[ToC]

 

J. L. Heskett, Robert M. Ivie, and Nicholas A. Glaskowsky, Jr., Business Logistics: Management of Physical Supply and Distribution, The Ronald Press Co., 1964

MAP OF TRANSPORT ISOTIMS SHOWING THEORETICAL LINE OF INDIFFERENCE AND ACTUAL AREAS AND POINTS OF INDIFFERENCE IN THE LANDED COST OF PRODUCTS OF TWO COMPETING COMPANIES OPERATING UNDER F.O.B. ORIGIN OR INDIVIDUAL DELIVERED PRICING POLICIES

The formula discussed on pages 134 and 135 can be used to determine the effective limits placed on market areas by f.o.b. and individual pricing policies. Many firms have tried to cope with the economic limitations imposed by these pricing policies and geographic location by decentralizing manufacturing and storage facilities to place them within "competitive range" or major markets.