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Competition model of cruise home ports based on the cruise supply chain – based on China cruise market

Author

Listed:
  • Heying Sun
  • Qingcheng Zeng
  • Hui Xiang
  • Chao Chen

Abstract

This paper addresses issues of cruise home port competition based on the cruise supply chain. A pricing model of the cruise market is developed considering the competitive cooperation behaviors of the participants in the cruise supply chain. Furthermore, a model of cruise home port competition is developed to investigate the impacts of subsidy participants in the cruise supply chain on cruise home ports. The results indicate that subsidy policies change the market equilibrium, promote the upstream and downstream integration of cruise supply chain, and enhance cruise home port competitiveness. Subsidies to cruise line increase the payoffs of cruise supply chain and ports’ profit. Subsidies to travel agency decrease passenger costs and improve all ports’ profits. For the long-term development of cruise home port, the consequents can be used as policy suggestions.

Suggested Citation

  • Heying Sun & Qingcheng Zeng & Hui Xiang & Chao Chen, 2019. "Competition model of cruise home ports based on the cruise supply chain – based on China cruise market," Maritime Policy & Management, Taylor & Francis Journals, vol. 46(3), pages 277-294, April.
    • Handle: RePEc:taf:marpmg:v:46:y:2019:i:3:p:277-294
    DOI: 10.1080/03088839.2018.1539810
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    Cited by:

    1. Liu, Jiaguo & Zhao, Aixiang & Kong, Yudan & Wang, Junjin, 2022. "Optimal subsidy policies of the Chinese cruise market under the impact of COVID-19," Transport Policy, Elsevier, vol. 126(C), pages 280-291.
    2. Sun, Ling & Luo, Meifeng & Yang, Yanbin, 2023. "Compensation mechanism for port time extension in cruise line designs," Transport Policy, Elsevier, vol. 139(C), pages 144-154.
    3. Xiaodong Sun & Tsz Leung Yip & Yui-yip Lau, 2019. "Location Characteristics of Cruise Terminals in China: A Lesson from Hong Kong and Shanghai," Sustainability, MDPI, vol. 11(18), pages 1-14, September.

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