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Liner Shipping Companies and Terminal Operators: Internationalisation or Globalisation?

Author

Listed:
  • Geraldo Araujo De Souza Junior

    (Fraser Surrey Docks, Vancouver, Canada)

  • Anthony K C Beresford

    (Cardiff Business School, Cardiff University, Colum Road, Cardiff CF10 3EU, UK.)

  • Stephen J Pettit

    (Cardiff Business School, Cardiff University, Colum Road, Cardiff CF10 3EU, UK.)

Abstract

Issues of global integration between liner shipping companies and ports and terminals are investigated. For several years there has been a significant reorganisation and concentration of operators with the result that an increasing proportion of container shipping, handling and distribution capacity is now in the hands of fewer, larger companies. It is likely that this trend will continue into the foreseeable future. It is shown that in some areas, such as Europe, concentration of ownership is approaching saturation: freedom of choice and shortage of competition are becoming major issues. In both shipping and ports, while several companies are large, very few can claim to be truly global, although many aspire to be. For terminal operators, a certain minimum geographical coverage in terms of handling capacity is needed, and for liner shipping companies a minimum fleet slot capacity is likewise required. The increasingly complex pattern of ownership through, for example, shareholdings, suggests that there is a need for a clearer policy towards terminal ownership and shipping capacity provision at the global level, to ensure that a reasonable level of fair competition is maintained. Maritime Economics & Logistics (2003) 5, 393–412. doi:10.1057/palgrave.mel.9100088

Suggested Citation

  • Geraldo Araujo De Souza Junior & Anthony K C Beresford & Stephen J Pettit, 2003. "Liner Shipping Companies and Terminal Operators: Internationalisation or Globalisation?," Maritime Economics & Logistics, Palgrave Macmillan;International Association of Maritime Economists (IAME), vol. 5(4), pages 393-412, December.
    • Handle: RePEc:pal:marecl:v:5:y:2003:i:4:p:393-412
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    Cited by:

    1. Theo Notteboom & Jean-Paul Rodrigue, 2023. "Maritime container terminal infrastructure, network corporatization, and global terminal operators: Implications for international business policy," Journal of International Business Policy, Palgrave Macmillan, vol. 6(1), pages 67-83, March.
    2. Almotairi, Badi & Flodén, Jonas & Stefansson, Gunnar & Woxenius, Johan, 2011. "Information flows supporting hinterland transportation by rail: Applications in Sweden," Research in Transportation Economics, Elsevier, vol. 33(1), pages 15-24.
    3. Yoon, Junghyun & Lee, Hee Yong & Dinwoodie, John, 2015. "Competitiveness of container terminal operating companies in South Korea and the industry–university–government network," Transportation Research Part A: Policy and Practice, Elsevier, vol. 80(C), pages 1-14.
    4. Leonie C.E. Stevens & Iris F.A. Vis, 2016. "Port supply chain integration: analyzing biofuel supply chains," Maritime Policy & Management, Taylor & Francis Journals, vol. 43(3), pages 261-279, April.
    5. Wang, Xinchang & Meng, Qiang, 2019. "Optimal price decisions for joint ventures between port operators and shipping lines under the congestion effect," European Journal of Operational Research, Elsevier, vol. 273(2), pages 695-707.
    6. Lam, Jasmine Siu Lee & Yap, Wei Yim, 2011. "Dynamics of liner shipping network and port connectivity in supply chain systems: analysis on East Asia," Journal of Transport Geography, Elsevier, vol. 19(6), pages 1272-1281.
    7. Acciaro, M. & Haralambides, H., 2008. "Product bundling in global ocean transportation," Econometric Institute Research Papers EI 2008-18, Erasmus University Rotterdam, Erasmus School of Economics (ESE), Econometric Institute.
    8. 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.
    9. Notteboom, Theo E. & Parola, Francesco & Satta, Giovanni & Pallis, Athanasios A., 2017. "The relationship between port choice and terminal involvement of alliance members in container shipping," Journal of Transport Geography, Elsevier, vol. 64(C), pages 158-173.
    10. Parola, Francesco & Pallis, Athanasios A. & Risitano, Marcello & Ferretti, Marco, 2018. "Marketing strategies of Port Authorities: A multi-dimensional theorisation," Transportation Research Part A: Policy and Practice, Elsevier, vol. 111(C), pages 199-212.
    11. 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.
    12. Cullinane, Kevin, 2004. "7. The Container Shipping Industry And The Impact Of China'S Accession To The Wto," Research in Transportation Economics, Elsevier, vol. 12(1), pages 221-245, January.
    13. Francesca Medda & Qianwen Liu, 2013. "Determinants and strategies for the development of container terminals," Journal of Productivity Analysis, Springer, vol. 40(1), pages 83-98, August.
    14. Kum Fai Yuen & Vinh Thai, 2017. "Barriers to supply chain integration in the maritime logistics industry," Maritime Economics & Logistics, Palgrave Macmillan;International Association of Maritime Economists (IAME), vol. 19(3), pages 551-572, August.
    15. Tongzon, Jose & Chang, Young-Tae & Lee, Sang-Yoon, 2009. "How supply chain oriented is the port sector?," International Journal of Production Economics, Elsevier, vol. 122(1), pages 21-34, November.

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