Strategic alliances in the container shipping industry: a global perspective

Abstract

This paper examines developments in container shipping in light of the formation of strategic alliances by many of the leading companies. It focuses on three features: the transformation of services, the evolution of the fleet, and the adjustments made to the ports of call. These elements are analysed on a global basis for 3 years: 1989, 1994 and 1999. Some of the changes wrought by the alliances are identified, including the spread and intensification of services, and the deployment of the largest vessels on alliance routes. While the individual companies that have come together in alliances are serving many more ports than before, it is also demonstrated that the total number of ports served by the industry has remained constant. The results are interpreted in the context of globalization that is tending to impose greater standardization on the container shipping industry.