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Pages:
1 page/β‰ˆ275 words
Sources:
1 Source
Style:
APA
Subject:
Business & Marketing
Type:
Essay
Language:
English (U.S.)
Document:
MS Word
Date:
Total cost:
$ 4.32
Topic:

Your Understanding of Bundling as well as the Advantages and Disadvantages of Bundling

Essay Instructions:

Discuss your understanding of bundling as well as the advantages and disadvantages of bundling.

Essay Sample Content Preview:

BUNDLING IN SHIPMENT
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Introduction: There are a number of reasons why organizations and companies are changing from the common ways of selling their products to the new method of bundling their products. Bundling can be describes as the process of gathering multiple products and then offer discount to the customers for buying more than one product and preparing the product for it to be ready for shipment .
Discussion: Konings, Priemus and Nijkamp, (2008), indicated that "bundling of cargo basically involves a number of layers, beginning with consolidation of various parcels into a single pallet and rising up to bundling of a huge number of containers at the sea or a hinterland". (Page 69, paragraph1).Bundling is a precise way for organizations to ship a huge number of containers or various products to a single customer while providing discount on the products.
One of the advantages of bundling is that if you are the customer, the unbundling cost creates some transparency and at the same time it allows on to pick precisely the options that one wants .Most of the bundles make margin by providing the customer with some of the things he or she requires, but also some of the things that the customer will rarely use. In addition, Bundling also favors the sellers, in that he or she has the simplicity of a single priced commodity or products .If the seller can sell the same product to everyone, this makes his life easier, which typically means lower marketing and selling cost
Some of the drawbacks of bundling are that it means more handling of the container because of switching of containers on barge. There are longer route added because of bundling. Some port is small and therefore doing not have the capacity in making in extra containers in intermodal transportation process.
Conclusion If organizations bundle in the correct way this in turn can greatly save more time and resources by shipping bunch of various products to one location.
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