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    The impact of logistics performance on foreign trade volume
    (İstanbul Ticaret Üniversitesi, 2022) Abara, Youness; Civelek, Mustafa Emre
    ABSTRACT The logistics performance in a country plays an essential role in both economic and social development, therefore examining the relationship between logistics performance and foreign trade volume would contribute to the literature. The logistics performance index and foreign trade volume data have been analyzed. The LPI data was obtained from the World Bank data which is published every two years. And, foreign trade volume data was obtained from World integrated trade solution data. Using the collected data, a regression analysis was performed by using SPSS. As per the analysis results, the impact of logistics performance on foreign trade volume is statistically highly significant. Consequently, it could be suggested that the logistics ability of a country triggers the increase of foreign trade volume. Keywords: Logistics, LPI, Foreign trade, FTV, Transport IV ÖZET Bir ülkedeki lojistik performansın hem ekonomik hem de sosyal kalkınmada önemli bir rol oynadığından, lojistik performans ile dış ticaret hacmi arasındaki ilişkinin incelenmesi literatüre katkı sağlayacaktır. Lojistik performans endeksi ve dış ticaret hacmi verileri analiz edilmiştir. LPI verileri, iki yılda bir yayınlanan Dünya Bankası verilerinden elde edilmiştir. Dış ticaret hacmi verileri ise Dünya entegre ticaret çözümü verilerinden elde edilmiştir. Toplanan veriler kullanılarak SPSS kullanılarak regresyon analizi yapılmıştır. Analiz sonuçlarına göre lojistik performansın dış ticaret hacmi üzerindeki etkisi istatistiksel olarak oldukça önemlidir. Sonuç olarak, bir ülkenin lojistik kabiliyetinin dış ticaret hacminin artışını tetiklediği söylenebilir. Anahtar Kelimeler: Lojistik, LPI, Dış ticaret, FTV, Taşımacılık TABLE OF CONTENT . 2 ABSTRACT . III ÖZET . IV FOREWORD . V TABLE OF CONTENT . VI FIGURES . IX TABLES . X 1 INTRODUCTION . 1 2 LITERATURE REVIEW . 2 Definition of logistics Logistics from historical perspective . 7 . 9 Components of Logistics System Phases of logistics 2. 4. 1 Logistics as a functional specialization . 10 2. 4. 2 Logistics as a coordinative function . 11 2. 4. 3 Logistics as an enabler of process orientation within the firm . 12 2. 4. 4 Logistics as a supply chain management . 13 Performance effects of logistics development . 15 Strategy and logistics: . 15 2. 6. 1 Differentiating the strategy . 16 2. 6. 2 Logistics strategy: . 16 Emerging Trends in Logistics . 17 The Role of Logistics in the Economy and in the Organization . 19 Principle and functions of logistics: . 25 The role of logistics on trade: . 26 2. 10. 1 Logistics performance: . 27 2. 10. 2 Logistics performance effects on trade: . 28 The components of logistics activities . 31 2. 11. 1 Customer service. 31 2. 11. 2 Transport . 32 2. 11. 2. 1 Road transport: . 33 2. 11. 2. 2 Maritime transport: . 33 2. 11. 2. 3 Airways transport . 34 2. 11. 2. 4 Railway transport: . 35 2. 11. 2. 5 Pipeline transport . 35 2. 11. 3 Storage . 36 2. 11. 4 Handling . 36 2. 11. 5 Demand forecasting and production planning: . 36 2. 11. 6 Customs clearance: . 37 2. 11. 7 Insurance: . 37 2. 11. 8 Packaging: . 38 2. 11. 9 Order processing: . 38 2. 11. 10 Inventory management: . 39 Principles of logistics: . 39 2. 12. 1 Standards principle: . 39 2. 12. 2 Economic principle: . 40 2. 12. 3 Sufficiency principle: . 40 2. 12. 4 Principle of elasticity: . 40 2. 12. 5 Simplicity principle: . 40 2. 12. 6 Coordination and cooperation principle: . 40 Economic effects of logistics: . 40 The relationship between the logistics performance and exports: . 41 Transportation and logistics: . 42 2. 15. 1 The effects of transportation on logistics: . 43 2. 15. 2 The Role of Transportation in Service Quality . 43 3 CONCEPTUAL FRAMEWORK . 43 Logistics performance index . 44 The role of LPI . 46 International LPI . 46 Domestic LPI . 46 Construction of LPI . 47 LPI and other index’s . 47 3. 6. 1 Global Competitiveness Report and Index (GCI) . 48 3. 6. 2 Environmental Performance Index (EPI) . 49 3. 6. 3 Corruption Perception Index (CPI) . 49 Foreign trade volume . 50 3. 7. 1 Definition of foreign trade . 50 3. 7. 2 Reasons for foreign trade: . 55 3. 7. 3 History of foreign trade: . 55 3. 7. 4 Types of foreign trade: . 56 3. 7. 5 Characteristics of foreign trade . 56 3. 7. 6 Benefits of foreign trade . 57 3. 7. 7 The importance of foreign trade in terms of economy . 58 3. 7. 8 Foreign trade theories . 58 3. 7. 8. 1 Mercantilism . 58 3. 7. 8. 2 Absolute Advantage Theory . 60 3. 7. 8. 3 Comparative Advantage Theory . 61 3. 7. 8. 4 Factor Endowment Theory . 62 3. 7. 8. 5 New Foreign Trade Theories . 64 3. 7. 9 Foreign Trade Policies . 68 4 RESEARCH METHODOLOGY . 72 Research Approach . 72 Research purpose . 72 Data collection . 72 5 DEVELOPMENT OF HYPOTHESES AND CONCEPTUAL MODEL . 74 The relationship between logistics performance and foreign trade volume . 74 Conceptual model of the research . 76 6 DATA ANALYSIS RESULTS . 76 Analysis method . 76 Hypothesis tests . 77 7 THE CONTRIBUTIONS AND CHANGES OF THE RESEARCH . 78 Discuss results . 78 Limitations of Research and Advanced Research . 79 8 CONCLUSION . 80 9 REFERENCES. 81