AI Summary & Key Takeaways
AI InsightEmpirical evidence has been obtained that the steps to be taken to increase the DLO efficiency will also increase the ILO effectiveness.
📌 3 Key Takeaways
Abstract
Purpose- This research has two main purposes. The first purpose is to determine the domestic and international logistics opportunity efficiency levels based on the market potentials of developing countries. The second purpose is to determine whether the domestic logistics opportunity (DLO) efficiency of developing countries has a significant effect on the international logistics opportunity (ILO) efficiency. Methodology - Two basic analysis techniques have been applied in this study. In the first analysis, two output-oriented data envelopment analysis (DEA) models have been developed to determine the DLO and ILO efficiency of developing countries. The data of the input variables are taken from the Market Potential Index (MPI) 2021 report. Data for output variables are taken from the Agility Emerging Markets Logistics Index (AEMLI) 2022 report. In the second analysis, simple regression analysis has been applied to determine the relationship between DLO efficiency and ILO efficiency. The sampling consists of 45 developing countries. Findings- According to the DEA Model-1, the DLO efficiency of 26 developing countries has been determined at the full efficiency level. 19 countries are not at the full efficiency level. According to the DEA Model-2, the ILO efficiency of 31 developing countries has been determined at the full efficiency level. 14 countries are not at the full efficiency level. According to the simple regression analysis findings, DLO efficiency has a positive and significant effect on ILO efficiency. Conclusion- It has been determined which country should focus on which input variable for the developing countries that are not at the full efficiency level to reach the full efficiency level. It has been determined that the DLO and ILO efficiency of five countries are different. Empirical evidence has been obtained that the steps to be taken to increase the DLO efficiency will also increase the ILO effectiveness.