NDLI: Competitive strategy of port regionalization based on Hotelling model

Content Provider	IEEE Xplore Digital Library
Author	Dong Gang
Copyright Year	2010
Description	Author affiliation: School of Economics and Management, Shanghai Maritime University, P.R. China, 201306 (Dong Gang)
Abstract	Under the context of port regionalization, introducing externality and compatibility to utility function of the shipper, the linear extensive Hotelling model is established in order to research competitive strategy of port regionalization according to selecting location, charging and service quality of the port. The results shows that: if the two ports in the procession of regionalization implement non-cooperative game strategy profile, there is excessive competition when the two ports maximize its own profit to select optimal location of port area, moreover the best port charge is in proportion to port service quality. When cooperative game strategy profile is implemented, the location of the new port area will tend to disperse in order to adopt differential strategy, the difference between the optimal port charges is proportional to the intensity of network externality and the difference between the best service qualities, however is inversely proportional to the extent of compatibility and the difference between the distances to the port of destination. Furthermore, the optimal overall service quality of port regionalization depends on the network externality, compatibility and land's unit transportation cost, with no respect to the distance to the port of destination, the differentiation of the optimal service quality in positive correlation with the difference between the distances to the port of destination.
Starting Page	825
Ending Page	830
File Size	88683
Page Count	6
File Format	PDF
ISBN	9781424481163
ISSN	21551855
e-ISBN	9781424481194
DOI	10.1109/ICMSE.2010.5719894
Language	English
Publisher	Institute of Electrical and Electronics Engineers, Inc. (IEEE)
Publisher Date	2010-11-24
Publisher Place	Australia
Access Restriction	Subscribed
Rights Holder	Institute of Electrical and Electronics Engineers, Inc. (IEEE)
Subject Keyword	service quality Hotelling model Biological system modeling Supply chains port regionalization competitive strategy Games Containers selecting location Rivers Equations
Content Type	Text
Resource Type	Article

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