Transportation is a system that helps move people, animals and goods from one place to the other. It could be via road, water, rail and air. The effectiveness and efficiency of a transport mechanism cannot be over emphasized as it has both positive and negative impacts on the economy of any nation. This essay will delve into the positive effects of a robust transportation network.
Firstly, a good conveyance network could determine the ease of doing business in a particular location. Investors all over the world consider how easy it will be for businesses to thrive in an environment before investing in any country. One of the indices for measuring the ease of doing business is the available transport network. Business owners want to have reasonable assurance regarding the possibility of free flowing movement of its employees as well as goods and services, around the cities and across locations either via land, rail, coastal and air.
In addition to the above, a reliable transport network helps to reduce the start up cost of a company. The availability of rail lines and good road networks, translate into the company channeling the available working capital into other things as the need to acquire staff buses will not arise. The multiplier effect of this is that the personnel cost of hiring a driver, fuel expense and maintenance overhead will be eliminated. Thus, these savings will be channelled into other acquiring other assets. Consequently, the company will make more profits and this will result in more tax for the government.
Thirdly, the robustness of the transportation network involve putting alternative means of movement in place to avoid dependence on a single system. This implies that road, rail, water and air transport will be made available and affordable for the movement of people, services and goods. As a result, the stress of spending more time travelling on busy routes and frequency of sick leaves arising from the traffic menace will be reduced to the minimum. Also the wastage of man hours due to road congestion will be largely removed.
In conclusion, a trustworthy transport mechanism do not only help improve the lives of individuals and corporations but in general, translates into increased foreign direct investment for the country. It also helps to provide more funds for the government in the form of revenues and taxation.
Transportation is a system that
helps
move
people
, animals and
goods
from one place to the
other
. It could be via
road
, water,
rail
and air. The effectiveness and efficiency of a
transport
mechanism cannot be over emphasized as it has both
positive
and
negative
impacts on the economy of any nation. This essay will delve into the
positive
effects of a robust transportation network.
Firstly
, a
good
conveyance
network
could determine the
ease
of doing
business
in a particular location. Investors all over the world consider how easy it will be for
businesses
to thrive in an environment
before
investing in any country. One of the indices for measuring the
ease
of doing
business
is the available
transport
network
.
Business
owners want to have reasonable assurance regarding the possibility of free flowing movement of its employees
as well
as
goods
and services, around the cities and across locations either via land,
rail
, coastal and air.
In addition
to the above, a reliable
transport
network
helps
to
reduce
the
start
up cost of a
company
. The availability of
rail
lines and
good
road
networks
, translate into the
company
channeling the available working capital into
other
things as the need to acquire staff buses will not arise. The multiplier effect of this is that the personnel cost of hiring a driver, fuel expense and maintenance overhead will
be eliminated
.
Thus
, these savings will
be channelled
into
other
acquiring
other
assets.
Consequently
, the
company
will
make
more profits and this will result in more tax for the
government
.
Thirdly
, the robustness of the transportation
network
involve putting alternative means of movement in place to avoid dependence on a single system.
This implies that
road
,
rail
, water and air
transport
will
be made
available and affordable for the movement of
people
, services and
goods
.
As a result
, the
stress
of spending more time travelling on busy routes and frequency of sick
leaves
arising from the traffic menace will be
reduced
to the minimum.
Also
the wastage of
man hours
due to
road
congestion will be
largely
removed.
In conclusion
, a trustworthy
transport
mechanism do not
only
help
improve
the
lives
of individuals and corporations
but
in general
, translates into increased foreign direct investment for the country. It
also
helps
to provide more funds for the
government
in the form of revenues and taxation.