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O-LevelCommerceTransport7100/22 · May/June 2014 · Q120 Marks

Transport and communications are important aids to trade.

  1. (a)State one factor affecting the choice of transport for goods.[1]
  2. (b)(i)Name two documents used when transporting goods and give an example of when each would be used.[4]
  3. (b)(ii)Why do goods awaiting transport often require storage in warehouses?[4]
  4. (c)(i)Explain how rapid communication would assist transport.[3]
  5. (c)(ii)Why would a mobile phone (cellphone) be useful to a truck driver?[2]
  6. (d)How important is transport in helping to extend markets? Give reasons for your opinion.[6]

Mark scheme

Marking points from the official mark scheme (May/June 2014). The mark or mark type is shown in brackets.

  1. [1] (a) One mark for cost/distance/kinds of goods to be carried/urgency/quantity/value. Any other relevant factor.
  2. [4] (b) (i) One mark for document and one mark for example of when used × 2: • delivery note - accompanies goods sent by road • consignment note – accompanies goods when sent by transport company • bill of lading - when goods are sent by sea • air waybill - when goods are sent by air. Any other relevant document.
  3. [4] (ii) Any four points × 1 mark each and up to 2 marks for a well-developed point: • may require protection against the weather, theft, damage • may need cold storage because they are perishable • may be dutiable so must be stored in bonded warehouses • may need preparation for sale, e.g. packaging that can take place in a warehouse • may be a delay in the arrival of the transport. Any other relevant point.
  4. [3] (c) (i) Any three points × 1 mark each and up to 3 marks for a well-developed point: • the user/owner of the transport would know where it was • it may make the transport of goods more efficient by booking the transport more quickly, knowing when it is about to arrive • it is important in an emergency, e.g. a traffic accident to request help • the buyer can be informed as to when goods might arrive so that facilities for unloading are available/if there is a delay • rapid contact between buyer and seller may mean the quicker turnaround of transport so saving costs • enable documents of transport to be handled. Any other relevant point.
  5. [2] (ii) Any two points × 1 mark each or one well developed point × 2 marks: • can keep in touch with the depot • can report any problems • can summon help if vehicle breaks down • can be diverted to another job • can inform people of his arrival time • allow other uses such as GPS/internet and email. Any other relevant reason.
  6. [6] (d) Level 2 (4-6 marks) Has discussed how important transport is in helping to extend markets and has given a reasoned opinion. Effective transport is very important for leading to the expansion of markets. If transport can deliver goods quickly and over greater distances, e.g. long-haul freight planes, long distance road haulage, producers will try to find markets further and further away from the place of production. They will wish to export to more and more countries because it is seen to be profitable. This has led to the growth of the global economy. Good transport facilities will mean that goods are distributed easily so overcoming the problems of surpluses and shortages and changes in price. Transport also encourages countries to specialise in what they are best at producing. They then trade these goods or services for what they cannot produce and transport is needed to move the goods. On the other hand, transport facilities on their own do not mean that all markets can be extended. There may be no demand for some products in some countries, e.g. fur coats in hot climates, pork products in Muslim countries, so some markets cannot be extended. There may be too many producers of a product so that markets are saturated and these markets may, indeed contract. On balance, it is true that effective transport facilities do help markets to be extended but there are other factors involved as well, such as effective advertising, the quality of products and the growing demand by consumers for a range of goods. Level 1 (1-3 marks) Has commented on transport facilities and markets with/without an opinion. Consumers demand a variety of goods. Many countries produce a small range of goods. Transport is needed to get these goods to consumers. Consumers in many countries have an increased standard of living. They want more goods, many of which are imported. Transport moves these goods.

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About this question

Topic
Transport, O-Level Commerce (syllabus 7100). Structured question, 20 marks.
Source
O-Level Commerce, May/June 2014 Paper 2 Variant 2, question 1.

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