Inter-firm Rivalry of 3rd Party Logistics Firms : Awareness-Motivation-Capability Framework and Organizational Learning Perspectives

Abstract

This study aims to identify key drivers which affect inter-firm rivalry of 3rd party logistics(3PL) companies, i.e. the likelihood of a company performing an action. For this, this paper adopts the awareness-motivation-capability (AMC) perspective and knowledge-based theory. Specifically, this paper examines the association between the awareness-motivation-capability perspective and the inter-firm rivalry, and investigates the moderating role of 3PLsʼ knowledge on the association between the awareness-motivation-capability and the likelihood of an action. Results show that the extent to which 3PL companies possess greater levels of awareness, motivation and capability may encourage companies to take an action against its rivals. The results also show that the positive effects of awareness, motivation and capability of a 3PL company are enhanced when the company possesses high levels of knowledge. This finding implies that knowledge may play a moderating role on the association between the awareness-motivation-capability and the likelihood of action by a focal firm.The research findings provide 3PL managers with a strategic insight into the identification of critical drivers which affect inter-firm rivalry of 3PL companies and the way to effectively manage the competition dynamics.