Abstract
What is the economic nature of logistics? In conclusion, I propose that the core concept of logistics be production.
In CHAPTER 1, I (1) briefly examines “EIJI ABO model”, (2) explores the points of sameness and difference between militaly logistics and business logistics, (3) combines business logistics with marketing.
In CHAPTER 2, I proposes that the economic nature of logistics be production. Logistics activities transmute the time and space of commodities, in a factory for example, into the other time and space to make commodities available to customers. This change is physical and is related to commodities. I conclude that logistics activities produce available time and space for customers.
In CHAPTER 3, first, I attempt to explore the character of “customer service” that is so to say the output of logistics. It is not, economically, suitable to think “customer service” is service. Customer service is the order to produce physical distribution. Second, I describe that marketing treats customer service as one of 4Ps. In consequence, logistics changes its function from “suply” into “front”.
In CHAPTER 4, I suggest that economics, like management, should take up logistics as its object because of nature of logistics, that inventory is utilized for the target of logistics management, and that the logistics cost should be counted as the second production cost in the profit and loss statement.
