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The Principal Businesses of COSCO Network
   
Freight Exchange
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COSCO Network will create value for customers as a business-to- business, Internet enabled market maker for end-to-end logistics and "one-stop shop" transportation and supply chain related services.

COSCO Network is developing an e-Procurement market (including COSCO Specific and Shipping e-Procurement Portal) to handle all of COSCO Group 's procurement of fuel oils, lubricant oils, materials and spare parts items. Leveraging on COSCO Group Specific e-Procurement initiatives, COSCO Network will extend the e-Procurement marketplace to service other buyers and sellers in the shipping industry for purchase and sale of marine products and services. COSCO Network will also cover areas of Freight Exchange, e-Fulfillment for Vertical Exchanges, Web Site Management and Application Service Provider for Supply Chain Management and Transportation Management Systems.


1.Freight Exchange
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COSCO Network will provide a virtual marketplace to match buyers and sellers of multi-modal logistics services which may include transportation, warehousing, insurance, customs clearance, inventory management etc.

In addition, the freight exchange will facilitate inter-modal movements and will include a comprehensive list of functions, including booking and document preparation, to be made available on-line.

2.e-Fulfillment for Vertical Exchanges
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This initiative involves establishing a marketplace where the suppliers of physical logistics services can be "bundled" as an end-to-end service provider for B2B vertical markets for commodities like chemicals, automotive, textiles, food and steel industries.

The e-Fulfillment community will provide comprehensive supply chain offerings for vertical market suppliers and customers, covering their end-to-end transportation and logistics needs.

3.Web Site management
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COSCO Network will assume total responsibility for the development and management of customer's web sites and will establish web services and functionalities at or above the levels of competitor offerings.

Services will include the development of not only market standard functionalities but also value-added applications which may include contract negotiation facilitation, enhanced documentation, on-line booking, enhanced track and trace capabilities, customs brokerage and cargo clearance, landed cost calculations and linkage to other multi-modal sites.

4. Shipper Web Site Integration
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COSCO Network will assist its customers to link and integrate their service offerings directly with major shippers' information systems. This will allow service providers within the COSCO Network community to become one of the preferred transportation service provider for these shippers.

To date, there are a number of carriers that have been involved in shippers' web site integration. These are primarily small package carriers.


5.Application Service Provider for Supply Chain Management
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COSCO Network is to provide Application Service Provider (ASP) offering for supply chain management systems to help logistics service providers gain access to a less costly and better managed system supporting their logistics planning operations.

Leveraging on the logistics industry skills and technology of COSCO Network , the ability to implement, manage and host Warehouse Management, Transportation Management, Customer Relationship Management, Supply Chain Management software for external parties is a viable opportunity.

The opportunities for ASP is large especially when targeting Small and Medium Enterprises in China and regionally in Asia.
 





Data Center Initiatives:
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Covering areas of Web Hosting, Application Services Provision and Business Service Provision, which ensure that the provision of logistics related services can assist less technologically sophisticated SMEs in the logistics arena to seamlessly participate in the end-to-end logistics/supply chain marketplace.

Internet Communicat
ion Initiatives:
Aims to supply low cost communication services and infrastructure to participants within the logistics marketplace.
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COSCO Network Limited
Room 4808, 48/F., Cosco Tower, 183 Queen's Road Central, Hong Kong
Tel (852)2809-7188 Fax (852)2857-5538
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