Core criteria affecting decisions to select logistics services suppliers in Hồ Chí Minh city

The research identifies eight core criteria affecting decisions to select service suppliers by HCMC-based exporters and importers: quick response to customers’ demand, updating service supplying fares, brand reputation of logistics services suppliers, exact billing, care of customers’ interests and needs. | 124 | Lê Tấn Bửu, Trần Minh Chính & Đặng Nguyễn Tất Thành | 124 - 141 Core Criteria Affecting Decisions to Select Logistics Services Suppliers in Hồ Chí Minh City LÊ TẤN BỬU University of Economics HCMC - buult@ TRẦN MINH CHÍNH Saigon College of Economics and Technology - ĐẶNG NGUYỄN TẤT THÀNH Royal Dragon Import Export Joint Stock Company - ARTICLE INFO ABSTRACT Article history: Received: May 6, 2014 Received in revised form July 9, 2014 Accepted: Sep 30, 2014 Outsourcing of logistics services has become popular since the beginning of the 21st century. Along with increasingly great changes in supply of logistics services, exploring customers’ demand and core criteria affecting decisions to select logistics services suppliers becomes increasingly necessary. Employing the EFA and binary logistic regression, the research identifies eight core criteria affecting decisions to select service suppliers by HCMC-based exporters and importers: quick response to customers’ demand, updating service supplying fares, brand reputation of logistics services suppliers; exact billing; care of customers’ interests and needs; location of service suppliers; availability of e-commerce services and electronic billing; and reasonable pricing. Keywords: logistics services supplier, regression model, core criteria. JED October 2014| 125 1. INTRODUCTION VN currently has over 1,200 logistics services suppliers, categorized into three groups: multinationals, joint-ventures with foreign partners and local enterprises (stateowned and private ones). Multinational enterprises characterized by diverse services, financial strength, and powerful systems of tangible and qualified managerial skills act as third-party logistics (3PLs) and take the biggest market share. Besides a few large-sized and well-funded SOEs acting as 3PLs; most local enterprises are second-party logistics

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