Shipping industry — the biggest business that you know nothing about.

Rose George, British journalist

90% of everything

“Almost 90 percent of everything we buy arrives via ship”, writes Rose George in her mind-blowing new book “Ninety Percent of Everything”, which covers her months-long adventure with the shipping industry — the biggest business that you know nothing about. Ninety Percent of Everything Rose George George, a British journalist, spent months traveling the ocean […]

Why Do Freight Rates Change So Often?

In the previous post “Pricing Challenge for Container Shipping” we mentioned that it’s not an easy task to manage freight rates. This is because the transportation costs consist of up to 25 various charges, and shipping companies have to put up with enormous rate volatility – up to 50 rate revisions per year. Looking at the whole transportation process, it […]

Pareto Principle in Container Shipping

Over 100 years ago, Italian economist and sociologist Vilfredo Pareto noticed a few recurring distribution patterns, which led him to discover that 80% of results come from 20% of causes. This phenomenon was called the Pareto Principle or the ’80/20 Rule’. The 80/20 distribution patterns are so universal, that they apply practically everywhere, for example: […]