A Study on the Third-party Logistics Industry in Mexico

Journal of Global Business and Trade, Vol.14, No.1, pp.1-13, May 2018

13 Pages Posted: 9 Jun 2019

See all articles by Erendira Yareth Vargas Lopez

Erendira Yareth Vargas Lopez

University of Colima

Shinkyuo Lee

Pai Chai University - Department of International Trade

Date Written: May 16, 2018

Abstract

The global growth of the Third-party Logistics (3PL) industry increases opportunities for providers but also increases the challenges in the business as the market becomes more complex and difficult to achieve integration of logistics. The present document is qualitative research. It is based on documentary research with secondary sources of information about the 3PL logistics industry in Mexico. The purpose of this document is to show the performance of the 3PL industry and the perceptions of Mexican companies with research from 2006 to 2017 through the study of four elements: the most frequently outsourced services, reasons and benefits for outsourcing logistics services, services to be outsourced in the future, and information systems and communication. This study reveals the value of the 3PL industry in Mexico, as well as the challenges in expanding the business according to the needs of the market. In order to achieve the competitiveness of logistics services required by the supply chain, a commitment from 3PL providers and firms is necessary; otherwise, the services of the Mexican 3PL industry will be fully covered by multinational providers. In addition, a change in mentality of Mexican firms could help logistics providers achieve better performance.

Keywords: logistics, outsourcing, providers, service providers, 3PL (Third-party logistics)

JEL Classification: L81, L87, L91, M11

Suggested Citation

Lopez, Erendira Yareth Vargas and Lee, Shinkyuo, A Study on the Third-party Logistics Industry in Mexico (May 16, 2018). Journal of Global Business and Trade, Vol.14, No.1, pp.1-13, May 2018, Available at SSRN: https://ssrn.com/abstract=3392112

Erendira Yareth Vargas Lopez (Contact Author)

University of Colima ( email )

Colima, CO
Mexico

Shinkyuo Lee

Pai Chai University - Department of International Trade ( email )

Korea, Republic of (South Korea)

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