The Research Of C-company Liner Ocean Shipping Cost Control

Cost control can't be ignored within a corporate strategy and a successful cost control strategy can greatly promote the profitability in company view, improve the cost control level and company's competition power in the market. On the contrary, if cost control strategy doesn't work out, this will result in inefficiency of corporate operation and unsufficient of corporate capital.Especially in container shipping company, which is heavy capital investment industry, the purchase and management of ships & containers and consumption of bunker take up to 70% of total container shipping cost. From world financial crisis at 2008 to now,container shipping companies are suffering over capacity supply,downtrend freight rate and fierce competition in market, which is resulted from seriously depression world economic situation.Such been this background, this paper, based on the elaboration of the container shipping's characteristics and its constitution (in chapter two),analyzes the current situation and its problems in cost control at management aspect by using C Shipping as studies objective (in chapter three). With all these analysis, Chapter four tries to introducing the idea of COSO framework to improve the cost control of container shipping companies, giving evaluation on C Shipping and corresponding advices, such as bunker hedging, economic speed, etc. Countermeasures on reducing the cost of each key components on container shipping are given as well.General speaking, the results of this papers are: analyzing the current cost control problems at container shipping companies by using C Shipping as background;Introducing the COSO framework to improve the concept of cost control and the grasp the key points during cost control strategy; Offering corresponding measures to reduce the cost during the operation of container shipping through detailed study.