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Private Entry and Emerging Partnerships in Container Terminal Operations: Evidence from Asia

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Maritime Economics & Logistics Aims and scope

Abstract

This paper seeks to expand understanding of inter-firm partnerships in the maritime sector. The paper recognises ocean carriers and global terminal operators as leading agents of change in the container port industry. While useful, the extant literature's focus on strategic alliances among mega-carriers neglects the role of terminals in defining firms' global strategies in logistical expansion. Meanwhile, rapidly expanding port-operating transnational corporations (TNC) are forcing fundamental shifts in partnership dynamics, defining port–carrier interaction. A multilayered network framework is introduced to build a conceptual link between private entry and emerging partnerships in the container terminal industry. Evidence from Asian ports and Asian TNCs are provided in support of this. The paper concludes by stressing the need to recognise heterogeneity among strategic entry paths available to private entrants in their stake over container terminal operation and finance.

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Notes

  1. PONL's publicly disclosed figure relating to stevedoring charges against total expenditures stood at 20% (Mason, 2003) for 2002, while that of CMA-CGM at 25% (Whitelaw, 2002).

  2. Although both companies are technically state-owned corporations, the World Bank (2003) defines them as state-owned in their domestic markets but are considered as ‘private’ risk-bearing firms overseas from the host country's point of view.

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Acknowledgements

A previous condensed version of this paper was presented at the First International Conference on Logistics Strategies for Ports (ICLSP) in Dalian, September 2004. I thank the kind support and encouragement of ICLSP's Jan Hoffmann and Theo Notteboom as well as precious comments from James J Wang and Brian Slack. This research is made possible by the Social Sciences Research Council of Canada, the Québec Fonds de Recherche sur la Nature et les Technologies and the University of Hong Kong. Usual disclaimers apply.

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  1. Department of Geography, The University of Hong Kong, Pokfulam Road, Hong Kong

    Daniel Olivier

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Olivier, D. Private Entry and Emerging Partnerships in Container Terminal Operations: Evidence from Asia. Marit Econ Logist 7, 87–115 (2005). https://doi.org/10.1057/palgrave.mel.9100131

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