A case study-based analysis of environmental strategies among German Logistics Service Providers

The general aim of this research is to question the fundamental assumption that strategic purity leads to competitive advantages against the background of reality in the logistics service industry. To this end, the study elaborates on the framework of Orsato (2006), in which the general assumptions of Porter's positioning school are incorporated. Based on a sample of eight German-speaking LSPs, a case study analysis was conducted. Results show that LSPs primarily pursue a hybrid strategy as a combination of lower costs and differentiation practices. In detail, LSPs often start with eco-efficiency practices and then add differentiation practices to raise environmental awareness among stakeholders. Moreover, a strategy based on eco-efficiency practices does not provide noticeable competitive advantages. Based on these results, three propositions were formulated. While consistent strategies related to lower costs are less likely to generate competitive advantages, hybrid strategies and consistent differentiation strategies are said to be more likely to generate competitive advantages in the German logistics service industry.