have them fly that second nation’s flag. * Firm can avoid paying high labor cost if a nation’s labor cost is high
Because of harsh working condition, unsafe vessels, and low pay, they use flags of convenience
Because some nations do not allow special nations to enter into their nations, firm uses flags of convenience. Etc.

3. What are the advantages and disadvantages of a vessel’s carrying its own loading and unloading equipment? (p.101) * Disadvantage: If they cannot carry own equipment, they can be used only in ports where loading/discharge equipment is available. * Advantage: A better use of capital resources is to have one shoreside material handiling facility serving the needs of all vessels on important trade

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