After a company decides on its channel of distribution, it must plan for actually moving its product through those channels. Physical distribution is the key link between a business and its customers. Physical distribution comprises all the activities that help to ensure that the right amount of product is delivered to the right place at the right time.

Key Terms:
Physical distribution
Transportation
Common carriers
Contract carriers
Private carriers
Exempt carriers
Ton-mile
Carload
Freight forwarders

Objectives

*Describe the nature and scope of physical distribution
*Identify transportation systems and services that move products from manufacturers to consumers
*Name the different kinds of transportation service companies