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Essay / Research Paper Abstract
This 8 page paper considers some of the operating issues faced by container shipping companies, These include factors such as an increasing level of over capacity in some areas and the falling prices resulting in ships sailing without making profits, difficulties such as delays due to port congestion and delays and the increasing use of strategic alliances and ship sharing. The bibliography cites 9 sources.
Page Count:
8 pages (~225 words per page)
File: TS14_TEcontship.rtf
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Unformatted sample text from the term paper:
to ship nearly 40 times the level of goods that are sent by air has made it a very attractive market for companies to enter, but the reality is often
different from the perceived attraction and pull factors due to a range of complex operational issues. Over the last two decades the level of trade undertaken by sea has
seen as 40% increase (Peters, 2001). The ability to send cargo in containers meant that goods could be shipped more easily and
as such container shipping is important to the global economy (Peters, 2001). If we look at the industry globally there have been
some very significant trends, these have surrounding the way the ships are designed with the movement to larger ships and the increased use of technology in managing the ships cargo
and the total logistics issues (Peters, 2001). The container ports are also changing; ships need to be able to comply with new requirements for docking and large carriers
tend to get preferential treatment. There is also a greater level of private sector involvement in management of the Ports which has
also increased the level of productivity, but means increased levels of negotiation with differing port authorities and sets of rules and with Port owners generally looking for pre-tax profits of
20% of turnover this has also meant accepting increased costs to use the Ports (Peters, 2001). If we look at the trends in terms of getting and managing cargo there
are several different patterns, one of which indicates the difficulty of logistics were, in some markets, there is an increasing level of capacity over the demand.
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