ABSTRACT
This chapter addresses the ways in which company business strategies and manufacturing and retailing operations have been developing within Europe during this time of political, economic and geographical change, and the effect that this is having on the demand for logistics services. An enlarged and more integrated Europe will influence the demand for logistics services. One way in which logistics service providers can enter into foreign markets is by establishing operating centres in other countries and gradually increasing their networks. The growing internationalization of business has forced companies providing logistics services to consider their own strategies to meet these new needs. Transport represents a significant proportion of total logistics costs in food manufacturing and retailing. Although a few integrated express companies have achieved this level of service provision, it is beyond the scope of most large logistics providers. The smallest logistics service providers tend to operate either at a local level or work for a few companies.
