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Investopedia explains 'Logistics'
This term originated in a military context, referring to how personnel acquire, transport and store supplies and equipment. In the business community, the term refers to how resources are acquired, transported and stored along the supply chain.
For example, in the oil and natural gas industry, logistics consists of the systems for gathering and transporting oil, including pipelines and trucks, along with storage and distribution facilities.
By having an efficient supply chain and proper logistical procedures, a company can cut costs and increase efficiency. On the other hand, a company with poor logistics will fail to meet customers' expectations and see its business suffer.
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