Impact of Saudi Logistics Performance Index Indicators on Saudi Foreign Trade

نوع المستند : المقالة الأصلية

المؤلفون

1 كلية الدراسات البحرية، جامعة الملك عبدالعزيز، جدة، المملكة العربية السعودية

2 Arab Academy for Science, Technology & Maritime Transport

المستخلص

Saudi Arabia, as world’s leading oil exporter and the greatest economy in the Middle East, is pursuing Saudi Vision 2030 with the aim of transforming the country into the region’s main lo-gistics hub connecting Asia, Europe, and Africa. To achieve this vision, the Saudi Government has enacted widespread developments in all logistics-related fields. The Logistics Performance Index (LPI) is an important assessment and comparison tool created by the World Bank. This research paper examines the relationship between Saudi LPI components and Saudi foreign trade exports and imports for 2007–2018. Statistical Package of Social Sciences used to measure the correlation coefficients, and hypotheses testing followed in order to determine the statistical significance of the coefficients.

Economic globalization and competition have greatly enhanced the role and im-portance of logistics on both the micro and macro levels. To compete in international markets and gain a better global market share, countries and businesses must produce high-quality export products at lower prices, and they must do so with lower logistics costs. Accordingly, these actors want to assess their logistics system performance, as as-sessment is key to enhancing the system’s capabilities and to optimizing and developing its components. Popular assessment tools include the Agility Emerging Markets Logistics Index, the Global Competitiveness Index, and the Logistics Performance Index (LPI).

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