LOGISTICS INDUSTRY PORTERS FIVE FORCES MODEL AND PESTEL FRAMEWORK

LOGISTICS INDUSTRY

PORTERS FIVE FORCES MODEL AND PESTEL FRAMEWORKPresented By Group No.9 (Akshita jaiswal, abhilashi das, shubhangi sharma, Pushpendar singh, shivank sharma,aishwarya singh) Introduction to The Indian Logistics IndustryPurpose :- To enable an effective transportation or timely movement of goods from one place for another (for industrial as well as private purposes)

Mediums of Logistics :- 1) Land Transport 2) Air Freight 3) Railways 4) Water transport

Key Players In the Industry :- DHL , TNT , GATI , FIRST FLIGHT , BLUE DART , ASHOK LEYLAND .STRUCTURE OF THE INDIAN LOGISTICS MARKET

PORTERS FIVE FORCES ANALYSIS

PESTEL ANALYSIS (ANALYSIS OF POLITICAL,ECONOMIC,SOCIAL,TECHNOLOGICAL,ENVIRONMENTAL AND LEGAL FACTORS)Political Factors

In Order to liberalize the railway service, the government opened its doors of container business to private parties.Government has removed the differential state level taxes.Government has introduced private sector participation, especially in the port sector.National Highway Projects.

End of indirect tax regime after implementation of GST , other tax reforms like VAT.

Change in Government policies regarding transportation like OCTROI.

Fluctuation in Fuel prices.

The core drivers are the growth in GDP and Trade.

High Maintenance and Advertisement.

ECONOMIC FACTORSSOCIAL FACTORSCreditor Collection Period.

Standards put in place to act as a tool for intervention for stakeholders and businesses.

Countries may use innovations such as eco-labelling as a part of the regulatory and governance structure.

TECHNOLOGICAL FACTORS

Inventory management and barcode systems . Warehouse Management Systems .

Transportation and management systems.

Radio Frequency identification.

Web Enabled Communications .

Environmental and Legal FactorsChanging government policies on taxation and regulation of service providers play an important role in this process.Coordination across various government agencies requires approval from multiple ministries and is a roadblock for multi modal transport in India.Whether it is the physical infrastructure of road, ports, water, power etc or the service infrastructure of logistics all are being stretched to perform beyond their capabilities. At the firm level, the logistics focus will have to move towards reducing cycle times in order to prevent the exhaustion of resources.

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