Competitiveness in Road Transport

The Market Liberalized Haulier

Benedikte Borgström, Britta Gammelgaard, Poul Bruun

Research output: Contribution to conferencePaperResearchpeer-review

Abstract

Road transport is an important sector, connecting time and space of production and consumption. Its market conditions has changed. The EU single market implementation has increased price pressure due to supply of low cost road freight transport from counties with lower cost structures. Changes in the market also encourage strategic development of some road hauliers into providers of unique services. Such road haulier strategic development contributes to efficiency and effectiveness in basically all business sectors of EU. Little research is available of such strategic and operational management. In this paper we will explore that knowledge gap and analyze what value proposition(s) and capabilities can transform potential cost disadvantages of acting in a market that includes both high- and low-cost-country actors? And in conceptual terminology, how are capabilities deployed and developed to construct a competitive value proposition? We will illustrate the strategy-as-practice with two projects, and discuss implications in terms of capabilities needed to create an effective value proposition and hence competitiveness. The theoretical contribution is in theorizing haulier strategic development in which we take into account logistics service supplier strategic management. We also contribute with better understanding of value creation in order to escape commoditization and differentiate services through relationships (customers and/or other hauliers). Practical implications concern hauliers’ strategy creation and to some extent road transport buyers in terms of more informed market knowledge.
Original languageEnglish
Publication date2016
Number of pages19
Publication statusPublished - 2016
Event11th European Research Seminar on Logistics and SCM. ERS 2016 - WU-Vienna University of Economics and Business, Vienna, Austria
Duration: 12 May 201613 May 2016
Conference number: 11
https://www.wu.ac.at/ers2016/

Conference

Conference11th European Research Seminar on Logistics and SCM. ERS 2016
Number11
LocationWU-Vienna University of Economics and Business
CountryAustria
CityVienna
Period12/05/201613/05/2016
Internet address

Cite this

Borgström, B., Gammelgaard, B., & Bruun, P. (2016). Competitiveness in Road Transport: The Market Liberalized Haulier. Paper presented at 11th European Research Seminar on Logistics and SCM. ERS 2016, Vienna, Austria.
Borgström, Benedikte ; Gammelgaard, Britta ; Bruun, Poul. / Competitiveness in Road Transport : The Market Liberalized Haulier. Paper presented at 11th European Research Seminar on Logistics and SCM. ERS 2016, Vienna, Austria.19 p.
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Borgström, B, Gammelgaard, B & Bruun, P 2016, 'Competitiveness in Road Transport: The Market Liberalized Haulier' Paper presented at, Vienna, Austria, 12/05/2016 - 13/05/2016, .

Competitiveness in Road Transport : The Market Liberalized Haulier. / Borgström, Benedikte ; Gammelgaard, Britta; Bruun, Poul.

2016. Paper presented at 11th European Research Seminar on Logistics and SCM. ERS 2016, Vienna, Austria.

Research output: Contribution to conferencePaperResearchpeer-review

TY - CONF

T1 - Competitiveness in Road Transport

T2 - The Market Liberalized Haulier

AU - Borgström, Benedikte

AU - Gammelgaard, Britta

AU - Bruun, Poul

PY - 2016

Y1 - 2016

N2 - Road transport is an important sector, connecting time and space of production and consumption. Its market conditions has changed. The EU single market implementation has increased price pressure due to supply of low cost road freight transport from counties with lower cost structures. Changes in the market also encourage strategic development of some road hauliers into providers of unique services. Such road haulier strategic development contributes to efficiency and effectiveness in basically all business sectors of EU. Little research is available of such strategic and operational management. In this paper we will explore that knowledge gap and analyze what value proposition(s) and capabilities can transform potential cost disadvantages of acting in a market that includes both high- and low-cost-country actors? And in conceptual terminology, how are capabilities deployed and developed to construct a competitive value proposition? We will illustrate the strategy-as-practice with two projects, and discuss implications in terms of capabilities needed to create an effective value proposition and hence competitiveness. The theoretical contribution is in theorizing haulier strategic development in which we take into account logistics service supplier strategic management. We also contribute with better understanding of value creation in order to escape commoditization and differentiate services through relationships (customers and/or other hauliers). Practical implications concern hauliers’ strategy creation and to some extent road transport buyers in terms of more informed market knowledge.

AB - Road transport is an important sector, connecting time and space of production and consumption. Its market conditions has changed. The EU single market implementation has increased price pressure due to supply of low cost road freight transport from counties with lower cost structures. Changes in the market also encourage strategic development of some road hauliers into providers of unique services. Such road haulier strategic development contributes to efficiency and effectiveness in basically all business sectors of EU. Little research is available of such strategic and operational management. In this paper we will explore that knowledge gap and analyze what value proposition(s) and capabilities can transform potential cost disadvantages of acting in a market that includes both high- and low-cost-country actors? And in conceptual terminology, how are capabilities deployed and developed to construct a competitive value proposition? We will illustrate the strategy-as-practice with two projects, and discuss implications in terms of capabilities needed to create an effective value proposition and hence competitiveness. The theoretical contribution is in theorizing haulier strategic development in which we take into account logistics service supplier strategic management. We also contribute with better understanding of value creation in order to escape commoditization and differentiate services through relationships (customers and/or other hauliers). Practical implications concern hauliers’ strategy creation and to some extent road transport buyers in terms of more informed market knowledge.

M3 - Paper

ER -

Borgström B, Gammelgaard B, Bruun P. Competitiveness in Road Transport: The Market Liberalized Haulier. 2016. Paper presented at 11th European Research Seminar on Logistics and SCM. ERS 2016, Vienna, Austria.