China Logistics

Author: Ding Junfa
Publisher:
Publish Date: 2002-03-01
Features: What is logistics? Since the concept was proposed by Americans in the early 20th century, there has been much debate, which has gradually deepened and developed. To this day, the definitions of logistics in various countries are not entirely consistent but largely similar. The logistics industry has become an important sector in developed market economies, and this is an established fact. No one denies the role of the logistics industry in economic development. As early as the 1960s, American economist Peter Drucker predicted that the logistics industry is the "black continent" of each country's economic growth, the "last frontier for reducing costs," the "third profit source" after reducing resource consumption and improving labor productivity, and a "virgin land yet to be developed." Professor Shu Se of Waseda University in Japan believes that logistics is like an iceberg—people only see the iceberg above water, but the part below water is actually larger. In 1954, American economist Paul Compeau proposed that logistics is the "other half of marketing." German economists have suggested that in the future, there will be only three types of people in the world: producers, logistics providers, and consumers. Chinese economist Fan Gang believes that in the future, there will be only three systems in the world: the production system, the logistics system, and the technology system. Other systems are derived from these three systems. Chinese economist Wei Jie proposed: "Internationally, the logistics industry is considered the artery and basic industry of national economic development, and its level of development is one of the important indicators for measuring a country's modernization and comprehensive strength, often referred to as an accelerator for economic development." Renowned British economist Christopher states, "There are only supply chains in the market, not individual companies," and "true competition is not between companies but between supply chains." Vice Premier Wu Bangguo pointed out that the logistics industry is an "important industry and new growth point for China's economic development." After conducting an investigation into China's logistics industry, the famous American consulting firm McKinsey & Company wrote a white paper titled "China Logistics Market," stating that the logistics industry "will play a key role in China's future economic development." I believe that the logistics industry will change traditional economic operations, traditional commodity circulation models, and people's traditional lifestyles. Does the logistics industry really have such functions? Let's do the economic math.