An empirical examination of the contribution of capabilities to the competitiveness of logistics service providers

Abstract

Purpose This paper aims to report on an investigation of logistics service provider (LSP) capabilities and how these capabilities contribute to LSP competitiveness in the context of China. Design/methodology/approach This paper draws on work from economics and strategy on firm‐level competitiveness, particularly the resource‐based view, to develop and empirically examined 13 firm‐specific capability constructs based on a survey of Chinese LSPs. Findings Exploratory factor analysis and factor analysis regression indicated all 13 constructs are critical to a Chinese LSP's competitiveness and are interlinked in contributing to it. The findings also revealed the most critical capability is service quality; this capability was further assessed and two sub‐constructs of operations and relationship management emerged. Practical implications The results of the empirical study provide a useful way for LSP managers to identify and appraise their firm's capabilities and competitiveness. Originality/value This study contributes by addressing a gap of empirical research concerning LSP competitiveness and capabilities.