The importance of logistics costs in foreign trade and an example of PTT

The purpose of this study is to show that logistics is the most important factor to focus on when reducing costs in systems running with a decreasing profit magrin. In today's competitive world, one unit decrease in the cost of logistics will lead to an increase in sales of two units. In addition, for exporting businesses, the amount and in how many days customers want the delivery, the speed at which firms make a return to the order, the importance of the time taken between the raw material and production point in terms of the customer and depending on these cases the exporting firm?s early detection of its customers to reduce the time it takes to respond to orders are among the main points of the logistics model.Hence, enterprises engaged in foreign trade must carry out their management of logistics correctly and in the most effective manner. In this study, firstly international foreign trade data is analysed and later the concept of logistics is discussed. In particular, the elements that compose logistcs costs are examined. In the third section, logistic structure and costs of PTT analysed and interpreted.