A Comparative Analysis of the Logistics and Economics Fields: A Literature Review

Addressing the needs of consumers is a critical concern in both logistics and economics. Nevertheless, companies strive to deliver the right goods and services where and when are required to meet their client satisfaction while also maintaining profitability. Economics mainly focuses on managing scarcity and promoting individual well-being. This raises questions about whether logistics and economics are distinct or similar and if they share similarities, what are their common objectives? This paper sheds light on the similarities between the fields of economics and logistics; the fundamental assumptions indicate that both fields are centred on fulfilling consumers’ needs. Furthermore, both advocate the management of scarcity, albeit with differing motivations. Consequently, the logistics approach is informed by economic principles, yet it adheres to these same principles to enhance business performance. However, how do these distinct fields, each with its own methodologies, contribute to the achievement of the same overarching goals?