GSRR - Golden Spike Railroad We here at CCHY Services feel...

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Golden Spike Railroad We here at CCHY Services feel that Golden Spike’s decreasing profit margin is a result of high operational cost in an economy where the focus is on streamlining business plans. Golden Spike Rail Road (GSRR) is a class 2 railroad with existing lines in the northeast area. Since its inception in 1940, GSRR has primarily been a carrier of steel, iron, and coal from the Appalachian region. In an effort to increase profits, GSRR has expanded with a larger and more complicated rail network, procured contracts with the major rail lines to ship cross country, and started on a business plan to implement intermodalization into the business plan. We feel that these ventures into different areas of the rail industry have hurt the overall profitability of the company by supplementing the operational costs. Through the expansion of rail lines, GSRR has spent a significant amount of its capital and resources in laying and maintaining track rarely used. GSSR has also invested heavily in warehousing and terminal operations for these tracks. Furthermore, GSRR has started to invest in the infrastructure to implement a large
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This note was uploaded on 02/21/2011 for the course HUMANITIES 101 taught by Professor N/a during the Spring '01 term at United States Merchant Marine Academy.

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GSRR - Golden Spike Railroad We here at CCHY Services feel...

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