Effect Size of Logistics: Evidence from Selected Countries

Efficiency of cross-border goods' movement and resource use is key for countries' economic growth. This study aimed to estimate the effect size of transportation infrastructure and logistics performance on selected countries' development, based on the infrastructure of services approa...

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Main Author: Sénquiz-Díaz Cynthia
Format: Article
Language:English
Published: Sciendo 2021-01-01
Series:Logi
Subjects:
Online Access:https://doi.org/10.2478/logi-2021-0012
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author Sénquiz-Díaz Cynthia
author_facet Sénquiz-Díaz Cynthia
author_sort Sénquiz-Díaz Cynthia
collection DOAJ
description Efficiency of cross-border goods' movement and resource use is key for countries' economic growth. This study aimed to estimate the effect size of transportation infrastructure and logistics performance on selected countries' development, based on the infrastructure of services approach. A partial least square (PLS) and structural equation modeling (SEM) analysis for 74 countries for 2012–2018 revealed that transportation infrastructure and logistics performance were statistically significant (at the 1% level) for economic development, despite small and medium effect size. Transportation had a significantly positive and large effect on logistics performance (at the 1% level). Mediation analysis results also showed evidence of the significantly large effect size (at the 1% level) of logistics performance. The study concludes that logistics performance is a strong contributor—directly and indirectly—in the development of countries where transportation alone may not be enough. Hence, countries should prioritize logistics development strategies to harness global production networks, improve policies and practices, and enhance their standards of living.
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spelling doaj.art-5c76af89592c446bb6b6aeb40d19b0882024-04-15T07:43:26ZengSciendoLogi2336-30372021-01-0112112313410.2478/logi-2021-0012Effect Size of Logistics: Evidence from Selected CountriesSénquiz-Díaz Cynthia0Ana G. Méndez University, Business, Tourism and Entrepreneurship Division, Gurabo, Puerto RicoEfficiency of cross-border goods' movement and resource use is key for countries' economic growth. This study aimed to estimate the effect size of transportation infrastructure and logistics performance on selected countries' development, based on the infrastructure of services approach. A partial least square (PLS) and structural equation modeling (SEM) analysis for 74 countries for 2012–2018 revealed that transportation infrastructure and logistics performance were statistically significant (at the 1% level) for economic development, despite small and medium effect size. Transportation had a significantly positive and large effect on logistics performance (at the 1% level). Mediation analysis results also showed evidence of the significantly large effect size (at the 1% level) of logistics performance. The study concludes that logistics performance is a strong contributor—directly and indirectly—in the development of countries where transportation alone may not be enough. Hence, countries should prioritize logistics development strategies to harness global production networks, improve policies and practices, and enhance their standards of living.https://doi.org/10.2478/logi-2021-0012logistics performancetransportation infrastructure qualityeffects sizeinfrastructure of servicespls-sem
spellingShingle Sénquiz-Díaz Cynthia
Effect Size of Logistics: Evidence from Selected Countries
Logi
logistics performance
transportation infrastructure quality
effects size
infrastructure of services
pls-sem
title Effect Size of Logistics: Evidence from Selected Countries
title_full Effect Size of Logistics: Evidence from Selected Countries
title_fullStr Effect Size of Logistics: Evidence from Selected Countries
title_full_unstemmed Effect Size of Logistics: Evidence from Selected Countries
title_short Effect Size of Logistics: Evidence from Selected Countries
title_sort effect size of logistics evidence from selected countries
topic logistics performance
transportation infrastructure quality
effects size
infrastructure of services
pls-sem
url https://doi.org/10.2478/logi-2021-0012
work_keys_str_mv AT senquizdiazcynthia effectsizeoflogisticsevidencefromselectedcountries