What type of utility does transportation provide when delivering products?

What type of utility does transportation provide when delivering products?

• A. Financial utility
• B. Time utility
• C. Labor utility
• D. Physical utility

Answer: (B)

Transportation provides time utility when delivering products because it enhances the value of goods by ensuring they arrive at the right place at the right time. Time utility refers to making products available when consumers need them, which is essential in meeting demand and ensuring customer satisfaction. Effective transportation systems can significantly reduce lead times, allowing businesses to respond swiftly to market changes and consumer needs. In this context, transportation is crucial as it enables products to be moved efficiently from manufacturers to consumers or retailers, thereby reducing time delays and helping to align product availability with consumer demand. By providing this timely delivery, companies can optimize their inventory levels, improve customer service, and maintain a competitive edge in the market.

Transportation provides time utility when delivering products because it enhances the value of goods by ensuring they arrive at the right place at the right time. Time utility refers to making products available when consumers need them, which is essential in meeting demand and ensuring customer satisfaction. Effective transportation systems can significantly reduce lead times, allowing businesses to respond swiftly to market changes and consumer needs.

In this context, transportation is crucial as it enables products to be moved efficiently from manufacturers to consumers or retailers, thereby reducing time delays and helping to align product availability with consumer demand. By providing this timely delivery, companies can optimize their inventory levels, improve customer service, and maintain a competitive edge in the market.