Logistics is a component of the supply chain, generally divided into 14 activities, including customer service, demand forecasting, facility layout, industrial packaging, inventory management, material management, order processing, parts and supply services, product planning, procurement, reverse logistics, minor damage handling, transportation management, and warehouse management.

The 14 activities of logistics demonstrate that it encompasses a series of processes, from the procurement of raw materials to distribution to wholesalers and retailers.

Therefore, the primary goal of logistics is to reduce all costs incurred in these 14 activities.

So, the primary purpose of logistics is to reduce product costs and better support the marketing competitiveness of goods.

The supply chain has evolved to a higher level of logistics, focusing on suppliers and their customers, integrating and effectively allocating and utilizing all information, such as finding suppliers or contacting suppliers of suppliers through information sharing, to reduce production costs. In other words, the supply chain encompasses all activities within the entire chain from raw material sources to the consumer.