International Logistics

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International Logistics

Introduction

Nowadays, competitive advantage requires an effective global supply chain strategy but brand success based on supply chain synchronization still relies on intangible human assets to transfer the product information. With increasing world trade cargo volumes, specialist logistics service providers have emerged, including those offering services specific to each mode of transport. For marketing channels which embrace sea transportation, container ports offer unique nodes in the logistics chain through which to deliver service and cost advantages.

However, despite increasing interest in international supply chain relationships, relationship formation in Asian markets, increasing internationalization of freight forwarders and trade documentation issues the competitiveness of container ports is rarely mooted (Raja, 2000).

Container ports are complex and dynamic, and as logistics centers their stakeholders have differing interests. There have been calls to consider individual perspectives more extensively. To meet their expectations and improve the competitiveness of container ports, stakeholders who interact with ports as customers and users have historically selected the most efficient ports and services, concentrated on a limited number of ports capable of delivering scale economics.

For these reasons, port competitiveness has concerned stakeholders with port-related interests (Clark, 2004). Measures of port competitiveness can offer meaningful information to every stakeholder, but because measurement relies on confidentiality and trust, no useful secondary data is available. Further, many organisations in China to date have a poor conception of a marketing orientation, British consumers are intensely aware of country of origin issues relating to imports from China, and information technology systems are critical to retailer engagement in logistics networks. This paper aims to address these issues based on experts' judgments of port competitiveness within the framework of a fuzzy methodology. The results offer important insights to channel managers and stakeholders in container ports seeking to minimize time and cost, and enhance corporate productivity. After considering competitiveness factors and difficulties in quantifying them, the paper outlines the research methodology, analyses of container port competitiveness, and the conclusions.

Discussion

Dimensions of International Logistics

Availability

This includes “availability of a vessel berth on arrival in port” and “port congestion”. The former element is most highly correlated with this factor. Korean and Chinese ports experience heavy port traffic, and, for just in time delivery, the availability of berths is a vital attribute for port users (Joseph, Menon, 1994).

Convenience

This component includes “water depth in approach channels and at berth”, “sophistication of port information and its application” and “the stability of port labor”.

Logistics cost

The lower the cost, the greater the level of competitiveness arises. Logistics costs include “inland transportation cost”, “costs related to vessels and cargoes entering port” and “free dwell time on the terminal”.

Regional centre

Having a good location is deemed to render a port more competitive. The concept of a regional centre includes geographical aspects such as “deviation from main trunk routes” and “port accessibility”.

Connectivity

The greater the connectivity, the higher the level of competitiveness is present. Connectivity includes both “land distance and connectivity to major shippers” and “an efficient inland transport network” (Donald, 2002).

Transportation Facilities

Transportation encompasses both inbound action from the causes of raw components or ...
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