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Road freight logistics, competition, and innovation : downstream benefits and policy implications

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  • Dutz, Mark

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, 2005. "Road freight logistics, competition, and innovation : downstream benefits and policy implications," Policy Research Working Paper Series 3768, The World Bank.
  • Handle: RePEc:wbk:wbrwps:3768
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    References listed on IDEAS

    as
    1. Dutz, Mark A. & Ordover, Janusz A. & Willig, Robert D., 2000. "Entrepreneurship, access policy and economic development: Lessons from industrial organization," European Economic Review, Elsevier, vol. 44(4-6), pages 739-747, May.
    2. Bennathan, E. & Thompson, L.S., 1992. "Privatization Problems at Industry Level; Road Haulage in Central Europe," World Bank - Discussion Papers 182, World Bank.
    3. Dutz, Mark A. & Hayri, Aydin & Ibarra,Pablo, 2000. "Regulatory reform, competition, and innovation - a case study of the Mexican road freight industry," Policy Research Working Paper Series 2318, The World Bank.
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    More about this item

    Keywords

    Municipal Financial Management; ICT Policy and Strategies; Private Participation in Infrastructure; Business in Development; Business Environment;

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