through the increase in value of the products during the logistics process by means of timely or fast availability, additional treatment of the goods, or additional services associated with the goods.

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Two basic approaches of competitive strategies:

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The niche strategy dependent on a company’s strategic orientation (cost leadership or differentiation) and the scope of the targeted market.

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Primarily based on a large market share, on the basis of which economies of scale in the procurement, production and distribution stages are to be implemented.

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Try to achieve a unique selling point for a customer’s highly-valued demands. By reaching a unique selling point for certain products or services, it is often possible for a company to establish higher prices.

- generally enables more customer loyalty, which helps prevent new market entries and substitution products

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the entirety of sustainable facilities and supply channels that can be used by private households and companies.

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comprises transport infrastructure, information infrastructure, and (tele)-communication infrastructure.

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institutions for education, healthcare, culture and security within a state and society.

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comprises the infrastructure for passenger transport and freight transport. This includes all physical traffic routes such as railroads for trains and city railroads, roads, tunnels, waterways and pipelines including their control systems, and handling facilities.

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includes airports, train stations, inland ports and sea ports, which are also referred to as point-shaped traffic or transport infrastructure.

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the backbone of logistics systems.

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prerequisite for modern logistics systems in which efficient logistical processes are to be carried out. In general terms, infrastructure means the entirety of sustainable facilities and supply channels that can be used by private households and companies.

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includes telephone networks, fibre optics networks and their network nodes, satellites with their associated ground stations, and data centers. This is also referred to as web-based or digital infrastructure.

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buildings, structures and properties in different shapes and sizes

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The longest railroad networks in Western Europe are located in (a)   .

made up of navigable waterways that serve as a link between inland ports and/or sea ports.

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The longest networks can be found in (a)  

provide routes for either short sea shipping or international ocean shipping. Short sea shipping is carried out on pre-defined offshore routes with good connections to the Hinterland. Sea routes determine the connections on the high seas.

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(a)   networks make a region accessible. Within Europe, Germany (12,363 km), Spain (11,622 km), and France (10,801 km) feature the longest highway network. Germany distinguishes between federal highways (Bundesfernstraße/ Bundesautobahn/Bundesstraße), state roads (Landesstraße), county roads (Kreisstraße), and municipal roads (Gemeindestraße).

increasingly controlled by the information and communication infrastructure of systems that are associated with the respective transport mode.

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fulfill important infrastructural functions. Their main purpose is to provide infrastructure relevant to air transport. This mainly includes the provision of runway systems, passenger terminals, and connections to ground transport systems.

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The terminal is the main (a)   building. In general it consists of two areas separated by border and passport control through which all passengers and flight personnel need to pass preflight. Check-in (ticket collection, seat reservation, luggage check-in, security control) takes place in the front part of the terminal.

This part also features shops, restaurants, and exhibition areas (non-aviation area). Waiting areas and accesses to the gates are located behind this part.

The terminal is the main (a)   building. In general it consists of two areas separated by border and passport control through which all passengers and flight personnel need to pass preflight. Check-in (ticket collection, seat reservation, luggage check-in, security control) takes place in the front part of the terminal.

The (a)   area of an airport comprises the system of runways which is needed to enable aircraft movements (take-off, landing). Taxiways, maneuvering areas, hangars, and cargo centers also form part of this area

(a)   are infrastructure facilities consisting of berths for seagoing and/or inland vessels. They serve as an interface between land and sea transport and fulfill the functions of transshipment and storage as well as pre-carriage and on-carriage of goods.

used for transshipment by inland vessels, coasters, and smaller sea vessels.

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used for feeder transport by sea vessels or inland vessels.

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comprises immovable port facilities such as docks, shipping channels, track systems, and quays.

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includes movable and immovable facilities such as crane systems, warehouses, and industrial trucks. Information and communication systems which illustrate the interdependencies between the individual forms of logistical infrastructure.

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largely dependent on the development of the ports and on the functions they fulfil. In the wake of the industrialization, the development of the railway and due to globalization, ports have become a gateway to the Hinterland.

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generally defined as railroad systems with at least one switch, providing a starting and ending point for trains and allowing them to swerve or turn.

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includes all railroad systems, properties, buildings and other facilities necessary to perform or secure passenger or cargo transport by rail.

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serve to load and unload rail cars and wagons. Facilities for loading and unloading may come in the simple form of transshipment areas between freight cars and road vehicles. These areas can be located beside or in between the rails.

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are formed or decoupled at marshalling yards. At these yards, a large number of freight cars can be decoupled from incoming trains within a short time in order to form new freight trains.

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also form a part of railroad systems. They provide access to the rail freight network and serve for the loading and unloading of rail cars. In most cases, they are located on the premises of the sending or receiving company. enable companies to transport rail cars directly from the sender to the receiver, thereby avoiding time-consuming and costly transshipment procedures.

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(transshipment points) are (external) sites at which transshipment activities take place. These activities include the loading and unloading of means of transport, sorting of goods, storage of goods, and release of goods from the warehouse.

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transshipment points in air freight transport between ground-based modes of transport (rail/road) and airplanes. The facilities and equipment for transhipment of air cargo are in the air cargo centers of major airports.

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furnished with facilities and equipment needed for the loading and unloading of sea vessels and inland vessels. They also feature areas for storage and distribution of goods. Depending on the type of goods being transshipped and their corresponding mode of transport

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are needed for transport with RoRo ships. This technique was developed for ferry transport, in which ships are loaded through gates and ramps at the stern, side or bow of the ship. suitable for smaller ports without landside transshipment facilities but with connections to the road and railroad network.

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above all transshipment points of combined railroad transport in the form of transshipment terminals and container terminals. They can be small areas for loading and unloading or large transshipment stations. The most important infrastructural elements of these terminals are road infrastructure for road vehicles (driveways for entrance and exit, parking lanes, loading lanes, traffic lanes), railroad infrastructure in the form of siding tracks which connect trains to the main rail network and storage areas.

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can be described as a building with appropriate infrastructure and technology built on a suitable property for the purpose of performing transshipment, storage, and all services associated with it (picking, packing, quality checks, (sub) assembly).

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including warehouses, transshipment halls, distribution centers, and logistics service centers.

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comprising several buildings and sites, which can serve as logistics parks, industrial parks, or freight villages.

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may be used as central warehouses, regional warehouses, production warehouses, or distribution warehouses. Their purpose is the storage of goods, and they serve as a link between procurement and distribution. The way they are equipped is dependent on the range of functions they fulfil and on the logistics processes to be carried out on the property.

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serve to distribute goods that arrive through long-distance and short-distance transport. Since goods are stored for only a short time and because the throughput rate is accordingly high, transshipment halls feature a small height and depth but many gates for usually double-sided delivery. The gates need to be designed in a way which enables the loading and unloading of large trucks, utility vans, as well as station wagons.

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significantly larger and have a greater number of loading gates. In addition, they are frequently equipped with (automated) storage and picking systems. The type and quantity of goods and commodities to be handled have a significant bearing on the size and capacities of a distribution center. The spectrum of goods ranges from all kinds of consumer goods (food, necessities, brown goods, white goods) to various industrial goods.

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have the purpose of concentrating several suppliers, warehousing companies, and transport companies in one place so that production can take place nearby (e.g. just-in-time delivery). To this end, goods from different sources need to be consolidated and processed in, for instance, production-logistics centers (light industrial).

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an area where several logistics properties are concentrated in close proximity. The individual properties may differ with regard to their type and size as well as to their tenancy and ownership relations. The main purpose of a logistics park is the realization of synergies through the common use of infrastructural facilities such as gas stations, forklift truck fleets, workshops, offices etc.

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serve purposes related to transport and traffic policy and to the supply and disposal of goods in specific regions.

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can exhibit different structures (network typology) which utilize various types of hardware and access methods for data connection and transmission. These, in turn, determine the rate of transmission, the data throughput, and data security concepts.

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another type of transshipment terminals in which consignments are directly transshipped between incoming and outgoing trucks without intermediate storage. They are mostly long buildings with numerous gates. They are mainly utilized in consumer goods logistics (retail chains), by mail and parcel service providers (hub-and-spoke systems), by transport companies and carriers (general cargo networks) and in the automobile industry

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a multifunctional logistics location with direct rail link in order to connect several transport modes. Due to its dominant position within the transport system, this is usually road transport with connections to the highway network and direct access to the distribution network in the catchment area. It is also possible and reasonable to provide connections to inland waterways, airports, and pipeline networks.

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enables the efficient transshipment of goods into containers. The design of a container terminal needs to take into account ship sizes, the types of containers to be dispatched (open-top container, cooling container, hazardous material container, empty containers etc.), container sizes (40, 20, 10 ft.) as well as container capacities

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a specific type of real estate which are also termed collocation centers, IT centers, IT hotels, server hotels, telehouses, and so forth.

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characterized by thinking in processes, value chains, and networks. It includes parameters such as performance, quality, value, and cost. At the end of this chapter the reader will have gained an understanding of the basic components and organization variables of the logistics systems.

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conceptualizes the supply of goods on the market without specific demand for those goods. This means that action for the initiation of a logistics chain is taken by the manufacturer and thus at the beginning of the logistics chain. It is the traditional strategy to supply goods to the market. Large production lots and fully utilized transport units result in cost advantages. This, though, must be set against the corresponding inventory costs and the sales risk.

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initiates the logistics chain at its end. This means that the logistics process is activated when the end user (consumer) requires specific goods and thus creates demand. This principle is normally applied for high-quality investment goods. Due to the generally difficult sales situation and the competition-induced need to reduce costs in the supply chain, the pull principle is also increasingly used for consumer goods and low-price goods. This principle entails an interesting cost advantage as a result of reduced inventory costs and sales risks. It is, however, also associated with relatively long delivery times and increased costs for small (single) shipments.

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entails supremacy of control, which enables the system leader to generate logistical synergy potential, such as cost advantages. Barring distinctly cooperative companies, system leadership is usually wielded by industrial and commercial companies which prevail due to their market power. However, it is also possible to pass system leadership on to third parties, for example to logistics service providers. If several service providers are involved in the supply chain, it is possible to designate one of them as system leader (Lead Logistics Provider).

(a)