Abstract
M.Com. (Business Management)
The main aim of this research study was to study the competitive nature and costing models of a large transport operator, Carrier X, operating in the South African transport and logistics industry. A qualitative study design was adopted by each of two researchers in order to gain knowledge on the competitive nature and costing models within the transport and logistics industry. Researcher 1 (Field) focused on competitive rivalry and its effects on Carrier X. Researcher 2 (de Jenga) focused on business processes of Carrier X which involved studying the costing models of the business.
Data collected by both researchers was drawn from individual, semi-structured, open-ended interviews conducted with judgementally selected participants. They comprised of employees employed at Carrier X as well as industry customers who are users of transport and logistic services. Both researchers gathered information through semi-structured interviews from employees employed at Carrier X. Researcher 1 interviewed thirteen participants. Of the thirteen participants, eight were industry customers and five were employees at Carrier X. Researcher 2 interviewed six participants employed at Carrier X and also made use of secondary document analysis of financial records and existing business processes of Carrier X and the industry in general.
Thematic content analysis revealed the following insights: competitive rivalry is driven by external (political, economic, legal, social-economic and environmental) and internal (core competencies and resources) factors, tacit and intangible resources are a valuable source of competitive advantage. The industry has developed by forward integration as a means to sustain competitive advantage. Logistic companies are integrating new product to the logistics as means of diversification by moving down the supply-chain to increase overall ownership in the industry. Finally, key practical implications of the findings as well as recommendations for future research were presented.