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A Study on the competitive status and cooperative schemes of Korea-China ports

The Journal of Distribution Science / The Journal of Distribution Science, (P)1738-3110; (E)2093-7717
2007, v.5 no.2, pp.55-78
https://doi.org/https://doi.org/10.15722/jds.5.2.200712.55
Kim, Hong-seop

Abstract

Northeast Asia is one of the regions which have been developing so rapidly. Yellow sea, located between Korea and China, became a very important logistical zone because of its huge volume of cargo and big passenger traffic. These two countries continuously are enlarging their port facilities such as berths, container yards, storage capacity and their information system in this the Pan Yellow sea area. Two countries also introduce many new liner routes and car-ferry shipping services. Therefore there must be a severe competitions and conflicts among the countries and their companies and ports as well. Some experts worry about the over capacity of port and logistics facilities. This paper investigated the current conditions of Korea-China shipping route, container and car-ferry route, and found out the problems and tasks, with the support of many experts. There are so many alternatives and strategies to solve and rationalize the shipping route and the problems of ports of two countries. This paper suggest many strategies connecting with marketing 4Ps. As port service is also a kind of service product, we can categorize the strategies into 4Ps suggested by McCarthy. And this paper classify all these alternatives into 3 dimensions. There are competitive strategies, cooperative strategies and coopetition strategies. This paper propose some directions and ideas for adopting the strategy in the port and logistical topics between Korea and China, suggesting 3 dimensions of strategies. After this paper, many diagnoses and practical investigations should be executed to introduce optimal solutions and minimize the additional cost.

keywords
한중항만, 한중항로, 경쟁, 협력, 경쟁적 협력

The Journal of Distribution Science