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Port strategy in the era of supply chain management: the case of Hong Kong

Author

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  • Abraham Zhang
  • Jasmine Siu Lee Lam
  • George Q. Huang

Abstract

This article studies port strategy from a supply chain perspective considering the case of Hong Kong. Hong Kong port used to be the world's busiest container port, but it is now in danger of losing its hub status due to rising competition from neighboring lower-cost rivals. The analysis shows that Hong Kong's free port status and world-class customs clearance offer the port a sustainable and considerable advantage to shorten transit time. The port is thus a strategic fit for the shipping of high-value and time-sensitive cargoes, and should pursue an agile strategy for a responsive supply chain. It is imperative for the port to strengthen its core competencies in agility by retaining a favorable position in port rotation with shipping lines and raising the efficiency of barging. Further reducing cost substantially would be beneficial, but might not be feasible and should not be the primary nor sole focus of policy makers and port operators.

Suggested Citation

  • Abraham Zhang & Jasmine Siu Lee Lam & George Q. Huang, 2014. "Port strategy in the era of supply chain management: the case of Hong Kong," Maritime Policy & Management, Taylor & Francis Journals, vol. 41(4), pages 367-383, July.
    • Handle: RePEc:taf:marpmg:v:41:y:2014:i:4:p:367-383
    DOI: 10.1080/03088839.2013.863434
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    Citations

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    Cited by:

    1. Fei Fan & Xuerong Zhang & Wenyi Yang & Chengliang Liu, 2021. "Spatiotemporal Evolution of China's Ports in the International Container Transport Network under Upgraded Industrial Structure," Transportation Journal, John Wiley & Sons, vol. 60(1), pages 43-69, January.
    2. Murilo Branco & Rafael Teixeira & Saif Mir & Daniel P. Lacerda, 2021. "Barriers to the Development of Port Operator Supply Chain Integration: An Evaluation in a Developing Country," Transportation Journal, John Wiley & Sons, vol. 60(2), pages 141-170, March.
    3. Wang, Ping & Mileski, Joan & Zeng, Qingcheng, 2019. "Toward a taxonomy of container terminals’ practices and performance: A contingency and configuration study," Transportation Research Part A: Policy and Practice, Elsevier, vol. 121(C), pages 92-107.
    4. Badri GECHBAIA & Amiran TSILOSANI, 2023. "Prospects for intermodal and container transportation for Georgia's integration into the global transport market," Access Journal, Access Press Publishing House, vol. 4(1), pages 85-101, October.
    5. V.G. Venkatesh & Abraham Zhang & Eric Deakins & Venkatesh Mani & Yangyan Shi, 2020. "Supply Chain Integration Barriers to Port‐Centric Logistics—An Emerging Economy Perspective," Transportation Journal, John Wiley & Sons, vol. 59(3), pages 215-253, July.
    6. Zhiyuan Liu & Shuaian Wang & Yuquan Du & Hua Wang, 2016. "Supply Chain Cost Minimization by Collaboration between Liner Shipping Companies and Port Operators," Transportation Journal, John Wiley & Sons, vol. 55(3), pages 296-314, July.

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