Abstract
Abstract Public–private partnerships (PPPs) are gaining popularity in port development projects especially in developing countries. A key question emerges that why private companies are willing to take more risk in some port PPP projects but not in others. This paper empirically investigates willingness to take port PPP contractual risk from institutional perspectives. Specifically, the paper examines impacts of business friendliness, political effectiveness, and freedom from governmental intervention on private investors’ willingness to take port PPP contractual risk. The analysis covers a total of 398 port PPP projects in developing countries from 1995 to 2016 based on the World Bank Private Participation in Infrastructure database. Findings reveal that the effect of political effectiveness on willingness to take contractual risk mediates through two variables (1) business friendliness and (2) freedom from governmental intervention, where the former mediation contributes positively, and the latter has a negative impact. The research is the first attempt in the literature that examines differences in the willingness to take PPP contractual risk among private investors. Policy and managerial implications for various stakeholders are discussed.
Sign-in/Register to access full text options 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callMore From: Transportation Research Part A: Policy and Practice
Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
