Examining the drivers of competitive advantage of the international logistics industry

Abstract

Enhancing the competitive advantage of the international logistics industry is vital for a country. While most literature addresses the competitive advantage of individual organisations from the resource-based view, relatively few studies assess various governmental influences on providing a competitive advantage to the logistics industry. Drawing on the institutional theory and resource-based view, this study empirically identifies the critical drivers that affect competitive advantage in the international logistics industry. From the initial findings and a review of the relevant literature, this study identifies infrastructure, technology, integration, and regulation as the main drivers. Empirical data were collected from 149 international logistics firms or service providers in Taiwan. The study results show that the logistics industry in Taiwan is satisfied with technology and infrastructure. Using structural equation modelling (SEM), this study finds that regulation and integration have a positive impact on the competitive advantage of the international logistics industry, whereas technology has a positive impact on integration. In addition, based on the results of bootstrapping analysis, integration has a mediating effect on the relationship between technology and competitive advantage of the international logistics industry. Theoretical, managerial, and policy implications are discussed to reinforce the competitive advantage of the international logistics industry.