Fresh Farm Produce Co

Multiple Choice

Fresh Farm Produce Co. has examined transportation costs and found that shipping its fruits and vegetables by rail to distant markets would cost them only $89,000, while airfreight would cost $250,000. Because the costs of the actual fruits and vegetables are the same for each transportation mode, Fresh Farm Produce should

A) try to determine other physical distribution costs before deciding on whether to use airfreight.
B) immediately switch to rail to save money.
C) conduct marketing research to determine which fruits and vegetables customers want most.
D) immediately switch to airfreight because it is clearly a faster mode of transportation.
E) ship with airfreight and store the fruits and vegetables in warehouses.