Arbitrage

Arbitrage refers to the practice of taking advantage of price differences in different markets or geographical locations to make a profit. In the logistics and supply chain industry, arbitrage can involve activities such as buying goods from one market at a lower price and selling them in another market where the price is higher. This can also apply to taking advantage of currency exchange rate differences, transportation costs, or variations in supply and demand between markets.  

Arbitrage opportunities are identified through market analysis and monitoring of price fluctuations, enabling businesses to optimize their sourcing and distribution strategies to maximize profitability.