The political factors that impact the transportation industry that has become relevant in recent years are connected to the emissions and reduction of the environmental impact that transportation means have on the environment. For example, Meckling and Nahm (2019) argue that combustion engines that are often used in transportation are becoming less relevant as many governments ban their use or implement policies that make it less attractive to use these types of engines. Hence, the politics may affect logistics and transportation by imposing quotas or standards that will require companies to reexamine the way they manage transportation or invest in trucks that produce lesser emissions. Ultimately, this may affect transportation costs as these investments are not a direct result of operations.
The theories that are applied to the transportation industry include the material flow theory. Hou et al. (2017) discuss the MF theory in the context of the transportation industry because MF describes how raw materials are transported and used to become a final output. Other theories the authors apply are also linked with supply chain management, which are resource-based view (RBV), strategic choice, and knowledge-based view (KBV). RBV, in particular, allows examining the resources that a firm has and how these can be utilized for competitive advantage (Yang & Lirn, 2017). Hence, investment in resources can allow logistics firms to be more competitive in the market if they are managed properly. KBV theory is similar, but the basis of decision-making is the information available to the management. For instance, an understanding of how to organize delivery with lower costs would be a KBV approach. The purpose of these theories is to make the process of deriving items efficient and timely.
References
Hou, H., Chaudhry, S., Chen, Y., & Hu, M. (2015). Physical distribution, logistics, supply chain management, and the material flow theory: A historical perspective. Information Technology And Management, 18(2), 107-117. doi: 10.1007/s10799-015-0229-1
Meckling, J., & Nahm, J. (2019). The politics of technology bans: Industrial policy competition and green goals for the auto industry. Energy Policy, 126, 470-479. doi: 10.1016/j.enpol.2018.11.031
Yang, C.-S. & Lirn, T.-C. (2017). Revisiting the resource-based view on logistics performance in the shipping industry. International Journal of Physical Distribution & Logistics Management, 47(9), 884-905. doi:10.1108/IJPDLM-05-2017-0184