Competitive advantage for small and medium logistics providers in Germany

The logistics service providers in Germany are facing huge competition due to enlargement of the European Union. The aim of research is to identify whether small and medium sized German logistics service providers are likely to achieve competitive advantage through outsourcing of transport services. Semi-structured interviews identified key exogenous and endogenous factors for competitive advantage. The analysis revealed that Eastern European competitors benefit from a lower cost structure, hence gaining competitive advantage through cost leadership is unlikely for German logistics SMEs. The findings can support executives from small and medium-sized transport companies in the decision-making process, whether to make-or-buy transport services.