Which statement describes direct delivery versus transshipment?

Which statement describes direct delivery versus transshipment?

• A. Direct delivery goes straight from supplier to user; transshipment passes through hubs/depots before reaching the user
• B. Direct delivery always requires hubs; transshipment avoids hubs
• C. Direct delivery is for small items only
• D. Transshipment means no tracking

Answer: (A)

Direct delivery means moving goods straight from the supplier to the user with little to no intermediate handling at hubs or depots. This can speed up the process since the item isn’t stopped for sorting or consolidation. Transshipment, by contrast, uses intermediate facilities—hubs or depots—where shipments are often sorted, consolidated with other orders, stored briefly, and then sent on to the final destination. This setup can take advantage of economies of scale but adds an extra step in the path. The statement that captures this difference is that direct delivery goes straight from supplier to user, while transshipment passes through hubs or depots before reaching the user. The other ideas aren’t accurate: direct delivery does not always require hubs, and it isn’t limited to small items. Tracking exists in both cases, and transshipment typically adds more visibility points, not fewer.

Direct delivery means moving goods straight from the supplier to the user with little to no intermediate handling at hubs or depots. This can speed up the process since the item isn’t stopped for sorting or consolidation. Transshipment, by contrast, uses intermediate facilities—hubs or depots—where shipments are often sorted, consolidated with other orders, stored briefly, and then sent on to the final destination. This setup can take advantage of economies of scale but adds an extra step in the path.

The statement that captures this difference is that direct delivery goes straight from supplier to user, while transshipment passes through hubs or depots before reaching the user. The other ideas aren’t accurate: direct delivery does not always require hubs, and it isn’t limited to small items. Tracking exists in both cases, and transshipment typically adds more visibility points, not fewer.