| As a key component of the supply chain, Logistics and distribution center is connecting suppliers and manufacturers to distributors and customers, which determined the supply chain's costs and operational efficiency. Logistics and distribution center plays an important role in reducing losses and improving service level of supply chain, and provides an unmatched function for the whole supply chain system. Therefore, researching on the distribution center has great economic value and practical significance, and in the construction project and activity plan of logistics and distribution center, location decisions is a very important issue in the plan. The right decision has a significant influence in exerting the function and improving the competition of enterprises.By analyzing the characteristics of logistics and supply chain management with the existing problems, the article used the relevant methods of application and operations research, combined with the impact factors of location, the logistics distribution center and optimization model was established which was based on supply chain theory. The model took the concept of service radius into consideration, based on the one-time investment, and added the variable costs caused by service radius. The variable costs, the inventory costs and transportation costs constituted the backbone of the model. The article oriented by the lowest operating costs of the system, pursued the maximum efficiency, finally through the case analysis, the results matched the actual situation, and had strong adaptability and extensibility. |