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Entry barriers in seaports

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  • Peter W. De Langen
  • Athanasios A. Pallis

Abstract

The different types of entry barrier in seaports are analysed and the policies and practices to reduce them are discussed in this paper. In most seaports, economic, regulatory, and geographical entry barriers are substantial and increasing in complexity as ports become embedded in supply chains and multilayered networks with multiple entry-levels. Various entry barriers in seaports are identified through an overview of the relevant literature and their presence is confirmed by empirical data describing them. The case is then made for lowering these barriers. This would be desirable from an economic point of view, since lower barriers strengthen the contestability of markets and increase the level of intra-port competition. The latter might yield substantial benefits, such as fostering specialization and preventing the abuse of market power. Finally, low entry barriers would facilitate the faster implementation of new technologies and business models. In the third part of the analysis, policies and practices designed to reduce entry barriers are examined. The implications are discussed of current national and supranational (EU) policy initiatives aimed to liberalize service provision in seaports. Other (de)regulatory policies that could contribute to the reduction of entry barriers are analysed.

Suggested Citation

  • Peter W. De Langen & Athanasios A. Pallis, 2007. "Entry barriers in seaports," Maritime Policy & Management, Taylor & Francis Journals, vol. 34(5), pages 427-440, October.
    • Handle: RePEc:taf:marpmg:v:34:y:2007:i:5:p:427-440
    DOI: 10.1080/03088830701585134
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    Citations

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    Cited by:

    1. Kaselimi, Evangelia N. & Notteboom, Theo E. & Pallis, Athanasios A. & Farrell, Sheila, 2011. "Minimum Efficient Scale (MES) and preferred scale of container terminals," Research in Transportation Economics, Elsevier, vol. 32(1), pages 71-80.
    2. Theys, Christophe & Notteboom, Theo E. & Pallis, Athanasios A. & De Langen, Peter W., 2010. "The economics behind the awarding of terminals in seaports: Towards a research agenda," Research in Transportation Economics, Elsevier, vol. 27(1), pages 37-50.
    3. Sphiwe Eugene Mthembu & Mihalis Chasomeris, 2023. "An evaluation of the governance structure of marine services in South Africa’s ports system," Journal of Shipping and Trade, Springer, vol. 8(1), pages 1-22, December.
    4. Pallis, Athanasios A. & de Langen, Peter W., 2010. "Seaports and the structural implications of the economic crisis," Research in Transportation Economics, Elsevier, vol. 27(1), pages 10-18.
    5. Parola, Francesco & Notteboom, Theo & Satta, Giovanni & Rodrigue, Jean-Paul, 2013. "Analysis of factors underlying foreign entry strategies of terminal operators in container ports," Journal of Transport Geography, Elsevier, vol. 33(C), pages 72-84.
    6. Merkel, Axel & Sløk-Madsen, Stefan Kirkegaard, 2019. "Lessons from port sector regulatory reforms in Denmark: An analysis of port governance and institutional structure outcomes," Transport Policy, Elsevier, vol. 78(C), pages 31-41.
    7. Ng, AdolfK.Y. & Gujar, Girish C., 2009. "Government policies, efficiency and competitiveness: The case of dry ports in India," Transport Policy, Elsevier, vol. 16(5), pages 232-239, September.
    8. Richard Rutter & John Nadeau & Fiona Lettice & Ming Lim & Suwaid al Shamaisi, 2018. "Place branding of seaports in the Middle East," Place Branding and Public Diplomacy, Palgrave Macmillan, vol. 14(3), pages 197-212, August.
    9. Athanasios A. Pallis & Francesco Parola & Giovanni Satta & Theo E. Notteboom, 2018. "Private entry in cruise terminal operations in the Mediterranean Sea," Maritime Economics & Logistics, Palgrave Macmillan;International Association of Maritime Economists (IAME), vol. 20(1), pages 1-28, March.
    10. Yang, Dong & Notteboom, Theo & Zhou, Xin, 2021. "Spatial, temporal and institutional characteristics of entry strategies in inland container terminals: A comparison between Yangtze River and Rhine River," Journal of Transport Geography, Elsevier, vol. 90(C).
    11. Pallis, Athanasios A., 2007. "Chapter 11 Whither Port Strategy Theory and Practice in Conflict," Research in Transportation Economics, Elsevier, vol. 21(1), pages 343-382, January.
    12. Pallis, Athanasios A. & Tsiotsis, George-Spiros P., 2008. "Maritime interests and the EU port services directive," European Transport \ Trasporti Europei, ISTIEE, Institute for the Study of Transport within the European Economic Integration, issue 38, pages 17-31.
    13. Zhang, Li-Hao & Liu, Chunxiao & Zhang, Cheng & Wang, Shanshan, 2023. "Upstream encroachment and downstream outsourcing in competing shipping supply chains," International Journal of Production Economics, Elsevier, vol. 255(C).
    14. Theo Notteboom & Jean-Paul Rodrigue, 2012. "The corporate geography of global container terminal operators," Maritime Policy & Management, Taylor & Francis Journals, vol. 39(3), pages 249-279, May.
    15. Zhang, Li-Hao & Zhang, Yang-Guang & Wang, Shan-Shan, 2022. "Ocean shipping company’s encroachment with outsourcing competition," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 167(C).
    16. Xiao, Zengqi & Lam, Jasmine Siu Lee, 2020. "The impact of institutional conditions on willingness to take contractual risk in port public-private partnerships of developing countries," Transportation Research Part A: Policy and Practice, Elsevier, vol. 133(C), pages 12-26.
    17. Panayides, Photis M. & Parola, Francesco & Lam, Jasmine Siu Lee, 2015. "The effect of institutional factors on public–private partnership success in ports," Transportation Research Part A: Policy and Practice, Elsevier, vol. 71(C), pages 110-127.
    18. Pallis, Athanasios A. & Syriopoulos, Theodore, 2007. "Port governance models: Financial evaluation of Greek port restructuring," Transport Policy, Elsevier, vol. 14(3), pages 232-246, May.
    19. Giovanni Satta & Francesco Parola & Simone Caschili, 2014. "Dealing with uncertainty and volatility in the port industry network: social and instrumental antecedents of "clique" survival," Maritime Policy & Management, Taylor & Francis Journals, vol. 41(7), pages 615-633, December.
    20. Seo, Young-Joon & Park, Jin Suk, 2016. "The estimation of minimum efficient scale of the port industry," Transport Policy, Elsevier, vol. 49(C), pages 168-175.
    21. Haugstetter, Hilary & Cahoon, Stephen, 2010. "Strategic intent: Guiding port authorities to their new world?," Research in Transportation Economics, Elsevier, vol. 27(1), pages 30-36.
    22. Su-Han Woo & Stephen Pettit & Anthony Beresford & Dong-Wook Kwak, 2012. "Seaport Research: A Decadal Analysis of Trends and Themes Since the 1980s," Transport Reviews, Taylor & Francis Journals, vol. 32(3), pages 351-377, January.
    23. Wang, Grace W.Y. & Pallis, Athanasios A., 2014. "Incentive approaches to overcome moral hazard in port concession agreements," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 67(C), pages 162-174.

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