601 Week 3
Even though there are many costs that are incurred within the transport industry, one cost is related to the vehicle costs and more precisely the cost of operating the particular vehicles that are considered a key component of the transport industry. The vehicle operational costs are variable in nature and they tend to fluctuate depending on several conditions affiliated to the vehicle, for instance the particular amount of energy needed to propel the vehicle’s engine which is essentially the vehicle’s fuel, the costs of repairs and maintenance services for the vehicle and generally the particular type of a vehicle (Sinha & Labi, 2007).
The costs related to the fuel is dependent on the vehicle’s class the vehicle belongs in, its physical size and more precisely the engine capacity as well as other characteristics. The larger the volume of the vehicle the more fuel it is likely to consume in the course of its propulsion. The costs of fuel are however also dependent on the driver’s skill and ability to efficiently keep the engine working at an optimum capability using the minimum amount of fuel. The vehicle class determines the particular type of fuel a vehicle is likely to use which is variant in terms of cost.
The maintenance costs are also directly linked to the costs of maintenance and repairs which depend on the various parts of the vehicle after running for a given period of time, for instance, the replacement of batteries, rims, tires and even alternators. The vehicles’ repair costs might also be necessary for instances when the vehicles encounter several adversaries including crashes and other forms of misuse. The transport industry requires that all vehicles ought to be insured against these adversaries which add on to the costs of maintenance. However, most of these costs are dependent on how the owner of the vehicle handles it.
Finally, the operating costs are influenced by its particular make in terms of its size and class. These aspects related to the nature of the vehicle affect its fuel consumption, speed limit, and costs of maintenance the vehicle requires over a given duration of time which can also be termed as the durability.
Reference.
Sinha, K. & Labi, S. (2007). Transportation decision making. Hoboken, N.J.: John Wiley.
