Competitive Shift in Logistics

The Diamond Model Context for Firm Strategy and Rivalry Factor (Input) Conditions • A local context that encourages appropriate forms of investment and sustained upgrading ⚫ Vigorous competition among locally based rivals Demand Conditions - Factor (input) quantity and cost natural resources - human resources - capital resources - physical infrastructure administrative infrastructure information infrastructure scientific and technological infrastructure • Factor quality • Factor specialization Related and Supporting Industries Presence of capable, locally based suppliers • Presence of competitive related industries ⚫ Sophisticated and demanding local customer(s) • Customers' needs that anticipate those elsewhere • Unusual local demand in specialized segments that can be served globally

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