The performance of logistics service providers and the logistics costs of shippers: a comparative study of Finland and Switzerland.

Research output: Contribution to journalArticleScientificpeer-review


Research units

  • University of St. Gallen
  • University of Turku


This article analyses the market dynamics between shippers in the manufacturing sector and logistics service providers (LSPs) in Finland and Switzerland, focusing on factors that are characteristic of the demand and supply sides of logistics markets such as performance indicators, financial ratios and relevant macroeconomic indicators. The development of shippers’ logistics costs over a period of ten years is analysed as a proxy for cost savings. This is mirrored against the development of the LSPs’ financial performance. The share of logistics costs in the turnover of Finnish shippers is consistently higher than that of their Swiss peers, whereas Finnish LSPs perform financially better than their Swiss peers. This implies that Finnish and Swiss logistics markets differ in terms of market power and interdependence between shippers and LSPs. The results indicate that the sub-regional interdependence and market power of LSPs, caused by a lack of competition, explain some of the differences in logistics costs.


Original languageEnglish
Pages (from-to)444-463
Number of pages20
JournalInternational Journal of Logistics: Research and Applications
Issue number4
Publication statusPublished - 4 Jul 2018
MoE publication typeA1 Journal article-refereed

    Research areas

  • accounting-based firm performance, Logistics costs, logistics service provision, market power, micro and macro data

ID: 31993552