Road Freight Logistics, Competition and Innovation : Downstream Benefits and Policy Implications

Road Freight Logistics, Competition and Innovation : Downstream Benefits and Policy Implications

This empirical paper sheds light on a significant element of the debate of whether infrastructure services have a strong impact on economic development by exploring the impact of innovative road freight services on downstream business users. The paper uses a new and purpose-specific survey of 165 logistics service providers and 493 user enterprises in food processing, food distribution, and the automotive industry in the Czech Republic, Hungary, and Poland. The main findings are that there are substantial downstream benefits from innovations in road freight services, both dampening cost increases and raising sales revenues of business users. The additional finding that increased intensity of competition in road freight services is significantly associated with the provision of innovative services suggests that easing any remaining barriers to competition in upstream business sectors should be a priority.

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Bibliographic Details
Main Author: Dutz, Mark
Language:English
Published: World Bank, Washington, DC 2005-11
Subjects:BUSINESS INFRASTRUCTURE, BUSINESS SECTORS, BUSINESS SERVICES, COLLUSION, COMPANY, COMPETITION LAW, COMPETITION POLICY, COMPETITORS, CONSULTING SERVICES, EAST EUROPEAN, EMPLOYMENT, ENTERPRISE SIZE, ENTREPRENEURSHIP, EXPANSION, FIRMS, INNOVATIONS, JOINT VENTURES, LARGE ENTERPRISES, LAWS, LEGISLATION, MANAGEMENT METHODS, MANUFACTURERS, OUTSOURCING, PRICE SETTING, PRIVATE SECTOR PARTICIPATION, PRIVATE SERVICE PROVIDERS, PRIVATIZATION, PROVISION OF SERVICES, QUALITY OF SERVICE, REGULATORY REFORM, REGULATORY REGIME, RESEARCH RESULTS, SERVICE DELIVERY, SERVICE PROVIDERS, SERVICE PROVISION, SMALL FIRMS, SUPPLIERS, TECHNOLOGICAL INNOVATIONS, TRANSACTION COSTS, TRANSITION ECONOMIES, TRANSPORT,
Online Access:http://documents.worldbank.org/curated/en/2005/11/6399393/road-freight-logistics-competition-innovation-downstream-benefits-policy-implications
https://hdl.handle.net/10986/8497
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Summary:This empirical paper sheds light on a significant element of the debate of whether infrastructure services have a strong impact on economic development by exploring the impact of innovative road freight services on downstream business users. The paper uses a new and purpose-specific survey of 165 logistics service providers and 493 user enterprises in food processing, food distribution, and the automotive industry in the Czech Republic, Hungary, and Poland. The main findings are that there are substantial downstream benefits from innovations in road freight services, both dampening cost increases and raising sales revenues of business users. The additional finding that increased intensity of competition in road freight services is significantly associated with the provision of innovative services suggests that easing any remaining barriers to competition in upstream business sectors should be a priority.

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