Abstract:
In the 21st century, green innovation (GI) is crucial for every firm to acquire safe and better operations. The GI has seen major impact in logistics industry. Previous literature asserts that the GI in logistics may improve efficiency and effectiveness such as using reusable containers and boxes instead of paper carton may reduce waste and optimize product packaging; building a green warehouse lead to reduce the overall operating cost while using hybrid engine in trucks may reduce carbon emissions and consume less gas. Despite the positive GI impact on competitive advantage, few logistics service providers (LSPs) are favor to GI and in fact still uncover the strategic and innovative to reposition their logistics management. Even though literature addresses environmental can be part of innovative and strategic for logistics LSPs, it has little understood what and how the green innovations in logistics services can enhance competitive advantage and sustainability. To fill these knowledge gaps, this paper examines GI as source of competitive advantage for LSPs and further provides recommendations for logisticians or service providers to manage safe and better operations.
