Incentive mechanism of 3PL/4PL company based on logistics demander and pure 3PL company

The third party logistics company develops to the fourth party logistics company is a tendency, and incentive mechanism plays a vital role in the cooperation of 4PL company and 3PL company. The logistics demander, 3PL company and 4PL company are taken into consideration to analyze the optimal incentive level of 4PL company selects in this paper, and our conclusions present that it depends on the ratio of product of weight of the logistics activities and its factor coefficient and the optimal incentive level has a positive correlation with the weight of volume of logistics activities done by 3PL company.