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The globalization of markets is generally understood as a recent phenomenon, triggered by the economic development explosion since the World War II; however while international trade has certainly increased dramatically in the second half of the last century, nations have engaged in international trade for years.
Before the advent of the twentieth century and the advent of modern transportation, trade between nations had always relied on courageous traders who ventured to far away places in the hope of earning a living. They were responsible for determining what goods they should take along as payment for the goods they hoped to bring back, negotiating with foreigners with whom they did not share a language, and arranging for the transportation and safekeeping of the goods while in transit. They were exposed to the risks of international travel, of market preferences and of political instability. They were mostly adventurers and pioneers.
The first international traders were involved in logistics as they calculated how much their ships, or beasts, could carry, how much food and water to bring along and how best to package the goods while in transit, decisions which parallel exactly what a modern logistics manager does. They had to decide which payment method was appropriate just as modern exporter must determine the best way of ensuring security of payment.
While many aspects of international logistics have changed, the main concerns of people involved in this field remain similar; they have to ensure that goods manufactured in part of the world arrive safely at their destination.
The Council of Logistics Management has defined International logistics as “the process of planning, implementing and controlling the flow and storage of goods, services and related information from a point of origin to a point of consumption located in a different country”.
