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Elements and Functions of International Logistics and Transportation

Date:2023-02-06 15:09
International logistics is a "physical" international physical movement…
International logistics is a "physical" international physical movement, which not only changes the time state of things, but also changes the space state of things. The main task of international transportation is to change the state of space. International transportation is the main means of changing the state of space, and can complete all the tasks of changing the state of space satisfactorily. In international logistics, international transportation can provide two functions: international transshipment and warehousing of goods.

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1. Functions of international logistics and transportation
One is the international transfer of goods. The main function of transportation is to move products back and forth in the value chain. International logistics and transportation is a means of transportation through which goods flow between international logistics nodes. Therefore, international freight forwarding is the main function provided by international logistics and transportation.

The second is the storage of goods. Temporary storage of items is a special transport function that has been underappreciated in the past. International logistics and transportation generally experience long time and long distances. Trains, planes, ships and other means of transportation are responsible for the warehousing function of international goods. In particular, the cost of unloading and reloading from the warehouse may be higher than the cost of warehousing in transit, as some international shipments require warehousing and transshipment. When storage is limited, using shipping may be a more viable option. Essentially, international shipping acts as a temporary storage facility, flowing rather than sitting idle.

2. The elements of international logistics and transportation
Generally speaking, an activity always consists of people and tools, and transportation activities are no exception. In international transportation activities, there are mainly international transportation parties, that is, international logistics and transportation participants and transportation service providers.

Tools are a means of realizing international logistics and transportation. In addition, international logistics and transportation are realized through a variety of specific modes of transportation or a combination of multiple modes of transportation. Therefore, to put it simply, international logistics and transportation are mainly composed of three aspects: the parties' international transportation, international transportation and international transportation. The area is large, not only covers a wide range, but also the situation is complicated. The transport carrier or cargo owner cannot personally go to the Caspian Sea to carry out specific transport business, and many tasks need to be handled by an agent. In order to meet this need, many agency businesses or agents have emerged in the field of foreign cargo transportation, such as in the field of trade. They accept the entrustment of the client to act as an agent for various transportation services and services provided, and pay a certain remuneration, that is, agency, commission or freight. With the development of international trade and transportation, the transportation agency industry has also developed rapidly and extensively. At present, the agency industry has penetrated into every corner of the transportation industry and has become an indispensable part of international logistics and transportation.
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