60 Questions
What is the highest possible score a country can achieve in the Logistics Performance Index (LPI)?
5 points
Which group of countries faces severe logistics constraints?
Logistics unfriendly
What is the category for countries with a high level of logistics performance, mostly comprising high-income countries?
Logistics friendly
Which of the following is NOT a category of LPI scores?
High performers
What is the purpose of the Logistics Performance Index (LPI)?
To measure the logistics performance of a country
How many dimensions are used to calculate the LPI score?
6 dimensions
What is the primary objective of the Global Logistics Performance Index (LPI)?
To assess the quality of a country's connection to the global market
What is one of the key dimensions assessed by the LPI in terms of infrastructure?
Quality of trade and transport-related infrastructure
Which of the following is NOT a dimension of the LPI?
Financial management
What is the focus of the 'International shipments' dimension in the LPI?
The ease of arranging competitively priced shipments
What percentage of ships arrive 1 to 3 days late on Asia/Europe trade routes and trans-pacific experiences?
33%
Why do transatlantic routes have higher schedule reliability?
Due to fewer port calls and shorter distances
What is the significance of 'Tracking & tracing' in the LPI?
It assesses the ability to track and trace consignments
What is a challenge that supply chain managers face due to low schedule reliability?
Increased inventory
What is the 'Timeliness' dimension of the LPI concerned with?
The timeliness of shipments in reaching the destination within the scheduled or expected delivery time
Why do terminal operators need to allocate more space?
To buffer the lack of reliability
What is a characteristic of water carriers that can disrupt service?
Weather
In what type of traffic are water carriers an attractive alternative?
Low-value traffic
Which alliance has the most ships?
THE Alliance
Which alliance is coming to an end in 2025?
THE Alliance
Who will be stepping away from the 2M alliance in January 2025?
Maersk
How many ports does THE Alliance cover?
1,150
Which alliance has a capacity of 3.8 million TEUs?
Gemini Cooperation
How many years was THE Alliance recently extended for?
10 years
What impact did falling oil prices have on Maersk Oil?
Significant losses were reported due to the drop in oil prices.
What measure did the container shipping industry adopt to cope with overcapacity?
Slow steaming and laying up ships.
What impact did overcapacity in the shipping industry have on revenue?
Revenue decreased by over 16% from the peak in 2008.
How did the industry respond to tough operating conditions?
Through mergers and acquisitions for survival.
Which shipping company went bankrupt, emphasizing the challenges in the industry?
Hanjin Shipping
In response to overcapacity, what alliances were formed among shipping companies?
Conferences to utilize each other's route coverage.
The Logistics Performance Index (LPI) ranks 150 countries' logistics performance.
False
The 'Infrastructure' dimension of the LPI includes the quality of trade and transport-related infrastructure such as airports.
False
The 'Logistics competence' dimension of the LPI measures the competence and quality of logistics services provided by customs brokers.
True
The 'Tracking & tracing' dimension of the LPI measures the ability to track and trace consignments in real-time.
True
The 'Timeliness' dimension of the LPI is concerned with the speed of shipments.
False
The Logistics Performance Index (LPI) is used to assess the quality of a country's connection to the local market.
False
The LPI scores range from 0 to 10 points, with 10 points indicating the best performance.
False
The top LPI quintile includes countries with severe logistics constraints.
False
The LPI scores are divided into seven groups, corresponding to the scoring septiles.
False
Countries with a level of logistics constraints often seen in low- and middle-income countries are categorized as 'Logistics friendly'.
False
The LPI is a ranking of countries based on their air transport infrastructure.
False
The LPI is a ranking of countries based on their income level.
False
Weather conditions such as heavy rains and droughts do not affect water carrier service.
False
Terminal operators need to allocate more space due to high schedule reliability.
False
Water carriers are an attractive alternative for high-value traffic.
False
Rivers and lakes never freeze during the winter months in the northern states.
False
Asia/Europe trade routes and trans-pacific experiences have high schedule reliability.
False
Maersk experienced a decline in growth during the late 1990s to 2000s.
False
Maersk Group was the world's largest shipping conglomerate by 2015.
False
APM Terminals is a provider of port and terminal services in Europe only.
False
The container shipping industry revenue increased by 16% from its peak in 2008.
False
Maersk Oil was a significant player in the natural gas industry.
False
Hanjin Shipping's bankruptcy was a result of the company's poor management.
False
Maersk Line is a leading provider of oil production services.
False
Chinese government's initiatives were focused solely on boosting shipbuilding capacity.
False
Maersk has an option to join an alliance in the maritime logistics industry.
True
Alliances in the maritime logistics industry are only formed for short-term purposes.
False
China's government has no influence on the shipping industry.
False
Carriers in an alliance cannot share vessels and networks.
False
Alliances are not essential for maintaining competitiveness in the liner shipping market.
False
Explore the logistics performance index (LPI) which ranks 160 countries based on six key dimensions. Understand how customs efficiency impacts a country's connection to the global market.
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