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Price Elasticity of Demand for Logistics and Transport

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Price Elasticity of Demand for Logistics and Transport
Ningbo University

Final Paper of Principles of Transportation Course

Price Elasticity of Demand for Logistics and Transport

College： International College

Professional：Business Administration

Full name： 胡 杨

Student number：096150043

宁波大学答题纸
（2010 —2011 学年第一学期）
课号：183T01A00 课程名称：运输原理 改卷老师：
学号： 096150043 姓 名： 胡杨 得 分：

Price Elasticity of Demand for Logistics and Transport

Abstract: This article mainly use supply and demand curve model and elastic model to analyze and interpretation the existence of off and peak seasonal phenomenon of express delivery logistics industry in China, especially discuss cause and effect of phenomena such as full warehouse, freight rates, express delivery company 's competitive model transformation in the holidays. depending on the model and Phenomenon make recommendations solutions.

Key words: Demand Price Elasticity express delivery transportation

1. Brief introduction Third-party logistics companies for the provision of goods delivery services will charge a return to compensate for costs incurred in the distribution process, and as a rational enterprise will pursue profit maximization. [1]Price elasticity of demand for Logistics and Transport is referring to degrees of the change in demand caused by changes in prices to a certain extent in a certain period of time. [2]

2. Model description
2.1 Supply and Demand Curve

Concept：
Q: means quantity, Quantity can mean either quantity of freight per trip or the frequency of trips over a fixed amount of freight
P: means price of goods or service.
D: demand
S: supply

All else equal, as goods’ or service’ price falls, the quantity of demanded in transportation rises & vice-versa. And the quantity supply decline & vice-versa.

2.1.1Elasticities
[pic]
Ed --Price elasticity of demand for
Logistics and Transport
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