Outsourcing distribution and logistics services within the automotive supplier industry

This paper reports on an empirical study that examined a suite of distribution and logistics services commonly used to manage inbound materials en route to plants. The sourcing decision is examined through the lenses of transaction cost economics and the resource-based view of the firm and the results lend limited support for both theories in the context of such services. Results further indicate that there is little evidence supporting differences between internal versus external decision-makers.