CEO Perspectives on the Current Status and Future Prospects of the Third- Party Logistics Industry in the United States: The year 2003 Survey.

2004 ◽  
Vol 5 (1) ◽  
pp. 2-11 ◽  
Author(s):  
Robert Lieb ◽  
Brooks A. Bentz
2021 ◽  
pp. 102452942098524
Author(s):  
Neil M Coe

Despite growing interest in logistics across the social sciences, there is still a persistent gap in relation to work that explores the organizational and competitive dynamics of the independent logistics industry, a sector worth almost US$1tn a year. This paper explores the nature, causes and consequences of commoditization in the third-party logistics (3PL) industry, using evidence derived from over 30 corporate interviews with the leading 3PL providers in the Asia-Pacific region. Commoditization captures a mature stage of industry and market development in which goods and services are widely available and interchangeable with those provided by other companies, and hence price-based competition predominates. The paper profiles the strategic responses of 3PL firms to the challenges of commoditization, which are associated with accruing scale, offsetting risk and seeking to deepen relationships with clients, arguing that they are variegated due to the different geographical and sectoral origins of the firms. Overall, it offers a profile of 3PL as a maturing industry heavily conditioned by its intersections with client global production networks.


In the recent years third-party logistics market is an emerging trend all over the world and most of the companies want to reduce the logistic costs, increase the market share, and focus on competency through the use of 3PLs. Due to the diversity of economic development, industrial segments and core competency between the markets, the third-party logistic market is growing very fast in the United Arab Emirates. The empirical study was carried out based on 102 responses received from 200 respondents for the third-party logistics market in Abu Dhabi, UAE. These data are analyzed by the SPSS software. Accordingly, the Friedman’s test shows that the full truck load & transportation management and freight forwarding are the major outsourced activities from the 3PL firms having the “P” value which is lower than 0.01, with the null hypothesis being rejected at 1% level of significance. The detailed study explains the Pearson correlation coefficient, the regression analysis for the various business measures and factor analysis of the influencing the success factors in the 3PL market and necessity of outsourcing of 3PL services in Abu Dhabi, UAE.


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