Abstract

The study reveals the challenges met by Lithuanian enterprises of transport and logistics services business when they are face-to-face with growing economy and high competition in the European Union services market. It identifies the problems arising, as well as possibilities to compete and to win in the market. Lithuania is taking its leadings positions in the transport and logistics services industry by the share of transport and logistics, employment rate and share of the export of services in GDP. Due to the significant role of impact of these services on the Lithuanian economy challenges for the transport and logistics services business enterprises prevail. The research methodology is based on the comparative analysis of data on transport and logistics services industry of Lithuania and on the average of European Union. Challenges for the future of Lithuanian transport and logistics services business are defined and managerial implications in order to sustain its leading position in the export of these services are shaped.

Highlights

  • Due to the success in the services business, many of Central and Eastern European countries became the competitors of the equal value for the earlier members of European Union

  • While education services (–10 %), public administration and social security (–10 %), information and communication technologies (–12 %), real estate services (–17 %), health care and social services (–20 %), financial and insurance services (–43 %) of Lithuania decreased their share in the European Union Gross domestic product (GDP), the transport and logistics in Lithuanian GDP increased from 1.9 in 2008 to 2.8 in 2012, it is by 47 %

  • The findings of the survey show that the Lithuanian transport and logistics services sector still has rather strong positions in the entire European Union, Central and Eastern European market

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Summary

Introduction

Due to the success in the services business, many of Central and Eastern European countries became the competitors of the equal value for the earlier members of European Union. As Kandilov and Grennes state, many of Eastern and Central European countries become important exporters of many types of services to the entire European Union market [12]. Even if Grönroos, Edvardsson et al, as well as Hiziroglu underline the features of services which usually limit the possibility to export [8], [6], [9] such as poor possibilities to trade them abroad, perishability, heterogeneity, and one of the most important – incapability to separate the customer and services supplier in the services producing and consuming process – the results of the research by Kandilov and Grennes demonstrate that the services export could overcome geographical distances between consumers and providers, countries, etc. Despite of services being intangible, nonstorable, Dettmer found that the geographical distance is less important for the export of the commercial services than for others [5]

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