The paper 'Maritime Economics' is a wonderful example of a Macro and Microeconomics Assignment. In today’ s global economy, shipping, port, and logistics are indispensable and are essentially the constructs of globalization. They are vital for economic resources, which have become global, creation of added value, creation of employment, and for facilitating global trade. The maritime industry has experienced major shifts over time, along the lines of international economic conditions. Recently, in the economic crisis of 2008-9, it was one of the most hit sectors suffering major structural changes. Rising globalization presents immense opportunities, similar to challenges and risks.
This requires that maritime managers must make strategic moves to adequately respond to the global environment. This paper explores the global maritime industry and attempts to draw insights for managers in line with globalization. Explain how the market structure for dry bulk shipping affects companies’ competition strategies. Over the past few decades, national economies and the international economy have grown manifold. The 21st century and post World War II profiles indicate the increasing proliferation of both the developed and developing economies. The shipping industry is cited as being at the center of this globalization-related growth (Fré monta, 2009).
More specifically, the dry bulk shipping market is one of the most essential components of this growth and globalization of trade. According to Song (2012), it accounts for 25% and 30% of tons and tone-miles of international maritime trade respectively. It has become so important that it is now being used as a predictor if the world economy state, especially with reference to the Baltic Dry Index. Over time, the market for dry bulk shipping has experienced immense changes aligned with the growth characterizing globalization except for the global recession period.
These changes are related to supply-demand interactions, global economic times, market structure, shipping firms number, their operations sizes, and services homogeneity. Market structure can be analyzed by an assessment of key variables such as product differentiation, entry barriers, number of shipping companies and other related carriers, and cost structure.
Bornozis, N., 2006. Dry bulk shipping: The engine of global trade. A review of the dry bulk sector. Barron's , 30 Octobed, pp. 1-13.
Cullinane, K., 2010. International handbook of maritime business. Cheltenham: Edward Elgar.
Eekhoff, J., 2003. Competition policy in Europe. New york : Springer.
Fremont, A., 2009. Emprical evidence for integration and disintegration of maritime shipping, port and logistics activities. International Transport Forum, January , pp. 1-33.
Frémonta, A., 2009. Shipping Lines and logistics. Transport Reviews: A Transnational Transdisciplinary Journal, 29 (4).
Gelareh, S., Nickel, S. & Pisinger, D., 2010. Liner shipping hub network design in a competitive environment , s.l.: DTU Management Engineering .
Hall, P., Comtois, C., McCalla, R. & Slack, B., 2010. Integrating Seaports and Trade Corridors. Farnham: Ashgate .
Harlaftis, G. & Theotokas, J., 2002. Maritime business during the 20th Century: continuity and changes. In: The handbook of maritime economics and business. London: Lloyds.
Hingorani, N., Moore, D. & Tornqvist, K., 2005. Setting a new course in the container shipping industry , New York: IBM Global Services.
Jain, T. & Trehan, M., 2011. Microeconomics and Indian Economy. Delhi: Vimra Kumari Jain.
Jamieson, A., 2003. Ebb tide in the British maritime industries : change and adaptation, 1918 - 1990. Exeter: University of Exerter Press.
Koncept Analytics, 2012. Global Dry Bulk Shipping Industry Report: 2011 Edition. [Online]
Available at: http://www.marketresearch.com/Koncept-Analytics-v3494/Global-Dry-Bulk-Shipping-Edition-6418262/
Konings, R., Premius, H. & Nijkamp, P., 2006. The future of automated freight transport : concepts, design, and implementation. Cheltenham: Edward Elgar.
Liu, W., Xu, H. & Zhao, X., 2009. Agile service oriented shipping companies in the container terminal. Transport, 24 (2), pp. 143-153.
Lorange, P., 2009. Shipping strategy : innovating for success. Cambridge: Cambridge University Press.
Lun, Y., Lai, K. & Cheng, T., 2010. Shipping and logistics management. London: Springer Verlag.
Ostergaard, T., 2007. Quarterly financial overview. Containerization International, pp. 9-10.
Parameswaran, B., 2004. he liberalization of maritime transport services : with special reference to the WTO/GATS framework. Berlin: Springer.
Pozdnakova, A., 2007. Liner shipping and EU competition law. Austin: Wolters Kluwer Law & Business.
Rodrigue, J., 2010. Maritime Transportation: Drivers for the shipping and port industries. s.l., OECD, pp. 1-23.
Sato, H., 2002. Management Strategy of container liner shipping in the age of globalization. Gwangyang, Shipping research.
Song, D., 2012. Maritime logistics : a complete guide to effective shipping and port management. London: Kogan Page .
Stopford, M., 2007. "Will the next 50 years be as Chaotic in Shipping as the Last". Hong Kong, Hong Kong Shipowners Association.
Stopford, M., 2009. Maritime Economics. 3rd ed. Oxon: Routledge.
Talley, W., 2012. The Blackwell companion to maritime economics. \ ed. Chichester: Wiley-Blackwell.