DETERMINANTS OF PORT CHOICE (WITH SPECIAL REFERENCE TO PORT OF SINGAPORE)

Abstract

Few studies have identified the various factors determining port choice. In particular, no study has yet been done with respect to Port of Singapore and the relative importance of the factors. This study, inter alia, is able to provide an empirical basis for the crucial role of the determinants of port (Port of Singapore) choice. This is especially important as governments of neighboring countries have been competing with one another to get bigger shares of sea traffic. The project focuses mainly on the users i.e. freight forwarders, shipping companies and exporters/importers based in Singapore together with the provider i.e. the Port of Singapore Authority in relation to the determinants of port choice. A gap analysis is adopted to find out the espoused fit between the provider and users on the expectation-perception rankings of the factors. However, due to great difficulties in time constraint, a sample size is taken and companies in Malaysia (they actually trans-ship via Port of Singapore) are not being covered. The survey findings suggest that while the 7 factors investigated are as relevant, in the context, as determinants of port choice in the selection of Port of Singapore, the expectations of the importance of the factors and their relative rankings of importance differ. Furthermore, the gap analysis approach reveals gaps present between users' expectation-perception of the factors an indicates the (in)efficiency of the factors provided whilst the latter 2 gaps provide insights for the existence of such gaps. Finally. my conclusions rest on that factors with the larger gaps in my new (created) index are relatively more urgent for corrective measures. They are factors "Time cost should be low", "A port should be efficient", "Port facilities should be modern and readily available", "A port should have low handling cost", "Port infrastructure should be adequate", "International trade transport service should be high", and lastly, "Frequency of ship calls should be high", in that sequence. However, which corrective approach to adopt has to be further analyzed to see if the expectation-perception of the respective factors are "real" or not. In approaching this project, I have Chapter 1 briefly introducing the functions and importance of ports. Chapter 2 highlighting PSA achievements and the challenges that Singapore Port will face. In Chapter 3, various empirical studies on the determinants of port choice by competent scholars are briefly explored. The next Chapter is on my research methodology, in which the gap analysis approach adopted is explained. A detailed report of the survey findings is presented in Chapter 5. The project finally concludes with Chapter 6, highlighting contributions, recommendations, limitations of study and possible future port research emphasis.