Does culture matter? Assessing its impact on logistics performance across countries

Abstract

Background: Whilst logistics performance is central to economic development and international integration, the influence of national culture on logistics outcomes remains underexplored, as prior studies have largely emphasised infrastructure, policy and firm-level factors.
Objectives: This article examines how national culture, as defined by Hofstede’s Cultural Dimensions Theory, influences countries’ logistics performance. It empirically analyses the impact of six cultural dimensions on the national logistics performance, providing insights for theory and policy development.
Method: Using panel data of 628 country-year observations from 95 countries over 2010–2022, a robust random-effects model (REM) is employed, supported by Hausman and Breusch-Pagan Lagrange Multiplier tests, confirming significant unobserved heterogeneity and the appropriateness of REM over alternative models.
Results: Individualism (IDV) and long-term orientation (LTO) have positive impacts, whilst power distance (PDI) and uncertainty avoidance (UAI) negatively influence national logistics performance. Masculinity and indulgence vs. restraint show no significant association with logistics outcomes of countries.
Conclusion: National culture significantly influences logistics performance, with IDV and LTO enhancing efficiency, whilst PDI and UAI reduce flexibility and innovation. These results highlight the importance of cultural factors in national logistics governance and performance improvement.
Contribution: This study contributes to logistics performance research by integrating Hofstede’s cultural dimensions at the country level, providing evidence that cultural values shape how national logistics systems function. The findings offer practical guidance for policymakers to develop culturally aligned strategies that enhance coordination, innovation and sustainable logistics development.