Leveraging Logistics Management To Drive Profit Maximization
Journal Title:Organization Leadership and Development Quarterly (OLDQ)
Considering the complexity of today’s business environment, the need for effective strategies focused on maximizing profit cannot be over emphasized. Directors and C-suites in most organizations command deep-pocket financial investments to aid business growth strategies. Market trends have proven that there is a thin line, in meaning and understanding between “business growth” and “business expansion”. It is essential to recognize that both concepts require effective logistics management. This empirical research paper seeks to elaborate on the position that logistics management is a key variable to drive profit maximization in both business growth and expansion prospects in relation to other business milestones, objective and achievements. The article adopts an empirical comparison approach of two e-commerce giants, that us Amazon and Alibaba. The comparative analysis is based on two perspectives: revenue versus the logistic assets acquisition. These perspectives are considered essential to organizational effectiveness. This research article shows that even though market share is paramount to profit maximization, logistics management is an inherent strategy to maximize profit and achieving broader organizational goals.