CONNECTING SMALL AND MEDIUM ENTERPRISES TO THE GLOBAL MARKET VIA THE GLOBAL LOGISTICS SERVICE CHAIN—SECTOR ANALYSES AND CASE STUDIES

Abstract

ABSTRACT Developing countries, such as Taiwan, Singapore and Korea, are transforming to a multi-faceted consumer economy where financial services, medical services, research and development, education, distribution services, international business, technology product development and design, and retail development are fueling economic growth. The logistic and distribution services as a result have become information and technology-oriented businesses with global status. In order to maintain competitiveness in the global market, economic entities, such as Taiwan, are developing modern distribution channels not only for the local market, but also for the surrounding region and for the global marketplace. The local channel must act as an integrated link and intermediary source for other widely distributed supply and demand chains. During the last decade, global distribution channels have undergone accelerated transformation. This paper describes the business operations of critical components supporting the modern value chain underlying the distribution and logistics industry. Statistical data and four industry cases demonstrate the trends and future for Taiwan firms as members of the global logistics network. A wealth of information and a spirit of openness, new partnerships and international outreach are creating business opportunities around the world. The case studies and benchmark statistics provide the basis for proposing an e-commerce driven logistics center model applicable to serve small and medium enterprises in developing regions.