Road Freight Logistics, Competition, and Innovation: Downstream Benefits and Policy Implications

28 Pages Posted: 18 Nov 2005

See all articles by Mark Dutz

Mark Dutz

European Bank for Reconstruction and Development (EBRD)

Date Written: November 2005

Abstract

This empirical paper sheds light on a significant element of the debate of whether infrastructure services have a strong impact on economic development by exploring the impact of innovative road freight services on downstream business users. The paper uses a new and purpose-specific survey of 165 logistics service providers and 493 user enterprises in food processing, food distribution, and the automotive industry in the Czech Republic, Hungary, and Poland. The main findings are that there are substantial downstream benefits from innovations in road freight services, both dampening cost increases and raising sales revenues of business users. The additional finding that increased intensity of competition in road freight services is significantly associated with the provision of innovative services suggests that easing any remaining barriers to competition in upstream business sectors should be a priority.

Suggested Citation

Dutz, Mark, Road Freight Logistics, Competition, and Innovation: Downstream Benefits and Policy Implications (November 2005). World Bank Policy Research Working Paper No. 3768, Available at SSRN: https://ssrn.com/abstract=849426

Mark Dutz (Contact Author)

European Bank for Reconstruction and Development (EBRD) ( email )

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