Private Entry and Emerging Partnerships in Container Terminal Operations: Evidence from Asia

Abstract

This paper seeks to expand understanding of inter-firm partnerships in the maritime sector. The paper recognises ocean carriers and global terminal operators as leading agents of change in the container port industry. While useful, the extant literature's focus on strategic alliances among mega-carriers neglects the role of terminals in defining firms' global strategies in logistical expansion. Meanwhile, rapidly expanding port-operating transnational corporations (TNC) are forcing fundamental shifts in partnership dynamics, defining port–carrier interaction. A multilayered network framework is introduced to build a conceptual link between private entry and emerging partnerships in the container terminal industry. Evidence from Asian ports and Asian TNCs are provided in support of this. The paper concludes by stressing the need to recognise heterogeneity among strategic entry paths available to private entrants in their stake over container terminal operation and finance.