The supply chain industry is an essential part of the economy and is growing rapidly. There are many investment opportunities in this industry, and it is a good time to invest in it.
The global supply chain industry is expected to grow from $1.3 trillion in 2017 to $2.1 trillion by 2021, at a CAGR of 9.5%. This growth is driven by the increasing globalization of trade, the growth of e-commerce, and the rising demand for logistics services.
From an investor’s point of view, the supply chain industry has a lot of potential. There are many types of companies in the supply chain industry, including transportation, warehousing, logistics service providers, and third-party logistics providers (3PLs). Each type of company has different strengths and weaknesses, offering different opportunities for investors. Bill Schantz will now list the types of companies that have the highest potential.
Bill Schantz Highlights Types of Supply Chain Companies with of Highest Potential for Investors
Transportation Companies
According to Bill Schantz, transportation companies are the backbone of the supply chain industry and play a vital role in moving goods around the world. These companies own and operate trucks, ships, trains, and planes and provide transportation services to businesses and consumers.
Moreover, transportation companies are also involved in the construction and maintenance of transportation infrastructures, such as roads, railways, and ports.
There are many different types of transportation companies, including trucking companies, shipping companies, railway companies, and air cargo companies. Each type of company has different strengths and weaknesses, and each offers different opportunities for investors.
Warehousing Companies
Warehousing companies store goods in warehouses and distribution centers. They provide storage space for businesses and consumers and manage inventory levels.
Warehousing companies use different types of storage facilities, including public warehouses, private warehouses, and temperature-controlled warehouses. Each type of warehouse has different strengths and weaknesses, and each offers different opportunities for investors.
Third-Party Logistics Providers
Third-party logistics providers (3PLs) provide logistics services to businesses and consumers. These services include transportation, warehousing, and inventory management.
3PLs use different types of logistics technologies, including transportation management systems (TMS), warehouse management systems (WMS), and order management systems (OMS). According to Bill Schantz, each type of technology has different strengths and weaknesses, and each offers different opportunities for investors.
Public and Private Companies
There are many publicly traded companies in the supply chain industry, and many of them are growing rapidly. Some of the largest and most successful companies in the industry include UPS (NYSE: UPS), FedEx (NYSE: FDX), and C.H. Robinson (NASDAQ: CHRW).
Investors can also consider investing in smaller, privately held companies that are focused on specific niches within the supply chain industry. These companies often have strong growth prospects and offer investors the potential to earn high returns.
Conclusion
The supply chain industry is a complex and dynamic industry, and it offers many opportunities for investors. Bill Schantz wants investors to carefully consider the type of company they want to invest in, as well as the risks and rewards associated with each type.
Remember, there are no guarantees in the investment world, but the potential rewards of investing in the supply chain industry are great. With careful research and due diligence, investors can make a lot of money if they play their cards right.