Shipping Reputation
Recently, there was new of an ocean freight company from South America that plead guilty to numerous corporate crimes, including price fixing and rigging bids. The company also agreed to pay millions of dollars worth of fines. According to court documents, the price fixing occurred for over a decade and impacted numerous shipments during that time. This is not the only time this has occurred in the industry. A few months ago, a shipping executive paid a fine and began a prison sentence for price fixing as well.
In addition to the fines and prison time that these shipping companies faced, the worst thing was the reputation that they lost in the shipping world from clients.
Yes, shippers care a lot about receiving a low container shipping quote. But, shippers also want to work with freight forwarders and companies that they can trust. When these incidents occur, shippers lose trust and confidence in specific companies. Nothing can repair that broken trust.
Shipper should only work with cargo companies that they can trust. It is important to work with a logistics company that has a great reputation for being honest and knowledgeable to move your containers. Shippers should avoid companies that were involved with price fixing or other illegal incidents.
Most freight companies are honest, and work very hard to move your container to the destination port. However, there are a few bad apples, like any industry, and it is best to avoid the ones that could be trouble.