Container Liner Alliance Game Analysis

In the past few years the expansion of the container fleet in the world there has been an overcapacity has been developed with continuous lowering of freight rate. For Shippers' request of higher services and liners' desire of lower costs, some container liners have begun to adopt the strategy of associated competition and been in the formation of container liner shipping alliances. First, this paper points out that the container transportation market is fierce competitive market and liner shipping alliances have been dominant forms since the early 1990s. Resources that may be idle or not used to their full potential can be utilized more effectively when employed in a container liner alliance, which brought forward the issue of success through the creation of a collaborative advantage as opposed to a competitive advantage. This paper also analyzes operation about two container liners. Second, for each liner company must consider what the others will do before setting up a strategy and during its implementation period, Game theory is very useful for the understanding of cooperative strategy in container liner alliances. Game theory is concerned with the study of multi-person decision problems. Third, this paper analyzes some problem about container liner alliance; for further analysis, I take container liner one and container liner two as models, and analyze the two-container liner operation. Fourth, according to the discrepancy rationality of container liner...