HHI Index Research Articles

PENGARUH KOMPETISI BANK TERHADAP STABILITAS SISTEM KEUANGAN PERBANKAN (STUDI KASUS PADA KBMI IV TAHUN 2019-2022)

The emergence of banking as an intermediary institution plays a very important role in the economy because it is the heart that must pump "money" and distribute it to all organs that need the money. Therefore, it is very important to maintain the stability of the banking financial system. The development of the banking system can trigger competition in the banking industry which can affect banking stability. This research was conducted to determine the effect of bank competition on the stability of the banking financial system. This research focuses on KBMI 4 data which is a large bank HHI index, market share and Loan to Deposit Ratio (LDR) used as a proxy for competition and Non-Performing Loans (NPL) as a proxy for banking financial stability. The analysis technique used is Panel Data Regression with KBMI 4th ​​quarter data for 2019-2022. Of these three variables, the HHI index and Loan to Deposit Ratio (LDR) variables have a significant effect on Non-Performing Loans (NPL). Meanwhile, the market share variable has no significant effect on Non-Performing Loans (NPL).

Determinants of BPR Competitiveness in New Normal Era

As the rural bank in Indonesia, Bank Perkreditan Rakyat (BPR) serves people with limited products and services and is less regulated compared to Commercial Banks. During the COVID-19 pandemic, the growth rate of BPR slowed down. We developed a hypothesis on the negative influence of financial technology (fintech) on the competitiveness and performance of BPR. Using all BPR companies and 22 Fintech Lending companies as samples to measure the HHI and Lerner Index, we found that BPR and Fintech Lending companies were competing in an unconcentrated market. Several variables could not be examined while studying the determinants of BPR’s competitiveness, including Regional GDP, BOPO, third party funds, Loan Credit, ROE, NIM, and CAR. Several determinants, such as the NPL, Fintech Lending, and COVID-19 pandemic, were found to have significant negative impacts on the BPR’s competitiveness. Interestingly, BPR’s banking digitalization, as represented by its IT capability, was found to be not significant in this study.

Profits over care? An analysis of the relationship between corporate capitalism in the healthcare industry and cancer mortality in the United States

The characteristic features of 21st-century corporate capitalism – monopoly and financialization – are increasingly being recognized by public health scholars as undermining the foundations of human health. While the “vectors” through which this is occurring are well known – poverty, inequality, climate change among others – locating the root cause of this process in the nature and institutions of contemporary capitalism is relatively new. Researchers have been somewhat slow to study the relationship between contemporary capitalism and human health. In this paper, we focus on one of the leading causes of death in the United States; cancer, and empirically estimate the relationship between various measures of financialization and monopoly in the US healthcare system and cancer mortality. The measures we focus on are for the hospital industry, the health insurance industry, and the pharmaceutical industry. Using a fixed effects model with different specifications and control variables, our analysis is at the state level for the years 2012–2019. These variables include data on population demographic controls, social and economic factors, and health behavior and clinical care. We compare Medicaid expansion states with non-Medicaid expansion states to investigate variations in state-level funded health insurance coverage. The results show a statistically significant positive correlation between the HHI index in the individual healthcare market and cancer mortality and the opioid dispensing rate and cancer mortality.

CONCENTRATION PROCESSES IN THE RETAIL AND MEAT PROCESSING INDUSTRY IN POLAND AND COMPETITIVE RELATIONSHIPS IN THE FOOD CHAIN

The study investigates the consolidation of Poland’s food retail and meat processing industry from 2010 to 2022. The aim was to assess the relative changes in concentration in these two sectors and to determine whether these processes affected competitive conditions in the food chain. For this purpose, the k-firm concentration ratio (CRk) and HHI index were estimated using Central Statistical Office data supplemented by revenue data for Poland’s largest meat processing and food retail companies. The research reveals a notable trend of mergers and acquisitions among food retail entities. As a result, the share of the top four retailers (CR4) increased from 25% in 2010 to 46% in 2022, and the market moved from a highly competitive to loose oligopoly. At the same time, the concentration of the meat industry increased, but to a lesser extent – CR4 in 2022 reached 33%. This would indicate that food retail firms’ bargaining power towards meat industry firms has increased. However, given the economic potential of firms, there is a slight improvement in the meat industry’s position vis-à-vis food retail. The concentration in the latter has been growing steadily, nevertheless, the sector itself has not been developing as dynamically as the meat processing one.

INTERNATIONAL COMPETITIVENESS OF THE POULTRY SECTOR IN POLAND OVER THE LAST 20 YEARS

The research aimed to assess the changes that have occurred in the Polish export and import of poultry and the industry’s competitiveness. The analysis covered the years 2003 and 2022 and was carried out based on Eurostat data. The analysis included, among others, the value and balance of turnover, geographical structure, and selected competitiveness indicators. The leading importers of Polish poultry are the European Union countries. Poland has a comparative advantage mainly in the case of the EU market, which is confirmed by the increasing values of the TC and SI indicators and the decreasing HHI indicator. The obtained SI index values show that Poland had an apparent specialization in the export of poultry sector products to the markets of Great Britain, Bulgaria, Ireland, and Malta. The downward trend of the HHI index indicates the diversification of exports, which is a positive phenomenon as it provides the Polish poultry sector with stable revenues despite emerging turbulence. The reason for such a large increase in exports to EU countries was essentially the abolition of customs duties, attractive prices, and good quality of Polish products. Despite the substantial price advantages of Polish products and the favorable structure of comparative advantage indexes, poultry producers in Poland should constantly monitor the market environment. Attractively priced products offered by Ukraine, Brazil, and Thailand may harm the Polish export of these products in the coming years.

A comparative study of the competitive balance of the Spanish and English top football leagues on the basis of sport performance during the four last seasons before the Covid-19 pandemic

AbstractThe topic of this study has been the examination and comparison of the competitive balance of the Spanish and the English first leagues of soccer, called La Liga Santander and Barclays Premier League. The basis for the research project has been provided by a database of sixteen hundred elements, containing the data of the two leagues starting from the 2014/2015 season up to the 2017/2018 season. When choosing the time period for the study, we intended to avoid having to deal with the impact of Covid-19, which is why we picked exactly these competition seasons. We have primarily used statistical indicators. In the case of sports-related data, our inquiries have included the following: comparing and averaging the winning percentages per season, furthermore, the winning percentages of championship seasons, the distribution of goals scored and conceded and, finally, the calculation of the Herfindahl-Hirschman Index. Although there is one aspect of investigation according to which the competition balance of La Liga is closer to the optimal, the dispersion of winning percentages and the indicator of the goals conceded as well as the HHI index show that the Premier League is the more balanced competition of the two.

A Study on Competitiveness Improvement of Chittagong Container Port

Purpose - Market structure is crucial to identify as it defines the market states for new and existing container ports to perform within a given region. the study aims to compare the major ports in the Bay of Bengal in the context of Chittagong Port.
 Design/methodology/approach - For this study, the past 9 years of container volume data have been collected and analyzed through the HHI index, BCG matrix and shift effect analysis. Based on the analysis, this study has found that the Chittagong Port is in an oligopoly competitive market structure.
 Findings - The findings have shown that port in low market share and low growth in very recent years with the moderately concentrated ports HHI index. The shift effect analysis shows that the container volumes shifted from one port to another in the 2019 and 2020 periods. This study is the pioneer study in the Bay of Bengal region to identify the market structure, analyze market share and growth, and analyze the market concentration.
 Research implications or Originality - Future recommendations for the port authority is to take advantage of geolocation; attract international; tax exemption, faster clearance process, reduced waiting charges; increasing storage and technological machinery; promoting maritime logistics education; promoting Chittagong tourism; collaboration with other countries. Also, this study can be used as basic data for the establishment of a new supply chain between Korea and Southwest Asia for the Korean government and companies.

한⋅일 은행산업의 메타효율성 비교: 이윤을 바탕으로

Purpose: This study aims to improve the competitiveness of the domestic banking industry by diagnosing the efficiency of the Japanese and Korean banking industries, which have similar financial environments such as long-term low growth and low interest rates.
 Research design, data, and methodology: The research method uses probabilistic frontier analysis (SFA) and the form of a profit function based on five years (2015- 2019) data for 35 banks in Korea and Japan. This study estimates the individual frontiers of Korean and Japanese banking groups, and estimates the meta-frontiers that encompass the individual frontiers of Korean and Japanese banks operating with different technologies. In addition, the international technology gap between two countries is measured and meta-profit efficiency is calculated using the profit efficiency of each country and the international technology gap. Through this verification process, the management characteristics of countries leading the meta-frontier and the banking industry in that country are confirmed.
 Furthermore, we regressively analyze the determinants of inefficiency for the profit and technology gap of the two national banking groups and draw implications. This study differs from previous studies in that it uses a probabilistic frontier analysis and a profit function for the international banking industry from a profit perspective.
 Results: As a result of empirical analysis, first, in terms of profit efficiency by country, the Bank of Korea group is more efficient. However, in the international technology gap, the Japanese banking group is considerably ahead of Korea. Accordingly, in terms of meta profit efficiency, the Japanese banking group is ahead of Korea, which is due to the international technology gap. Second, the meta profit efficiency of Japan’s three major urban banks is the highest with an average of 0.91 for five years, and among them, Mitsubishi UFJ Bank was found to be the leading bank among all the research target banks. Third, it was analyzed that the profit efficiency improvement effect occurs only when the market concentration (HHI index) of both countries’ banking groups is increased and the net loan ratio is lowered.
 Implications: Therefore, it was suggested that the banking industry of the two countries should increase their market dominance by increasing the beneficiary assets other than loans, because the increase in bad debts due to credit risk increases as the amount of loans increases and negatively affects the efficiency of banks.

Bank Efficiency, Competition and Concentration in MENA Region Countries: A Granger Causality Approach

In this paper, we aim to explore the causal relationship among the bank efficiency, competition, and concentration in the banking systems of 15 countries in the MENA region (Jordan, UAE, Bahrain, Algeria, Saudi Arabia, Kuwait, Morocco, Turkey, Tunisia, Oman, Palestine, Qatar, Lebanon, Egypt, and Mauritania), by modeling econometric panel data over 2008–2018. Banking efficiency is measured by Data Envelopment Analysis (DEA), while the level of competition is measured by the Boone Indicator, and the level of concentration is measured by the HHI index. Granger causality is used to estimate the relationship among these variables. Results indicate the presence of a significant effect of banking efficiency on banking competition and banking concentration.

Structural Evolution and Sustainability of Agricultural Trade between China and Countries along the “Belt and Road”

Enhancing trade in agricultural products between China and countries along the “Belt and Road” (B&R) will help strengthen China’s food security and promote global, sustainable economic development. Based on the agricultural trade data between China and B&R countries from 2001 to 2019, we used the TII index, the HHI index, and the social network analysis method to calculate the trade structure of agricultural products between China and B&R countries, in terms of plane structure and spatial network structure, and analyzed the influencing factors of their spatial network structure. The results show that China’s agricultural trade with B&R countries is highly concentrated in terms of regions and types, the import trade is decentralized, while the export trade is concentrated, and the regions with high trade intensity are mainly concentrated in the countries in close proximity. China’s agricultural trade network with B&R countries has become increasingly close, and China has a significant presence in trade networks. The trade network shows four major segments, and the internal and external trade of each segment has become increasingly close. Water resources, geographical location, transportation, trade agreements, and trade structure are the main influencing factors in the trade network between China and B&R countries. Our findings provide useful insights for informed decision-making in the development of international agricultural sustainable cooperation strategies.

Analysis of the Banking Sector Competition in Kosovo

Abstract This research paper aims to investigate the competition in the banking sector in Kosovo. For the research purpose, the secondary data from the Central Bank and commercial banks of Kosovo are used. Besides, the comparison methodology is used to analyse the banking sector for the years 2013-2017. The participation of commercial banks in the banking sector in Kosovo was compared and described, and the competitiveness of the banking sector was measured, using the HHI index and Concentration Ratio (CR4). Based on the research results, we can conclude that the competitiveness in 2017 was at a moderate level, in 2016 at a low level. Whereas, in the previous years, there was no real competition in this sector.

Income diversification and firm’s performance of companies listed in Viet nam

ABSTRACT This study aims to evaluate the impact of income diversification, structure of ownership and other factors on firm performance in terms of both book and market efficiency, using the data of listed non-financial firms from 2010 to 2019. The HHI index is used as the proxy to measure income diversity while ROA and MVA are used to measure book and market efficiency respectively. The authors apply panel data regression methods to examine the effect between variables. The results show that income diversification has positive effect on book efficiency and negative effect on market efficiency. In terms of ownership structure, the state ownership has a negative relationship with book efficiency but positive relationship with market efficiency while the impacts of foreign ownership are positive but not significant for both book and market efficiency. Besides, operating cash flow and size have positive effect while leverage has negative effect on both book and market efficiency. Furthermore, for age, growth and liquidity, only the relationship between age and market efficiency is significantly, and it is positive. In terms of comparison between industries, all industries have been worse book performance than the information technology industry. For market efficiency, only the oil and gas industry and the raw material industry have lower performance than the information technology industry, the other industries are more effective than the information technology industry. The study provides policy implications on how to diversify income according to ownership forms, industry characteristics and other aspects of the enterprise.

Market power analysis of the Indian power market

Emerging electricity reforms in the power market aims at removing the monopolistic oligopoly power market and promoting competition in the market by providing opportunities to more producers. This paper seeks to investigate various existing structures of the Power Market. Indian Energy Exchange (IEX) and Power Exchange India Limited (PXIL) facilitates transparent trading of electricity, a larger market spectrum and allows the participation of other players in the market. Market power is an indicator of an non-competitive market, that is increase in the market power will result in the degradation of competition. This research will help modify the current parameters (HHI Index and Concentration ratio) which are used for measuring the market power of the power markets. As there is always deviation in unconstrained cleared volume and actual cleared or scheduled volume, deviation arises due to the volume of electricity that could not be cleared because of congestion in the power exchange. The researchers have also examined the Indian Power market and analyzed different developed power markets of the world like the US Pennsylvania-New Jersey-Maryland Interconnection (PJM) and the Nordpool.

Analysis of China’s Soybean Import: Based on the Perspective of Welfare Economics

China’s soybean import meets the growing nutritional demand of Chinese residents, but the continuous increase in soybean import quantity has also caused disputes about over import. The continuous importation of soybean in China gradually forms a path dependence on some major exporting countries. On the analytic basis of soybean supply and demand in China, this paper employs CR index and HHI index to measure the import concentration of soybean, and analyzes the monopoly pricing mechanism of international soybean by adopting welfare economics method. The results show that the imported soybean has gained strengthened monopoly in China’s market, thus increasing the risk of consumers’ welfare in loss. From the demand perspective, the loss of consumer welfare can be reduced by lessening soybean demand and increasing demand elasticity. From the perspective of supply, the same objective can be also achieved by increasing market competition in diversification and reducing monopoly transaction costs. As a result, some policy suggestions can be thus put forward: firstly, it’s suggested to control the importation of soybean and augment the imported alternative products. Secondly, it’s recommended to reduce the transaction cost of the major exporters to China, and to promote an imported strategy in diversification by strengthening the cooperation with countries that join in the “belt and road initiative”.

RUSSIAN ENERGY STRATEGIES IN THE NATURAL GAS MARKET FOR ENERGY SECURITY

The global natural gas market is one of the fastest growing energy markets. Russia is the second largest natural gas producer，and natural gas is its important strategic resource. As one of the main sectors of the Russian economy, natural gas plays a key role in the country's financial revenue and trade balance. In addition, it is also an important part of Russia's foreign policy. The structure and system of Russia's natural gas industry are inconsistent with its future development. We assess the natural gas security risks facing Russia by using HHI index, which takes into account the concentration of Russian natural gas exports. By calculating the HHI index, we found that Russia's natural gas export risk level differs considerably over different years. Russia is making efforts to promote the reform of the industry, and the government has constantly revised the draft energy strategy, to propose the latest derection for the long-term development of the natural gas industry. Russian gas strategy is to diversify the ways, directions and conditions of supplies to the world's major energy markets. Russia's layout of LNG export can helps boost trade growth, and promote the diversification of its natural gas exports.Keywords: Russia, Natural Gas, Energy Strategy, Energy SecurityJEL Classifications: Q4, Q40, Q48, C8DOI: https://doi.org/10.32479/ijeep.10755

Multi-criteria assessment tools for achieving balance between negotiating powers under distorted conditions of competition in construction sector’s market

Research background: this study identified which factors influence other factors and how they have a greater impact on the value of a business entity’s HHI index. By knowing the key factors, they can be used to model possible mergers and their impact on the HHI index and possible changes in the market power balance. Purpose of the article: to present the concept of business negotiation system, enabling to model and effectively manage the process of development and implementation of negotiation strategies, assessing the negotiating power of negotiating parties and selecting multi-criteria assessment tools to balance them in the conditions of distorted construction sector market competition. Methods: multi-criteria assessment is used to assess the market power of business entities in business negotiations in order to select effective strategic solutions for construction sector’s business negotiations. Findings & Value added: a developed algorithm for the development of construction sector’s business negotiation strategy based on evaluations of bargaining power is presented.

Dywersyfikacja a wysokość dochodów własnych bieżących w powiatach grodzkich i ziemskich

Przedmiot badań: Jednostki samorządu terytorialnego w swojej działalności realizują politykę dochodową, którą obserwować należy pod kątem efektywniejszego wykorzystywania niepodat­kowych źródeł dochodów, takich jak opłaty czy dochody z majątku, lub wprowadzania nowych. W samorządach można w związku z tym zaobserwować efekt dywersyfikacji dochodów.
 Cel badawczy: Celem badania było określenie siły wpływu dywersyfikacji, z uwzględnieniem innych czynników ekonomicznych, na wysokość dochodów własnych bieżących per capita w po­wiatach ziemskich i grodzkich w Polsce.
 Metoda badawcza: By zrealizować cel wykorzystano analizę panelową, odrębnie dla wszyst­kich powiatów ziemskich i grodzkich. Estymacji wyników dokonano przy wykorzystaniu dwóch metod: metody najmniejszych kwadratów oraz analizy panelowej o ustalonych efektach. Dywer­syfikacja dochodów własnych bieżących mierzona była z pomocą wskaźnika indeks Hirsha-Her­findahla.
 Wyniki: Przeprowadzone badanie potwierdza hipotezę o ujemnej zależności dochodów własnych bieżących per capita od indeksu HHI, tj. wraz ze wzrostem stopnia dywersyfikacji dochodów własnych bieżących ich wysokość per capita wzrasta. Wzrost ten wynosi 301–403 zł w powiatach grodzkich oraz mniej niż 17 zł w powiatach ziemskich, przy spadku indeksu HHI o 0,1. Dodat­kowo czynnikami w sposób istotny i jednoznaczny wpływającymi na wysokość dochodów wła­snych bieżących są: wysokość wynagrodzeń oraz liczba przedsiębiorstw działających na terenie powiatów – w obu przypadkach wpływ jest pozytywny.

Study of the Influencing Factors on Development of Ports in Guangdong, Hong Kong, and Macao from the Perspective of Spatial Economics

Under the background of “one belt, one road initiative” and the “Outline Development Plan for the Guangdong-Hong Kong-Macao Greater Bay Area,” Guangdong, Hong Kong, and Macao port group development is facing new opportunities. The port group has a large throughput, covering the hinterland with dense population and high economic density, excellent transportation infrastructure, and broad consumption market. However, the port group internal competition is fierce, and the development level is different in space. Based on this, this paper uses the HHI index and spatial economics as research method and aims to study the spatial evolution characteristics and influencing factors of Guangdong-Hong Kong-Macao port group. Firstly, the HHI index is used to describe the aggregation status. Secondly, the development level index according to port throughput and container throughput is constructed. The spatial development and evolution process of the port group of Guangdong, Hong Kong, and Macao is analyzed by combining with spatial econometrics and economic geography. In summary, the influencing factor “diamond model” is constructed and took empirical research to verify its rationality and scientificity. The empirical results show a strong spatial correlation between the development of the Guangdong, Hong Kong, and Macao port group. The government intervention and the development of port industry have a negative correlation, and this impact will be weakened over time. There is a negative relationship between the level of marketization and the development of the port industry. There is a multiple and complex relationship between the port auxiliary industry and the development of the port industry, and it shows the short-term influence is smaller than the long-term impact. The level of port transportation infrastructure, the port industry competition, and the economic openness have significant and positive effects on the development of the port group.

The value relevance of R&D and free cash flow in an efficient investment setup

Purpose The purpose of this paper is to investigate the value relevance of Research and development (R&D) and free cash flow (FCF) in an efficient investment setup. Most importantly, this paper examines whether the value relevance of R&D and FCF is associated with life cycle stages. Furthermore, this paper reports whether the market response to R&D and FCF is different in competitive market as compared to the concentrated market. Design/methodology/approach The analysis is based on the Ohlson (1995) model for the determination of value relevance of earnings and book value. Capitalized R&D and FCF data comprising of the Chinese A-listed firms from the year 2008 to 2016 are selected for this study. Following Anthony and Ramesh (1992), the authors divided the firm life cycle into different stages. HHI index is used to measure the product market competition. Findings The main result shows that R&D and FCF are value relevant in Chinese A-listed firms. The impact of R&D and FCF on the value relevance of earnings and book value is also positive and significant. The findings of the effect of R&D and FCF on the value relevance of accounting information signify that the information content (R2=0.46) of the mature stage is higher than that of the growth and stagnant stage. The explanatory power measured by R2 value for competitive industries (0.47) is much higher than the concentrated industries (0.33). Research limitations/implications Despite taking into account all the possible available variables, there are few limitations of the study. This study only studies the effect of EPS, BPS, R&D and FCF on the value relevance of accounting information. Other determinant such as size, growth, leverage and firm age is ignored. Since the R&D expenditure is discretionary, therefore the findings cannot be generalized to all the sectors. A sector wise comparative study can be done in future, to understand the differences in the information contents of R&D and FCF. Also, the tax effect of R&D is ignored in this study. For future call, the value relevance of tax effect on R&D can be explored. Practical implications The investors can now determine the present value of all the future cash flows of investing activities. The results of the study are significant for the Chinese investors who should incorporate the R&D and FCF along with investment efficiency. The investors should keep in mind the life cycle stage while investing in a certain stock. The competitive markets have more information content than the concentrated markets. The corporate managers can benefit from this study while issuing new shares. The market responds positively to the stock having investment efficient R&D and FCF investment. For the policy implication perspective, the security market regulator should devise the effective pro-effective product market regulations. Originality/value The contribution of this study is manifold. First, according to the authors’ knowledge, this is the first study that incorporates investment efficiency with R&D and FCF and explores its effect on the value relevance of accounting information. Second, the impact of R&D on the value relevance is studied by numerous researchers (Lev and Sougiannis, 1996; Han and Manry, 2004). Similarly, FCF-agency cost effect has also been investigated by (Rahman and Mohd-Saleh, 2008; Chen et al., 2012) but the value relevance of R&D and FCF during different life cycle stages still needs to be answered. Finally, this study also tries to answers the question if the market response to R&D and FCF is different in a competitive market as compared to the concentrated market.

A Study on the Structural Changes of Import & Export Containers between South Korea and China Ports

지난 수십 년간 한중 경제관계의 진전과 더불어 양국간 컨테이너 물동량은 지속적으로 증가하여 왔으며, 양국의 각 항만의 물동량은 교역관계 및 지리적 요인으로 인해 커다란 변동성을 보여왔다. 이러한 항만간 물동량의 변동성은 항만물류업체에게는 비즈니스 관점에서 그리고 항만정책당국자들에게는 항만 정책 등에서 의사결정에 중요한 요소이다. 컨테이너물동량의 증감은 항만의 경쟁력을 의미하며, 항만 경쟁력은 물동량의 이동과 유치에 중요한 요인이 된다. 따라서 항만물동량의 구조적 변동성 분석은 항만물류연구에서 중요한 과제중 하나이다. 본 연구는 한중간 항만 물동량의 구조적 변동성에 대한 추이를 분석하여 항만운영 및 정책에 시사점을 제시하는 데 목적이 있다. 이를 위해 우리나라의 대표적인 컨테이너 항만과 중국 항만들간 물동량의 변동성과 추이를 HHI지수, 변이할당효과, 입지계수를 분석하고 이를 BCG매트릭스에 포지셔닝하고 이를 토대로 컨테이너 화물유치 전략을 제시하였다. 분석 결과 우리나라의 대중국 컨테이너 화물의 집중도는 점차 하락하였다. 우리나라의 대표적인 컨테이너 항만인 부산항과 광양항으로의 컨테이너 화물공급원으로서의 중국 항만들은 대부분 대형 항만들에서 상대적 비중(LQ계수)이 높고 정(+)의 변동성(변이할당량)을 나타내고 있다. 그러나 인천항의 경우는 규모뿐만 아니라 지리적 근접성이 항만의 물동량 비중과 증가율에 영향을 미치는 것으로 분석되었다.With the progress of Korea-China economic relations, the container trade volume between the two countries has been steadily increasing during last several decades. The trends of container cargo volume between international ports are an important factor for port and logistics companies as well as port authorities. Development of container cargo volume is closely related to the competitiveness of port, on the other hands port competitiveness is one of the most significant determinants for movement of cargo volume. Therefore, structural volatility analysis of port throughput flow between country’s ports is an important issue in port logistics research. This study aims to present the implications for port operation and policy by analyzing the trends of structural volatility of container trade volume between Korea and China during 2003∼2017. For this purpose, it is analyzed the volatility and trends of the container trade volume between ports of the two countries. Several analysis methods such as HHI index, shift-share analysis and location quotient are employed for the BCG matrix analysis, which present the port strategies for attracting container cargoes for Korean container ports. According to the results of the research, the concentration of container cargo from Chinese ports to Korean ports has gradually decreased. Most of Chinese ports as supplying sources of container cargo for Busan, Incheon and Gwangyang port have a high relative proportion (LQ coefficient) in large ports and a high growth rate (shift-share effects). On the other hand, the port of Incheon has a high proportion of the container cargo and growth rate in Chinese ports with geographical proximity in addition to scale of port.