The Perceived Container Shipment Pricing For A Single Intercontinental Ship Route

With the development of global economy and trade globalization,the volume of global container shipping trade keeps growing.In order to maximize the benefits in the scale economy of shipping,shipping companies have chosen to deploy large or super-large ships on intercontinental routes.As a result,the growth rate of capacity supply in the container shipping market is faster than that of demand,and the industry with excess capacity supply in the container liner shipping market is faced with the contradiction that supply exceeds demand.Shippers are more inclined to seek lower freight rates in the shipping market,which undoubtedly intensifies the competition among shipping companies in the container transport market.Therefore,in the highly competitive container transportation market,reasonable pricing strategy is crucial for liner companies.It can not only maximize the benefits of liner companies in the context of shipping scale economy,but also play an important role in coordinating the market mechanism and balancing the relationship between supply and demand.This paper mainly studies the pricing of container transport on intercontinental routes,which is based on a single intercontinental route to determine the perceived freight rates between different OD ports on the route.From the perspective of a single liner company,the two-stage optimization method is adopted to perceive the price of container transport on a single intercontinental route.In the first stage,considering the constraints of ship loading capacity,weekly service frequency,and flow balance,this paper establishes a mixed integer linear programming model for route allocation problem aiming at the minimum cost of liner companies.On the basis of solving the first stage model,in the second stage,the reverse optimization method is used to establish the container transport perceived price model for different departure destinations(OD).Taking the trans-pacific route and asia-europe route as examples,the CPLEX software was used to solve the model,and the results were analyzed.Finally,it was concluded that for any port of departure,the relevant container transport perceived price was the same for different port of destination.