Market Concentration and its Impact on Liner Shipping in Ghana


  •   Mary Bossman

  •   Qu Yaping


Ever since the introduction of ocean liner shipping in the maritime trade industry, there has been a great and positive impact on the maritime industry in terms of trade. Liner shipping lines enjoy degrees of antitrust immunity in various parts of the world. With about 400 liner shipping lines presently and still counting the industry experiences very high concentration in the market. Few of the liner shipping lines occupy a maximum portion of the industry’s market shares whereas the remaining occupy very less or insignificant market shares. In order to survive the oligopolistic nature and concentration of the market, firms seek to cooperative agreements where they are able to share assets and in some cases go as far as merging. Mergers and acquisitions involve the risk of high cost of investment therefore it is not always the option for the relative smaller firms as a means of increasing market shares, but this cannot be said for the larger firms. Consortia, and global strategic alliances do not require such investment. These cooperative agreements rather help member firms to utilize assets and enjoy economies of scale and as a result increase firm growth. Liner shipping lines also as a means of increasing market shares, decrease freight rates and offer value added services to their customers.

Keywords: Liner Shipping, Market Concentration, Market Shares, Mergers


Alphaliner. (2016, April 01). Alphaliner - TOP 100. Retrieved April 06, 2016, from Alphaliner - TOP 100 Operated fleets as per 18 March 2016:

Benkovskis, K., & Wörz, J. (2014, February 21). What Drives the Market Share ChangeS? PriCe verSuS non-PriCe FaCtorS. Working PaPer SerieS, p. Working paper 1640.

Clyde, P. S., & Reitzes, J. D. (1995). The Effectiveness of Collusion Under Antitrust Immunity. Washington, D.C: Federal Trade Commission.

Fusillo, M. (2013). The Stability of Market Shares in Liner Shipping. Review of Industrial Organization, 85-106.

Global Insight. (2005). The Application of Competition Rules to Liner Shipping. European Commission.

Gregory, K. V. (2000). Economies of Scale in International Liner Shipping and Ongoing Industry Consolidation: An Application of Stigler's Survivorship Principle. Blacksburg, Virginia, United States of America.

Haralambides, H. E. (2007). Structure And Operations In The Line Shipping Industry.

Haralambides, P. E. (2011). Determinants Of Price and Price Stability in Liner Shipping. in K. Cullinane, International Handbook of Maritime Economics, (p. 161).

Cheltenham: Edward Elgar.

Hoffmann, J., & ECLAC, U. (1998). Concentration in liner shipping: its causes and impacts for ports and shipping services in developing regions. Santiago: United Nations.

Kaplow, L. (2013). Market Definition. In R. D. Blair, & D. D. Sokol, The Oxford Handbook of International Antitrust Economics, Volume 1 (p. Discussion Paper No. 745). Harvard John M. Olin Center for Law, Economics, and Business.

Keithahn, C. F. (1978). The Brewing Industry. Washington: Federal Trade Commission, Bureau of Economics.

Kjeldsen, K. H. (2012). Routing and Scheduling in Liner Shipping. Aarhus: Department of Economics and Business, Aarhus University.

Liu, C. (2009). Maritime Transport Services in the Law of the Sea and the World Trade.

Bern, New York: Peter Lang.

Luo, M., Fan, L., & Wilson, W. W. (2014). Firm growth and market concentration in liner shipping. Journal of transport economics and policy Vol. 48 pt 1, 171-187.

Maritime Insight, Volume 2. (2014). Strategic Alliance in Container Liner Shipping After P3 Failure. International Centre for Maritime Studies.

Munari, F. (2012). Competition in Liner Shipping. In J. Basedow, U. Magnus, & R.

Wolfrum, The Hamburg Lectures on Maritime Affairs 2009 & 2010 (pp. 3-27).

Berlin: Springer Organisation for Economic Co-operation and Development (OECD). (2013). Competition Issues in Liner Shipping. Directorate for Financial fnd Enterprise Affairs Competition Committee.

Panayides, P. M., & Wiedmer, R. (2011). Strategic alliances in container liner shipping. Research in Transportation Economics volume 32, 25-38.

Premti, A. (2016). Liner Shipping: Is There a Way for More Competition? United Nations.

Schirach-Szmigiel, C. v. (1979). Liner Shipping and General Cargo Transport. Stockholm: Stockholm: Economic research Institute at the Stockholm school of economics [Ekonomiska forskningsinst. vid Handelshögsk.] (EFI), 1979.

Sjostrom, W. (2014). Ocean Shipping Cartels: A Survey. In D. Prokop, The Business of

Transportation (pp. 107-134). Santa Barbara, Califonia: Praeger.

The Free Encyclopedia. (2016, April 09). United States antitrust law. Retrieved from Wikipedia:

Ting, E. (2012). Introduction to Transportation and Navigation.

Tunfors, H. (2001). Liner Conferences. Lunds universitet/Juridiska institutionen 2001.

UNCTAD. (1974). United Nations.

United States. FMC. Bureau of Trade Analysis. (2012). Study of the 2008 repeal of the liner conference exemption from European Union competition law. Washington D.C: Federal Maritime Commission, Bureau of Trade Analysis.

Wernerfelt, B. (1982). The Relation Between Market Share And Profitability. University of Michigan. Graduate School of Business and Administration. Division of Research.

World Shipping Council. (2016). Benefits Of Liner Shipping. Retrieved from World Shipping Council:

World Shipping Council; IHS Global Insight. (2009). Valuation of the liner shipping industry: Economic contribution and liner industry operations. Not identified: Not identified.


Download data is not yet available.


How to Cite
Bossman, M., & Yaping, Q. (2021). Market Concentration and its Impact on Liner Shipping in Ghana. European Journal of Business and Management Research, 6(4), 262–269.