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How logistics performance promote the international trade volume? A comparative analysis of developing and developed countries

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  • Mei Ling Wang
  • Chang Hwan Choi

Abstract

This paper analyses how logistics performance affects international trade volume and compares the different effects between developing and developed countries by employing a gravity model with panel data from 43 countries in 2010, 2012 and 2014. The findings show that an improvement of logistics performance index (LPI) has more impact on export volume than on import volume. And it has a more powerful influence on developed countries' trade volumes than on developing countries' trade volumes. To improve the competitiveness of developing countries' exports in a global economy, developing countries should first and foremost prioritise improvement in procedural sectors like the customs process, tracking, and infrastructure.

Suggested Citation

  • Mei Ling Wang & Chang Hwan Choi, 2018. "How logistics performance promote the international trade volume? A comparative analysis of developing and developed countries," International Journal of Logistics Economics and Globalisation, Inderscience Enterprises Ltd, vol. 7(1), pages 49-70.
    • Handle: RePEc:ids:injleg:v:7:y:2018:i:1:p:49-70
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    Cited by:

    1. Arif Imam Suroso, 2022. "The Effect of Logistics Performance Index Indicators on Palm Oil and Palm-Based Products Export: The Case of Indonesia and Malaysia," Economies, MDPI, vol. 10(10), pages 1-15, October.
    2. 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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