The Transportation Industry

          Transportation is another key segment of the business world. Without transportation, raw materials cannot move to factories; products cannot move from factories to wholesalers and retailers; and people cannot move from place to place to conduct business or to satisfy other desires.         Our huge transportation industry includes railroads, shipping lines, airlines, trucking lines, pipelines, trains, subways, streetcars, bus systems, taxis, and private vehicles. Many businesses operate in each of these areas, competing for customers and products to transport. Each firm seeks to make a profit from its operations, and each represents the investments of many people or governmental units.
          The billions of dollars invested in the transportation industry can be visualized by noting that one modern airplane may represent an investment of about $35 million. Even one bus may cost more than $100,000. Low-cost transportation for people is considered so essential in our cities that many bus and subway systems are subsidized by government or are owned and operated by the cities or counties involved. We shall look more closely at how business uses the transportation industry.