Traffic congestion, also called traffic jam or gridlock, refers to the maximum volume of trucks, autos, buses, and other types of motor vehicles on major thoroughfares, roads, highways, and/or rural roads in urban centers. The problem of congested traffic can have a significant economic impact on a metropolitan area’s tourism and business revenues. The frustration of trying to get through the traffic can cause your patience to run thin, your productivity to suffer, you may become frustrated with other drivers, and it will be difficult for you to keep track of your stopovers. When congestion is bad, it can be very difficult for travelers to plan their routes ahead of time, resulting in more traffic and travel delays. In addition, when people are forced to wait in traffic, they are much more likely to come into an area where the retailer has a short supply of space, causing these stores to experience a drop in sales.
There are many reasons why traffic congestion can affect the supply chain in numerous ways. Longtail operators often have the easiest time surviving the spikes in traffic due to congestion. Long tail operators can benefit from the best of all worlds in a congested region, however, which is to create supply chains that deliver to areas outside of the city that are experiencing a demand for products or services. This can alleviate the problems associated with longtail operations by using other means to attract customers such as Farmers markets or independent restaurants. Creating a new supply chain can provide a way for these small operators to capitalize on demand in areas outside of their city, giving them an advantage in the economic structure.
The problem of growing traffic congestion is a challenge for all cities around the world. While some solutions can be implemented right away, others will need to be dealt with over time. To continue to be a competitive city, cities must find creative ways to encourage growth while alleviating the causes of congestion. Creating a supply chain through the transportation sector can help make cities more attractive to tourists and residents alike while alleviating the effects of congestion. This type of planning can have lasting positive effects on traffic congestion around the world.