Outsourcing the last mile: Should regulation be strictly focused on the urban segment?

Pétronille Reme-Harnay
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Pétronille Reme-Harnay: AME-SPLOTT - Systèmes Productifs, Logistique, Organisation des Transports et Travail - Université Gustave Eiffel

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Abstract: Because of the development of e-commerce and the reduction of the shipments'size, the parcel delivery sector is growing rapidly. However, faced with their clients demands and constraints of urban cities (parking, congestion, delivery density), the parcel delivery groups have chosen to outsource their urban deliveries. This enables them to reduce payroll costs but also implies consequences for urban subcontractors such as economic dependence. However, outside the city, when urban constraints no longer apply, subcontractors who work in long-distance inter-urban freight transport seem less affected. The article questions the pertinence of the scale of subcontracting regulation. Should it be strictly urban as suggested by the difference of consequences for urban and inter-urban subcontractors? The paper highlights the large number of variables that could affect subcontractors' dependence and the complexity of public decision making in the urban transport sector.

Keywords: TRANSPORT INTERURBAIN; DEPENDANCE ECONOMIQUE; TRANSPORT URBAIN; SOUS-TRAITANCE (search for similar items in EconPapers)
Date: 2022-12
New Economics Papers: this item is included in nep-reg, nep-tre and nep-ure
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Published in Research in Transportation Business and Management, 2022, 45 (Part A), pp.100833. ⟨10.1016/j.rtbm.2022.100833⟩

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Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:hal-03672575

DOI: 10.1016/j.rtbm.2022.100833

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