IDEAS home Printed from https://ideas.repec.org/a/gam/jlogis/v8y2024i4p99-d1495349.html
   My bibliography  Save this article

Integrating Logistics into Global Production: A New Approach

Author

Listed:
  • Pablo Coto-Millán

    (Department of Economy, University of Cantabria, 39005 Santander, Spain)

  • David Paz Saavedra

    (Department of Economy, University of Cantabria, 39005 Santander, Spain)

  • Marta de la Fuente

    (Department of Economy, University of Cantabria, 39005 Santander, Spain)

  • Xose Luis Fernandez

    (Department of Economy, University of Cantabria, 39005 Santander, Spain)

Abstract

Background: Logistics has become a key driver of global economic production. This study investigates the role of logistics in global economic production by presenting a novel theoretical framework that integrates logistics performance into traditional models as a determinant production factor. Methods: Using panel data from 85 countries between 2007 and 2022, the research measures logistics performance through the Logistics Performance Index ( L P I ). Results: The analysis reveals that logistics performance, specifically factors such as customs efficiency, infrastructure quality, and tracking and tracing of shipments, significantly enhances global economic output. On the other hand, negative elasticities were observed for shipment timeliness and the cost competitiveness of international shipments, suggesting that inefficiencies in these areas can hinder economic growth. Conclusions: The findings underscore the need for targeted public policies to improve logistics infrastructure and efficiency, particularly in customs and trade logistics, to increase global production. Additionally, the study highlights the potential for improving the logistics sector to support sustainable development and economic interdependence among countries. This research provides important insights for policymakers and managers, indicating that effective logistics management can drive substantial improvements in production efficiency and overall economic performance.

Suggested Citation

  • Pablo Coto-Millán & David Paz Saavedra & Marta de la Fuente & Xose Luis Fernandez, 2024. "Integrating Logistics into Global Production: A New Approach," Logistics, MDPI, vol. 8(4), pages 1-9, October.
  • Handle: RePEc:gam:jlogis:v:8:y:2024:i:4:p:99-:d:1495349
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2305-6290/8/4/99/pdf
    Download Restriction: no

    File URL: https://www.mdpi.com/2305-6290/8/4/99/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Robert M. Solow, 1956. "A Contribution to the Theory of Economic Growth," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 70(1), pages 65-94.
    2. N. Gregory Mankiw & David Romer & David N. Weil, 1992. "A Contribution to the Empirics of Economic Growth," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 107(2), pages 407-437.
    3. K. J. Arrow, 1971. "The Economic Implications of Learning by Doing," Palgrave Macmillan Books, in: F. H. Hahn (ed.), Readings in the Theory of Growth, chapter 11, pages 131-149, Palgrave Macmillan.
    4. Jonathan Temple, 1999. "The New Growth Evidence," Journal of Economic Literature, American Economic Association, vol. 37(1), pages 112-156, March.
    5. Kouhizadeh, Mahtab & Saberi, Sara & Sarkis, Joseph, 2021. "Blockchain technology and the sustainable supply chain: Theoretically exploring adoption barriers," International Journal of Production Economics, Elsevier, vol. 231(C).
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Lecocq, Franck & Shalizi, Zmarak, 2007. "How might climate change affect economic growth in developing countries ? a review of the growth literature with a climate lens," Policy Research Working Paper Series 4315, The World Bank.
    2. Voxi Heinrich Amavilah, 2005. "Solow and the Native Americans: Technological Residuals and the Economic Performance of U.S. Native American Economies," Development and Comp Systems 0505008, University Library of Munich, Germany.
    3. Cem Ertur & Wilfried Koch, 2007. "Growth, technological interdependence and spatial externalities: theory and evidence," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 22(6), pages 1033-1062.
    4. Mark Roberts & Mark Setterfield, 2010. "Endogenous Regional Growth: A Critical Survey," Chapters, in: Mark Setterfield (ed.), Handbook of Alternative Theories of Economic Growth, chapter 21, Edward Elgar Publishing.
    5. Eckey, Hans-Friedrich & Türck, Matthias, 2007. "Convergence of EU-Regions. A Literature Report," INVESTIGACIONES REGIONALES - Journal of REGIONAL RESEARCH, Asociación Española de Ciencia Regional, issue 10, pages 5-32.
    6. Arlene Garces-Ozanne, 2006. "A bounds test approach to the study of level relationships in a panel of high-performing Asian economies (hpaes)," Working Papers 0607, University of Otago, Department of Economics, revised Nov 2006.
    7. ERTUR, Cem & KOCH, Wilfried, 2006. "Convergence, Human Capital and International Spillovers," LEG - Document de travail - Economie 2006-03, LEG, Laboratoire d'Economie et de Gestion, CNRS, Université de Bourgogne.
    8. Fulvio Castellacci, 2007. "Evolutionary And New Growth Theories. Are They Converging?," Journal of Economic Surveys, Wiley Blackwell, vol. 21(3), pages 585-627, July.
    9. Iancu, Aurel, 2007. "The Question of Economic Convergence - first part -," Journal for Economic Forecasting, Institute for Economic Forecasting, vol. 4(3), pages 5-18, September.
    10. Daniele Schilirò, 2019. "The Growth Conundrum: Paul Romer’s Endogenous Growth," International Business Research, Canadian Center of Science and Education, vol. 12(10), pages 75-85, October.
    11. William Darity & Lewis S. Davis, 2005. "Growth, trade and uneven development," Cambridge Journal of Economics, Cambridge Political Economy Society, vol. 29(1), pages 141-170, January.
    12. Leone Leonida, "undated". "On the Effects of Industrialization Processes on Growth and Convergence Dynamics: Evidence from Italian Regions," Discussion Papers 04/15, Department of Economics, University of York.
    13. Rao, B. Bhaskara, 2010. "Estimates of the steady state growth rates for selected Asian countries with an extended Solow model," Economic Modelling, Elsevier, vol. 27(1), pages 46-53, January.
    14. van de Klundert, T.C.M.J. & Smulders, J.A., 1991. "Reconstructing growth theory : A survey," Other publications TiSEM 19355c51-17eb-4d5d-aa66-b, Tilburg University, School of Economics and Management.
    15. Sai Ding & John Knight, 2011. "Why has China Grown So Fast? The Role of Physical and Human Capital Formation," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 73(2), pages 141-174, April.
    16. Philippe Michel & Antoine d'Autume, 1993. "Hystérésis et piège du sous-développement dans un modèle de croissance endogène," Revue Économique, Programme National Persée, vol. 44(2), pages 431-450.
    17. Mustafa Gömleksiz & Ahmet Şahbaz & Birol Mercan, 2017. "Regional Economic Convergence in Turkey: Does the Government Really Matter for?," Economies, MDPI, vol. 5(3), pages 1-16, July.
    18. Simplice A. Asongu & Voxi Amavilah & Antonio R. Andrés, 2014. "Economic Implications of Business Dynamics for KE-Associated Economic Growth and Inclusive Development in African Countries," Research Africa Network Working Papers 14/023, Research Africa Network (RAN).
    19. Robert M. Solow, 2000. "La teoria neoclassica della crescita e della distribuzione," Moneta e Credito, Economia civile, vol. 53(210), pages 149-185.
    20. ?gel de la Fuente, "undated". "Convergence Across Countries And Regions: Theory And Empirics," UFAE and IAE Working Papers 447.00, Unitat de Fonaments de l'Anàlisi Econòmica (UAB) and Institut d'Anàlisi Econòmica (CSIC).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jlogis:v:8:y:2024:i:4:p:99-:d:1495349. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.