Port competitiveness: Do container terminal operators and liner shipping companies see eye to eye?

Sedat Baştuğ, Hercules Haralambides (), Soner Esmer and Enes Eminoğlu
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Sedat Baştuğ: Iskenderun Technical University, DEÜ - Dokuz Eylül Üniversitesi = Dokuz Eylül University [Izmir]
Hercules Haralambides: UP1 UFR02 - Université Paris 1 Panthéon-Sorbonne - École d'économie de la Sorbonne - UP1 - Université Paris 1 Panthéon-Sorbonne, Dalian Maritime University
Soner Esmer: Iskenderun Technical University, DEÜ - Dokuz Eylül Üniversitesi = Dokuz Eylül University [Izmir]
Enes Eminoğlu: Iskenderun Technical University

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Abstract: Most of the literature on port choice has focused mostly on the views of carriers (and indirectly of cargo owners). We venture here to discover whether the choice criteria used by carriers are in line with what the ports themselves consider as important for their competitiveness. We undertake a 20-year-long literature search in peer-reviewed journals to identify the competitiveness criteria of both carriers and terminal operators. To that end, survey methods and (Fuzzy) Analytic Hierarchy Process (FAHP) are employed. Our findings establish that the factors port operators consider important for the competitiveness of their port are not necessarily of equal importance for shipping companies when selecting a port. This is our main contribution to the academic literature. For port operators, the most important criterion for competitiveness is port location, followed by service level, port tariffs, and port facilities. In contrast, the most important criterion for carriers is (port) operational efficiency. The least important criteria for both groups of actors are the institutional framework of the port and its ownership status, respectively. Opposite to earlier research, our innovation here is in confronting ports and carriers with each other's priorities. In competitive markets, such knowledge ought to influence decisions and the added value of this research is in the benefits of a ‘better mutual understanding': when demand (carriers) and supply (ports) understand each other better, the result is a more pareto-efficient economic system, not only for the two players but for the greater society by and large.

Date: 2021-01
Note: View the original document on HAL open archive server: https://hal.science/hal-04046233
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Citations: View citations in EconPapers (2)

Published in Marine Policy, 2021, 135, pp.104866. ⟨10.1016/j.marpol.2021.104866⟩

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Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:hal-04046233

DOI: 10.1016/j.marpol.2021.104866

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