John Wiley & Sons, Inc c 19981 GLOBAL LOGISTICS AND DISTRIBUTION Chapter Sixteen.

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John Wiley & Sons, Inc c GLOBAL LOGISTICS AND DISTRIBUTION Chapter Sixteen

John Wiley & Sons, Inc c Global Logistics and Distribution Overview 1. Definition of Global Logistics 2. Managing Global Logistics 3. Free Trade Zones 4. Maquiladora Operation 5. U.S. Special Import Tariff Provisions 6. Global Retailing

John Wiley & Sons, Inc c Overview

John Wiley & Sons, Inc c Definition of Global Logistics –Exhibit 16-1 Global Logistics Global logistics Materials management Physical distribution

John Wiley & Sons, Inc c Managing Global Logistics –Distance –Exchange Rate Fluctuations –Foreign Intermediaries Modes Of Transportation –value-to-volume ratio –perishability –cost of transportation

John Wiley & Sons, Inc c Managing Global Logistics (cont) –Ocean Shipping –Air Freight –Intermodal Transportation Warehousing and Inventory Management –Hedging against Inflation or Exchange Rate Fluctuations –Benefiting from Tax Differences –Logistic Integration and Rationalization

John Wiley & Sons, Inc c Managing Global Logistics (cont) Intra-Company versus Inter-Company (Third Party) Logistic Management

John Wiley & Sons, Inc c Free Trade Zones –Exhibit 16-2 Benefits of Using a Free Trade Zone

John Wiley & Sons, Inc c Maquiladora Operation

John Wiley & Sons, Inc c U.S. Special Import Tariff Provisions

John Wiley & Sons, Inc c Global Retailing “Push” versus “Pull” On-Time Retail Information Management –Reduced Inventory –Market Information at the Retail Level Retailing Differences across the World