The purpose of this paper is to compare small and large motor carriers to determine whether small motor carriers serve a smaller, more concentrated customer base, have owners that are more involved in the customer relationship management process, and earn higher returns usually associated with niche market players.
Responses from a US sample of 153 motor carrier managers are subjected to ANOVA comparing small, medium, and large motor carriers. Scale development procedures were employed and a construct measuring owner involvement in the customer relationship management process was developed.
Small motor carriers have a more concentrated customer base, their owners are more involved in managing customer relationships, and they are paid higher rates per mile compared with large motor carriers.
This research was limited by its focus on the motor carrier industry and did not explicitly test a link between customer base concentration and owner involvement as they might engender higher rates.
This work illustrated motor carrier practices that may be of use to managers in formulating strategy. Managers may also consult the owner involvement construct items for guidance in their customer relationship management role.
This is one of the few works investigating small motor carriers. It also is one of the first works incorporating entrepreneurship into logistics research.
