Impacts of liner shipping connectivity and global competitiveness on logistics performance: the mediating role of the quality of port and infrastructure
Abstract
Logistics Performance (LP) is one of the fundamental catalysts that serve as a podium for the integration of the world economy. This study is conducted to observe the combined effects of Liner Shipping Connectivity (LSC) and Global Competitiveness Index (GCI) on LP in mediating the Quality of Port and Infrastructure (PORT). We selected 28 Asian economies and 1 special administrative region (Hong Kong) counting the year of 2007–2018. Partial Least Square – Structural Equation Model (PLS–SEM) with an extension of the Importance–Performance Map Analysis (IPMA) was applied. Empirical evidence derived from the path diagram has revealed that LSC and global competitiveness in mediating the PORT have significant effects of accelerating LP, leading to higher competitiveness in terms of strategic development and yielding better connectivity. Due to limited resources, Asian decision-makers need a guidance to focus on how to improve LP. This work also helps to highlight the dimensions of LSC and global competitiveness factors to be concentrated on and the policies to be implemented in this regard.
Keyword : logistics performance, liner shipping connectivity, global competitiveness, least square, structural equation model, importance–performance map analysis
How to Cite
Chen, Y.-C., & Hasan, M. K. (2023). Impacts of liner shipping connectivity and global competitiveness on logistics performance: the mediating role of the quality of port and infrastructure. Transport, 38(2), 87–104. https://doi.org/10.3846/transport.2023.19372
This work is licensed under a Creative Commons Attribution 4.0 International License.
References
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Erkan, B. 2014. The importance and determinants of logistics performance of selected countries, Journal of Emerging Issues in Economics, Finance and Banking 3(6): 1237–1254.
Fan, Y.; Chen, J.; Shirkey, G.; John, R.; Wu, S. R.; Park, H.; Shao, C. 2016. Applications of structural equation modeling (SEM) in ecological studies: an updated review, Ecological Processes 5: 19. https://doi.org/10.1186/s13717-016-0063-3
Fornell, C.; Larcker, D. F. 1981. Evaluating structural equation models with unobservable variables and measurement error, Journal of Marketing Research 18(1): 39–50. https://doi.org/10.2307/3151312
Fugazza, M.; Hoffmann, J. 2017. Liner shipping connectivity as determinant of trade, Journal of Shipping and Trade 2: 1. https://doi.org/10.1186/s41072-017-0019-5
García, C. B.; García, J.; López Martín, M. M.; Salmerón, R. 2015. Collinearity: revisiting the variance inflation factor in ridge regression, Journal of Applied Statistics 42(3): 648–661. https://doi.org/10.1080/02664763.2014.980789
Gonzalez-Aregall, M.; Bergqvist, R.; Monios, J. 2018. A global review of the hinterland dimension of green port strategies, Transportation Research Part D: Transport and Environment 59: 23–34. https://doi.org/10.1016/j.trd.2017.12.013
Gordon, J. R. M.; Lee, P.-M.; Lucas, H. C. 2005. A resource-based view of competitive advantage at the Port of Singapore, The Journal of Strategic Information Systems 14(1): 69–86. https://doi.org/10.1016/j.jsis.2004.10.001
Green, K. W.; Whitten, D.; Inman, R. A. 2008. The impact of logistics performance on organizational performance in a supply chain context, Supply Chain Management 13(4): 317–327. https://doi.org/10.1108/13598540810882206
Hair, J. F.; Ringle, C. M.; Sarstedt, M. 2011. PLS-SEM: indeed a silver bullet, Journal of Marketing Theory and Practice 19(2): 139–152. https://doi.org/10.2753/MTP1069-6679190202
Hamid, M. R. A.; Sami, W.; Sidek, M. H. M. 2017. Discriminant validity assessment: use of Fornell & Larcker criterion versus HTMT criterion, Journal of Physics: Conference Series 890: 012163. https://doi.org/10.1088/1742-6596/890/1/012163
Hasan, M. K.; Chen, Y.-C. 2020. Empirical study on the comparison of regional competitiveness of Asian countries in perspective of global competitiveness index, North American Academic Research 3(7): 33–56. https://doi.org/10.5281/ZENODO.3930242
Henseler, J.; Dijkstra, T. K.; Sarstedt, M.; Ringle, C. M.; Diamantopoulos, A.; Straub, D. W.; Ketchen, D. J.; Hair, J. F.; Hult, G. T. M.; Calantone, R. J. 2014. Common beliefs and reality about PLS: comments on Rönkkö and Evermann (2013), Organizational Research Methods 17(2): 182–209. https://doi.org/10.1177/1094428114526928
Henseler, J.; Ringle, C. M.; Sarstedt, M. 2015. A new criterion for assessing discriminant validity in variance-based structural equation modeling, Journal of the Academy of Marketing Science 43(1): 115–135. https://doi.org/10.1007/s11747-014-0403-8
Hoffmann, J.; Saeed, N.; Sødal, S. 2020. Liner shipping bilateral connectivity and its impact on South Africa’s bilateral trade flows, Maritime Economics & Logistics 22(3): 473–499. https://doi.org/10.1057/s41278-019-00124-8
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