The dilemma of choosing the import chain configuration

This teaching case seeks to understand the challenge faced by the international logistics manager of a trading company when designing the import chain from China to the warehouse of the new client’s logistics operator in Brazil. Based on the needs of the potential new customer, the manager needs to design the chain to meet the customer’s requirements, analyzing some options for ports of origin and destination. The manager José Carlos and his team must evaluate the advantages and disadvantages of each option, proposing the best solution for the new client. The central dilemma is: What should be the configuration of the import chain of products from the new customer from China to the Brazilian market? They know that choosing the ports of origin/destination has a significant impact on the total logistics cost, the total import lead time and the service level of the import chain. The pedagogical objectives focus on the analysis of configuration options for the import chain, considering implementation challenges, transactional costs of electronic products in an international scenario of uncertainty and high competition, and the application of concepts of foreign trade, international logistics and logistics management. The case is suitable for undergraduate and graduate courses in foreign trade, logistics, supply chain management, and cost management, encouraging reflection on the structure, data analysis, and challenges in the implementation of import chains by service providers of foreign trade services.

Keywords:
International logistics; Logistics costs; Import costs; Supply chain design