Despite the advantages,some firms are reluctant to use third party logistics firms because:

Question

Quizplus · Accepted Answer

All of the choices listed are reasons why some firms are reluctant to use third party logistics firms. Diminished direct contact with customers can lead to decreased control over customer satisfaction and loyalty. Losing direct control over the logistics process can lead to concerns over quality control and the possible loss of competitive advantage. Finally, terminating internal operations can be a difficult and costly process, especially if employees and assets need to be transitioned to the third party logistics provider.

Despite the Advantages,some Firms Are Reluctant to Use Third Party