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Possibilities of using Incoterms clauses in a country logistics performance assessment and benchmarking

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  • Stojanović, Đurđica
  • Ivetić, Jelena

Abstract

This study aims to contribute to the improvement of a country's transport and logistics (TL) performance assessment by exploring the possibility of using International commercial terms (Incoterms) clauses in international sales contracts. Incoterms clauses are commercial terms that clearly determine sellers' logistics commitments. They are also the “channels” that connect trade and logistics. The research explores the relationship between the international TL performance indicators and the Incoterms score (IS) which represents the extent of sellers' logistics commitments in bilateral trade at a national level. As per empirical results, the logistics performance indexes (LPIs) show the significant impact of a country's logistics performance on the IS. The country's economic development is also correlated with the IS and the domestic logistics performance indicators. This correlation is not seen with regards to the global competitiveness of transport infrastructure. Additionally, while the geographic distance does not have a direct correlation, it impacts buyers' or sellers' obligations, when considered along with the LPIs in the gravity model.

Suggested Citation

  • Stojanović, Đurđica & Ivetić, Jelena, 2020. "Possibilities of using Incoterms clauses in a country logistics performance assessment and benchmarking," Transport Policy, Elsevier, vol. 98(C), pages 217-228.
    • Handle: RePEc:eee:trapol:v:98:y:2020:i:c:p:217-228
    DOI: 10.1016/j.tranpol.2020.03.012
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    4. Florin TUDOR & Stefania MIRICA, 2022. "The Defining Role of Delivery Conditions in International Trade of Goods by Sea for the Detection of Irregularities and Non-Conformities," International Investment Law Journal, Societatea de Stiinte Juridice si Administrative (Society of Juridical and Administrative Sciences), vol. 2(1), pages 93-98, February.
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    6. Erkan Bayraktar & Enes Eryarsoy & Fuat Kosanoglu & Mehmet Fatih Acar & Selim Zaim, 2024. "Unveiling the Drivers of Global Logistics Efficiency: Insights from Cross-Country Analysis," Sustainability, MDPI, vol. 16(7), pages 1-20, March.
    7. Göçer, Aysu & Özpeynirci, Özgür & Semiz, Meltem, 2022. "Logistics performance index-driven policy development: An application to Turkey," Transport Policy, Elsevier, vol. 124(C), pages 20-32.
    8. Mustafa Polat & Karahan Kara & Avni Zafer Acar, 2023. "Competitiveness based logistics performance index: An empirical analysis in Organisation for Economic Co-operation and Development countries," Competition and Regulation in Network Industries, , vol. 24(2-3), pages 97-119, June.

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