Analysis of the Linear Container Shipping Industry Current State and Prospects of its Further Development

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MAGAZINE №1(84) February 2018

AUTHORS Maydanova S.A.Ilyin I.V. 

CATEGORY  Analytics and reviews Information technologies in logistics and SCM Transportation in logistics

ABSTRACT

The present stage of economic, scientific and technical development of society is characterized by the comprehensive dynamic quality changes in the activity of human society, leading sometimes to traditional business forms disruption. It does not mean automatic disappearance of the players existing in industries at the present stage. Disruption means that considerable parts of business will change, which will force players either to change in response, or to abandon the market. It means emergence of a huge number of new opportunities for the existing players and new participants.

The object of the research of this article is the industry of sea container transportations, its development and current processes in the industry, the subject is business model change of the companies that are global shipping container lines; and blockchain technology capable of changing business models of all industry participants. The purpose of this work is the analysis of current situation in container shipping, task definition for the companies – industry participants, proposal of the business model for the company - the global shipping container line and the analysis of blockchain technology opportunities in shipping industry.

 Strategic model known as Business Model Canvas is used in this article. According to Business Model Canvas, the description of any business model consists on nine blocks which reflect company actions logic for profit receiving. These nine blocks cover four main spheres of business: interaction with the customer, the offer, infrastructure and company financial efficiency.

The linear container transportations industry is at a maturity stage now; therefore, development strategy and business model change are needed. To solve existing problems in the industry it is necessary to create a uniform data ecosystem which will open new opportunities to coordinate and optimize transportation process participants actions. It is possible to create such an ecosystem using blockchain technology. There is a number of the blockchain technology research projects in linear container transportations industry now, therefore in the nearest future it is highly probable to expect its wide implementation and industry structural changes.

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ISSN 2587-6775

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