Proximity matters: synergies through co-location of logistics establishments

Abstract

Although anecdotal evidence suggests that co-location of logistics establishments can bring about several benefits for the co-located logistics firms. These benefits have not been widely researched. This article seeks to contribute to an understanding of the spatial concentration of logistics establishments by empirically analysing the synergies they achieve through co-location. A survey of managers of 507 logistics establishments in the south of the Netherlands tested for differences in behaviour and circumstances between co-located and non-co-located establishments. The results show that synergies arise through co-location of logistics establishments: co-located logistics establishments more often combine transport capacity, have better availability of truck drivers, are better accessible, have better availability of repair and maintenance facilities, and have better expansion opportunities than do non-co-located logistics establishments. This means that regional aspects can be important variables in the location decisions of logistics firms.