IDEAS home Printed from https://ideas.repec.org/a/eee/jotrge/v19y2011i6p1431-1442.html
   My bibliography  Save this article

Levels of internationalization in the container shipping industry: an assessment of the port networks of the large container shipping companies

Author

Listed:
  • Gadhia, Hitesh K.
  • Kotzab, Herbert
  • Prockl, Günter

Abstract

This paper examines the internationalization level of the world’s largest container shipping companies by examining their port networks. The results of our analysis show that only three of the nineteen companies could be considered as being truly ‘International’ and service the ‘lion’s share’ of the major and minor ports distributed across the globe. The port networks of the other companies in our survey, whilst having individualized features, shared common characteristics. Guided by the ‘Uppsala Model of Incremental Internationalization’ (Johanson and Vahlne, 1977), we were able to identify four internationalization levels of a container shipping company that are indicated by their port network.

Suggested Citation

  • Gadhia, Hitesh K. & Kotzab, Herbert & Prockl, Günter, 2011. "Levels of internationalization in the container shipping industry: an assessment of the port networks of the large container shipping companies," Journal of Transport Geography, Elsevier, vol. 19(6), pages 1431-1442.
    • Handle: RePEc:eee:jotrge:v:19:y:2011:i:6:p:1431-1442
    DOI: 10.1016/j.jtrangeo.2011.07.016
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0966692311001323
    Download Restriction: no
    File URL: https://libkey.io/10.1016/j.jtrangeo.2011.07.016?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Hertzel, Michael & Smith, Janet Kiholm & Smith, Richard L, 2001. "Competitive Impact of Strategic Restructuring: Evidence from the Telecommunications Industry," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 10(1), pages 207-246, March.
    2. Jan Johanson & Jan-Erik Vahlne, 1977. "The Internationalization Process of the Firm—A Model of Knowledge Development and Increasing Foreign Market Commitments," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 8(1), pages 23-32, March.
    3. Jose Tongzon & Lavina Sawant, 2007. "Port choice in a competitive environment: from the shipping lines' perspective," Applied Economics, Taylor & Francis Journals, vol. 39(4), pages 477-492.
    4. Raymond Vernon, 1966. "International Investment and International Trade in the Product Cycle," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 80(2), pages 190-207.
    5. Shawna O'Grady & Henry W Lane, 1996. "The Psychic Distance Paradox," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 27(2), pages 309-333, June.
    6. Peter J. Buckley & Mark Casson, 1991. "The Future of the Multinational Enterprise," Palgrave Macmillan Books, Palgrave Macmillan, edition 0, number 978-1-349-21204-0, December.
    7. Peter J. Buckley & Mark Casson, 2010. "Analysing Foreign Market Entry Strategies: Extending the Internalisation Approach," Palgrave Macmillan Books, in: The Multinational Enterprise Revisited, chapter 8, pages 177-204, Palgrave Macmillan.
    8. Dong, Jing-Xin & Song, Dong-Ping, 2009. "Container fleet sizing and empty repositioning in liner shipping systems," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 45(6), pages 860-877, November.
    9. Imai, Akio & Shintani, Koichi & Papadimitriou, Stratos, 2009. "Multi-port vs. Hub-and-Spoke port calls by containerships," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 45(5), pages 740-757, September.
    10. Bruce Kogut & Udo Zander, 1993. "Knowledge of the Firm and the Evolutionary Theory of the Multinational Corporation," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 24(4), pages 625-645, December.
    11. Christa Sys & Gust Blauwens & Eddy Omey & Eddy Van De Voorde & Frank Witlox, 2008. "In Search of the Link between Ship Size and Operations," Transportation Planning and Technology, Taylor & Francis Journals, vol. 31(4), pages 435-463, June.
    12. Notteboom Theo E., 2004. "Container Shipping And Ports: An Overview," Review of Network Economics, De Gruyter, vol. 3(2), pages 1-21, June.
    13. Pei-Xuan Lim & Shobha S. Das, 2009. "Entry in the global liner shipping industry: a population ecology study, 1996--2006," Maritime Policy & Management, Taylor & Francis Journals, vol. 36(3), pages 197-213, June.
    14. Bart W. Wiegmans & Anthony Van Der Hoest & Theo E. Notteboom, 2008. "Port and terminal selection by deep-sea container operators," Maritime Policy & Management, Taylor & Francis Journals, vol. 35(6), pages 517-534, December.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Koi Yu Adolf Ng & César Ducruet, 2014. "The changing tides of port geography (1950–2012)," Post-Print halshs-01359160, HAL.
    2. E. Gutiérrez & S. Lozano & B. Adenso-Díaz & P. González-Torre, 2015. "Efficiency assessment of container operations of shipping agents in Spanish ports," Maritime Policy & Management, Taylor & Francis Journals, vol. 42(6), pages 591-607, August.
    3. Hjortnaes, T. & Wiegmans, B. & Negenborn, R.R. & Zuidwijk, R.A. & Klijnhout, R., 2017. "Minimizing cost of empty container repositioning in port hinterlands, while taking repair operations into account," Journal of Transport Geography, Elsevier, vol. 58(C), pages 209-219.
    4. Achilleas Tsantis & John Mangan & Agustina Calatayud & Roberto Palacin, 2023. "Container shipping: a systematic literature review of themes and factors that influence the establishment of direct connections between countries," Maritime Economics & Logistics, Palgrave Macmillan;International Association of Maritime Economists (IAME), vol. 25(4), pages 667-697, December.
    5. Peng, Wenhao & Bai, Xiwen, 2022. "Prospects for improving shipping companies’ profit margins by quantifying operational strategies and market focus approach through AIS data," Transport Policy, Elsevier, vol. 128(C), pages 138-152.
    6. César Ducruet, 2020. "The geography of maritime networks: A critical review," Post-Print halshs-02922543, HAL.
    7. Nicanor García Álvarez & Belarmino Adenso-Díaz & Laura Calzada-Infante, 2021. "Maritime Traffic as a Complex Network: a Systematic Review," Networks and Spatial Economics, Springer, vol. 21(2), pages 387-417, June.
    8. Ducruet, César, 2020. "The geography of maritime networks: A critical review," Journal of Transport Geography, Elsevier, vol. 88(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Christos N. Pitelis & David J. Teece, 2018. "The New MNE: ‘Orchestration’ Theory as Envelope of ‘Internalisation’ Theory," Management International Review, Springer, vol. 58(4), pages 523-539, August.
    2. Oh, Chang Hoon & Kim, Minyoung & Shin, Jiyoung, 2019. "Paths and geographic scope of international expansion across industries," International Business Review, Elsevier, vol. 28(3), pages 560-574.
    3. Tamar Almor & Niron Hashai & Seev Hirsch, 2006. "The product cycle revisited: Knowledge intensity and firm internationalization," Management International Review, Springer, vol. 46(5), pages 507-528, September.
    4. Ricart, Joan E. & Enright, Michael J. & Ghemawat, Pankaj & Khanna, Tarun & Hart, Stuart L., 2003. "New frontiers in international strategy," IESE Research Papers D/532, IESE Business School.
    5. Hashai, Niron, 2009. "Knowledge transfer considerations and the future of the internalization hypothesis," International Business Review, Elsevier, vol. 18(3), pages 257-264, June.
    6. Galan, Jose I. & Gonzalez-Benito, Javier, 2006. "Distinctive determinant factors of Spanish foreign direct investment in Latin America," Journal of World Business, Elsevier, vol. 41(2), pages 171-189, June.
    7. Arora, Ashish, 1999. "Exploring the internalization rationale for international investment: wholly owned subsidiary versus technology licensing in the worldwide chemical industry," DEE - Working Papers. Business Economics. WB 6430, Universidad Carlos III de Madrid. Departamento de Economía de la Empresa.
    8. Drogendijk, H.J., 2001. "Expansion patterns of Dutch firms in Central and Eastern Europe : Learning to internationalize," Other publications TiSEM 18571cef-0dd0-46ff-82aa-3, Tilburg University, School of Economics and Management.
    9. Marshall S. Jiang & Preet S. Aulakh & Yigang Pan, 2007. "The nature and determinants of exclusivity rights in international technology licensing," Management International Review, Springer, vol. 47(6), pages 869-893, December.
    10. Suder, Gabriele & Liesch, Peter W. & Inomata, Satoshi & Mihailova, Irina & Meng, Bo, 2015. "The evolving geography of production hubs and regional value chains across East Asia: Trade in value-added," Journal of World Business, Elsevier, vol. 50(3), pages 404-416.
    11. Björn Röber, 2020. "Escalating internationalization decisions: intendedly rational, but only limitedly so?," Business Research, Springer;German Academic Association for Business Research, vol. 13(2), pages 455-484, July.
    12. Altintas, Gulsun & Ambrosini, Véronique & Gudergan, Siegfried, 2022. "MNE dynamic capabilities in (un)related diversification," Journal of International Management, Elsevier, vol. 28(1).
    13. Buckley, Peter J. & Hashai, Niron, 2005. "Firm configuration and internationalisation: A model," International Business Review, Elsevier, vol. 14(6), pages 655-675, December.
    14. Robert-Nicoud, Frédéric & Olarreaga, Marcelo & Carrère, Céline & Fugazza, Marco, 2016. "On the heterogeneous effect of trade on unemployment," CEPR Discussion Papers 11540, C.E.P.R. Discussion Papers.
    15. Jane W. Lu & Hao Ma & Xuanli Xie, 2022. "Foreignness research in international business: Major streams and future directions," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 53(3), pages 449-480, April.
    16. Noémie Dominguez, 2018. "Promotion agencies and SMEs’ internationalization process: A blessing or a curse? [Agences de promotion et processus internationalisation des PME: bénédiction ou malédiction?]," Journal of International Entrepreneurship, Springer, vol. 16(1), pages 58-81, March.
    17. Borsos-Torstila, Julianna, . "The Determinants of Foreign Direct Investment Operations of Finnish MNCs in Transition Economies 1990-1995," ETLA A, The Research Institute of the Finnish Economy, number 28, June.
    18. Oxelheim, Lars & Randøy, Trond & Stonehill, Arthur, 2001. "On the treatment of finance-specific factors within the OLI paradigm," International Business Review, Elsevier, vol. 10(4), pages 381-398, August.
    19. Slangen, Arjen & Hennart, Jean-François, 2007. "Greenfield or acquisition entry: A review of the empirical foreign establishment mode literature," Journal of International Management, Elsevier, vol. 13(4), pages 403-429, December.
    20. Miller, Stewart R. & Lavie, Dovev & Delios, Andrew, 2016. "International intensity, diversity, and distance: Unpacking the internationalization–performance relationship," International Business Review, Elsevier, vol. 25(4), pages 907-920.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:jotrge:v:19:y:2011:i:6:p:1431-1442. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: https://www.journals.elsevier.com/journal-of-transport-geography .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.