Difference in port cooperation between motivations: Cooperation for regional welfare and for competition

The number of container ports that cooperate to improve port productivity or profitability has been increasing. Various types of port cooperation have different business scopes, such as terminal management and hinterland access. For these cooperation types, the motivations are divided into two types based on the market in cooperation: regional welfare or competition. This study examines the effectiveness of port cooperation for competition and the differences in optimum cooperative strategies for each motivation, using a game theoretical model. The authors derive and compare the cooperative effort, which indicates the willingness to participate in port cooperation as optimum cooperation to fit each motivation. The authors find that the optimum cooperation levels for regional welfare and competition are different because of the difference in the cooperation effects in each motivation. The difference in the optimum cooperation level between regional welfare and competition is the largest in the cooperation of private ports. The results reveal the importance of considering differences in motivation to realise effective port cooperation.

Language

  • English

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  • Accession Number: 01890603
  • Record Type: Publication
  • Files: TRIS
  • Created Date: Aug 23 2023 10:14AM