Knowledge resources, technology resources and competitive advantage of logistics service providers

In the era of “Industry 4.0”, knowledge resources are the most essential sources to achieve sustainable competitive advantage. Yet, little empirical work exists to clarify how competitive advantage is attained through knowledge resources. Little or no research, so far, to understand how logistics service providers (LSPs) can obtain cost advantages through technology and knowledge resources. This study investigates the role of knowledge resources as a crucial factor in the relationship between technology resources and competitive advantage of LSPs. Survey data of 122 LSPs in Malaysia is used to analyse the proposed relationship. The results confirm that knowledge resources positively affect cost advantages and mediate, significantly, the relationship between technology resources and cost advantages, hence the first to justify theory-driven empirical evidence. LSPs have to appreciate high-level of both technology resources and knowledge resources to realise a firm’s cost advantages towards moving in the digital and technological evolution and development.