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Assessment of the national economy through the application of logistics costs

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  • Wang Bo
  • Dmytro Bugayko
  • Maria Grigorak

Abstract

This paper presents a study on the identification and calculation of logistics costs at the macro level in relation to different approaches to reflecting the cost of logistics operations in the statistical reporting of different countries. An analysis of international accounting practices and classifications of the logistics costs in different countries and their impacts on the competitiveness and performance of the national economy was conducted. The hypothesis that the cost of logistics significantly affects the competitiveness of goods and services but it does not reflect the performance of logistics operations in the country was proven. In that regard, a comparative analysis of the macroeconomic indicators of different countries and their rankings in terms of global competitiveness and logistics performance was elaborated. The estimation of the cost of logistics in Ukraine on the basis of statistical reporting was reviewed in greater details. The estimation of the logistics costs in Ukraine was carried out on the basis of the regression model and the MALC method. A review and a comparative analysis of the approaches to the assessment of logistics costs in Ukraine and China was made; the factors affecting their magnitude and dynamics were examined. Practical recommendations on the control and analysis of logistics costs in Ukraine and the development of logistics infrastructure were formulated.

Suggested Citation

  • Wang Bo & Dmytro Bugayko & Maria Grigorak, 2018. "Assessment of the national economy through the application of logistics costs," Economic Thought journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 3, pages 51-67,68-82.
    • Handle: RePEc:bas:econth:y:2018:i:3:p:51-67,68-82
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    References listed on IDEAS

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    1. Zakariah, Sahidah & Pyeman, Jaafar, 2013. "Current State and Issues of Logistics Cost Accounting and Management in Malaysia," MPRA Paper 46605, University Library of Munich, Germany.
    2. Engblom, Janne & Solakivi, Tomi & Töyli, Juuso & Ojala, Lauri, 2012. "Multiple-method analysis of logistics costs," International Journal of Production Economics, Elsevier, vol. 137(1), pages 29-35.
    3. Karri Rantasila & Lauri Ojala, 2012. "Measurement of National-Level Logistics Costs and Performance," International Transport Forum Discussion Papers 2012/4, OECD Publishing.
    4. Beata Œlusarczyk & Sebastian Kot, 2013. "Logistics Costs Identification In Sme In Poland," Advanced Logistic systems, University of Miskolc, Department of Material Handling and Logistics, vol. 7(1), pages 91-96, December.
    5. Shepherd, Ben, 2011. "Logistics costs and competitiveness: measurement and trade policy applications," MPRA Paper 38254, University Library of Munich, Germany.
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    Cited by:

    1. Tan, Jianhua & Wang, Xiongyuan & Chan, Kam C., 2020. "Does a national reform of a logistics system matter in corporate cash management? Evidence from logistics service standardization in China," Pacific-Basin Finance Journal, Elsevier, vol. 63(C).
    2. Tan, Jianhua & Wang, Xiongyuan & Zhang, Peng, 2022. "Logistics service standardization and corporate innovation: Evidence from a natural experiment," International Review of Economics & Finance, Elsevier, vol. 77(C), pages 549-565.

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    JEL classification:

    • N70 - Economic History - - Economic History: Transport, International and Domestic Trade, Energy, and Other Services - - - General, International, or Comparative

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