Structure Of Competitive Advantages For Logistics Enterprises In Electronic Commerce

Through time,with the rapid development of technology and inventions,life has become easier and more convenient.Because of the pandemic,the number of e-commerce users has increased rapidly,which affects the development of the logistics industry.Although Indonesia’s logistics are lacked behind compared to developed countries,Indonesia is constantly improving its operation management and increasing its efficiency.Despite the continuous development of logistics,there are many obstacles,which resulted in many people still don’t trust to use national delivery service providers or buying things online.Recently,many people have been doing research on Indonesia’s logistics industry in many aspects,such as customer satisfaction with a company,the service quality of a specific company,its role in e-commerce,etc.This paper would discuss the development of the Indonesian logistics industry in e-commerce and the competitive advantage of logistic companies in e-commerce.First,it introduces the current situation and development of Indonesia’s logistics industry,including an introduction to logistics,the history of Indonesia’s logistics,the development of Indonesia’s logistics companies,its current development,the problems faced,and the role of logistics in e-commerce.Second,in order to understand more about the structure of competitive advantage of logistic companies in e-commerce,it is needed to understand the operating system from a company’s point of view,taking J&T Express and J&T Cargo as an example.This paper would investigate how a company supports e-commerce and survive the more intense competition,which will be divided into 4 main parts,which are the competitive advantage,company management,third-party delivery service company in e-commerce,comparison with China’s logistics,and suggestions for Indonesia’s logistics.Finally,the interview results and future development suggestions will be analyzed.It is founded that e-commerce gives more advantage to express companies compared to cargo,since the package weight and volume is relatively small.Currently,J&T Express and J&T Cargo have a solid financial foundation,extensive coverage,good services,and affordable prices.Yet,there is still room for improvement to further out-compete the fierce market.There could be certain challenges in trying to assist e-commerce platforms.Since they are free to choose whatever delivery service provider they wish to deal with.E-commerce has an edge when negotiating with 3PL on price,benefits,and discounts.According to the interview results,the competitive advantage of logistic companies in e-commerce includes suitable price,fast delivery time,large area coverage,and additional or special services.Thus,logistics firms should guarantee their service and continually raise its standard.This paper is essential for the concept of logistics and the future development space.Hoping that in the future,Indonesia’s logistics company will become more mature and help boost the country’s economy.