THE ROLE OF LOGISTICS SERVICES IN TRADE ORGANIZATION

Abstract

Logistics supplier firms have a significant impact on the level of profits of companies engaged in trading activities in national and international markets. Logistics firms play an increasingly important role in achieving competitive advantages for those business entities that are directly involved in sale and purchase transactions. The main reason for applying to the services of logistics intermediaries is the assistance in organizing the shipment of goods with their subsequent delivery to the destination. This results from the fact that business processes in trade become more and more complex; it becomes more and more difficult to manage them within the framework of one, separately taken, firm. Under these conditions, intermediary logistics firms are able to provide qualified services in the management of various business operations to firms that operate in various markets. There are many forms of organization of activities of logistics intermediary firms. However, they all have the same goal: to assist firms in the field of transportation, storage, shipment and distribution of goods from the seller to the buyer or end user, receiving a fee for it. At present, the following forms of business organization are most characteristic of the logistics services market: forwarders, 3PL, 4PL, or 5LP.