• Title/Summary/Keyword: Logistics Hub Strategies

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A Study of China's Condition as the Logistics Hub of Northeast Asia and a Development Strategy (중국의 동북아 물류중심화 현황과 발전전략에 관한 연구)

  • Oh, Moon-Kap
    • Journal of Distribution Science
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    • v.12 no.2
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    • pp.95-103
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    • 2014
  • Purpose - Korea has a better geographical location than other nations in the Northeast Asian region. This means that Korea has an opportunity to become the center of international physical distribution in Northeast Asia. Korea should take advantage of this opportunity by exploring appropriate strategies to achieve this goal, assuming government willingness, with a view to capitalizing on the geographical advantage of the Korean peninsula and constructing a comprehensive physical distribution network system. If we prepare for this scenario, Korea could become the center of international physical distribution in Northeast Asia. Research design, data, and methodology - This study has the purpose of determining how shipping companies form partnerships with third-party logistics providers, and the relevant implications. The survey methods used were personal interview and a questionnaire distributed through e-mail, fax, mail, and telephone. A total of 600 questionnaires were distributed, out of which 285 were returned. Of the collected questionnaires, 10 were excluded because of insufficient content, leaving 275 to be used in the study as available valid samples. The data that was collected from these samples was analyzed using the data coating process and by employing a statistical package program. Results - Flexible policies, administration, and systems will be needed to create better business practices. In this dissertation, first and foremost, the results reveal that in order to become the center of Northeast Asian logistics, Korea must transition into a new paradigm based on the current economic and social systems that have stemmed from bureaucracy, inflexibility, chauvinism, and egalitarianism. Flexible policies, administration, and systems will be required to create better business practices. Domestic logistics corporations need to occupy a strategic logistics hub, create a logistics network, and activate value-added logistics business strategies by ensuring significant manpower and by building a logistics information system to strengthen their competitive edge, creating an improved system. Conclusions - In this dissertation, first and foremost, we point out that in order to become a center of North East Logistics, Korea should change to a new paradigm from the old one based on current economic and social systems that have stemmed from bureaucracy, inflexibility, chauvinism, and egalitarianism. More reasonable business laws, systems, and policies based on market-driven flexibility and transparency should be created. Moreover, social norms and rules should be reasonably established, to accomplish political and social security. Korea has to cultivate a culture of tolerance for foreign companies. This involves a change of paradigm for the development of the capital city and satellite cities. It will take a powerful task force or organization to plan and execute the vision that aims to meet these needs, accomplish the necessary goals, use the appropriate system effectively, and make Korea a key country in the field of Northeast Asian logistics.

Model of Korean Value-added Logistics Cluster (한국형 부가가치물류클러스터 모형에 관한 연구)

  • Kim, Gyeong-Seok
    • Journal of Korean Society of Transportation
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    • v.26 no.4
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    • pp.275-285
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    • 2008
  • The "logistics industry" is recommended as an economic growth power in the future in Korea. In the past, Korea has handled China's freight volume overflow as a transfer hub. However, recently China has been constructing its own port facilities and many mega fleets have been moving to China's ports. As a result, the position of Korea's hub-ports facing a crisis. Now, new strategies are necessary for renovating Korea's logistics industry and international competitiveness. This study proposes a "value-added logistics cluster" as a new strategy. In particular, this study proposes a Korean value-added logistics cluster that maximizes Korea's locational and industrial advantages. Additionally, a model for a value-added logistics cluster is proposed for the rehabilitation of Korea's ports as logistics hubs in Northeast Asia. Many analyses are executed step-by-step to develop a Korean value-added logistics cluster model, such as an analysis of the relationship between the logistics industry and other industries for the definition of cluster components. Lastly, the Korean value-added logistics cluster model is applied to Kwangyang port, which is currently confronted with a crisis because of the decrease of freight volume.

A Study on the Functional Recession of Conventional Airport Logistics Complex and Its Revitalization as an Urban Logistics Distribution Center: The Case of Kimpo International Airport Logistics Complex (수출입 물류거점 이전에 따른 공항물류단지의 기능 변화 -김포공항 물류단지를 사례로-)

  • Lee, Jung-Yoon
    • Journal of the Korean association of regional geographers
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    • v.15 no.2
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    • pp.273-281
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    • 2009
  • Kimpo international airport logistics complex had been the most busiest airfreight gateway in Korea during last century but, after the grand open of Incheon international airport in 2001, it had lost its major role as a national airfreight hub facilities. However, owing to its locational advantages in Seoul metropolitan area. Kimpo airport logistics park still acts like an urban logistics distribution center in these days. Caused by the KAC's profit oriented policies, the Kimpo airport logistics park's public function as an urban distribution center might be curtailed in the future. Therefore, several laws and ordinances related to national and regional logistics strategies should be modified to prevent it.

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An Analysis on the Relationships between Port Selection Factors

  • Lee, Myoun-Soo;Kim, Tae-Won;Jang, Woo-Jun;Kwak, Kyu-Seok;Nam, Ki-Chan
    • Proceedings of the Korean Institute of Navigation and Port Research Conference
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    • v.1
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    • pp.441-446
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    • 2006
  • The world economy has came into unlimited competition with globalization since 1990. Opening markets to the world is in progress through the expansion of world free trade and internationalization of multinational enterprises. In the maritime transportation for world trade, shipping companies pursue "Hub & Spoke" strategy so a port which is not able to be located as a hub port is degraded as a feeder port. To attract shipping companies, it is necessary for existing ports to provide differentiated service. This paper devises marketing strategies for a competitive port after evaluating relation among the factors affecting port selection when a shipping company chooses a port of call. On the basis of determinants derived from existing researches, we study the relation as well as importance among the factors of port selection.

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A Study on the Establishment of Automobile Logistics Cluster in PyeongtaekDangjin Port (평택당진항의 자동차 물류 클러스터 구축방안)

  • Baik, Jong-Sil
    • Journal of Korea Port Economic Association
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    • v.35 no.4
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    • pp.147-168
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    • 2019
  • This paper explores strategies for building an automobile logistics cluster in PyeongtaekDangjin Port, which needs to be developed and operated for automobile related value-added logistics services. The future of Korean automobile exports seems gloomy, but many domestic ports, including PyeongtaekDangjin Port, are struggling to secure a position as automobile ports by expanding port facilities to attract exports and transshipment vehicles. PyeongtaekDangjin Port is currently the best automobile port as it is under good conditions for building an automobile logistics cluster. Ssangyong Motor Co., Kia Motors Corp., Samsung Electronics Co., and LG Electronics Inc., which are located nearby, can secure enough land to build an automobile logistics cluster by developing a port distribution complex in the future. This will promote the sustainable development of PyeongtaekDangjin Port by creating a logistics hub, specifically an automobile logistics hub, which would allow diverse cultures and experiences to respond appropriately to future mobility development.

The Expansion Strategy for the New Route between Korea and Hungary (한-헝가리 간의 신물류 확대전략)

  • Seo, Dae-Sung
    • Journal of Distribution Science
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    • v.12 no.6
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    • pp.59-65
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    • 2014
  • Purpose - The competitiveness of logistics in the 21st century rests on ensuring the efficiency and effectiveness of its local hub. While considering entry into a niche market in local logistics, it is pertinent to note that Budapest is emerging as a hub in EU enlargement in Eastern Europe. Big, small, and medium-sized businesses in Korea entered Hungary in the early 1990s since then, there has been a significant increase in Korean presence, of approximately 130 times. This study aimed to identify the key distribution issues that have emerged in relation to Eastern Europe. Research design, data, and methodology - This study indicates that 33 major Korean companies were located in Hungary, which serves as an out post to enter the European marketplace. However, Korea's exports to Hungary have declined (-32.0% in 2012) because of a loss of competitiveness against multinational corporations, due to factors such as the rise in current local distribution costs and wages. Hungary, on the other hand, through diversification and expansion of foreign trade with the non-EU markets, including Korea, is increasing its exports. Strategies of emerging countries are compared and reviewed in this study, by examining the vicissitudes of Hungary's distribution methods. Results - There are issues regarding Hungary's innovative ability. Hungary has a history of low wages and high skilled labor. However, the outflow of high-quality human resources for high-wages has become more extensive, and this underlines concerns that the CEE's trade hub is moving to neighboring countries. After the European financial crisis in 2010, the Hungarian economy is now developing, because of the IMF's measures, and it is being transformed into a trade surplus nation, while regaining distribution volumes rapidly. However, if there is continued lack of investment, the supply chain is weakened and exports decline amidst competition with TNCs or with China's distribution networks. Conclusions - It is necessary to create a new logistics approach for increasing trade between Korea and Hungary. First, Korean small and medium enterprises (SMEs) should build trust by working with advanced Hungarian talent, and they should expand into state-of-the-art fields instead of being confined to traditional sectors. Second, this study focuses on limiting and lowering their high expectations for success according to foreign direct investment (FDI) inflows and the role in the CEE distribution hub Korea should try to strengthen the distribution hub with its centralized population, using better, more highly educated human resources, thereby sustaining more innovative ability. Further, the positive effects of these measures are manifested in enhanced business on both sides of Hungary, namely, the EU and non-EU nations such as Turkey and emerging markets around Europe, and a better engagement in the core placement of culture and industry. For this, Korea can contribute to, and benefit from, a Hungarian logistics center, for adopting the high-tech cluster systems and commercializing distribution technology such as RFID·USN.

A Study on the Competitiveness of ASEAN and Korea′s Container Ports In International Logistics Strategies (국제물류전략에 있어서 ASEAN과 한국의 컨테이너항만 경쟁력에 관한 연구)

  • Gim, Jin-Goo;Lee, Jong-In
    • Journal of Navigation and Port Research
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    • v.28 no.3
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    • pp.177-184
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    • 2004
  • The purpose of this study is to identify and evaluate the competitiveness of container ports in ASEAN(Association of Southeast Asian Nations) and Korea, which plays a leading role in basing the hub of international logistics strategies at the onset of the 21st century. Its ultimate purpose is to consider the relevant policy-making by comparing the competitiveness of ASEAN and Korea's container ports. This paper adopted the HFP method, which is an empirical analysis that evaluated the port competitiveness by quantifying it a, a qualitative attribute in the aforementioned area, where both ASEAN and Korea vie with each other for increasing container throughput. The results of this study showed that Singapore ranked the first in the subject of study in view of the competitiveness, followed by Busan(2) and Manila(2) as a leading group of the relevant ports in international logistics strategies. This analytic evaluation contributes to the empirical approach applied to policy-making by the HFP method, which is the newest research technique in social science through the comparative study of port competitiveness between ASEAN and Korea.

A Study on Harbor Logistics in China (중국의 항만 물류집중화에 관한 연구 - 상하이항과 장강을 중심으로 -)

  • Lee, Jong- Won
    • Journal of Navigation and Port Research
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    • v.31 no.3 s.119
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    • pp.187-195
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    • 2007
  • China has been the hub of business in Asia' and has developed infra-system and development policy on harbor and logistics. Investment on development of Sanghai port and fang river has been increasing. This development has put importance on logistics in East Asia Additionally, port surrounding of China has been activated Therefore, This paper is going to suggest three measures. First, shipping corporation of Korea will provide different services and network according to the growth of China logistics. Secondly, Korea is to invest with Chinese companies around fang river to freight service industry. Thirdly, it is to construct Yellow sea Rim transport network by Sanghai port and fang river development.

The Actual Condition and Perception of Port Logistics Related Firms According to the Adoption of Busan Free Trade Zone (부산항 관세자유지역 제도의 도입과 그에 따른 항만물류관련업체의 실태와 의식고찰)

  • 이선미;이철영
    • Proceedings of the Korean Institute of Navigation and Port Research Conference
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    • 2003.05a
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    • pp.231-236
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    • 2003
  • Currently, the adoption of FTZ(Free Trade Zone) has been recognized as one of the most important strategies for becoming hub port in the world. For this reason, various policies for successful implementation and adoption of FTZ have been presented, and a special law related this FTZ was actually built in 1999. In the mean time, a port logistics industry is deeply related to the successful implementation of FTZ. However, although many research about FTZ have been conducted, there have been little previous studies about port logistics firms and FTZ. Thus, the aim of this study is to investigate a market structure of firms related to Port Logistics effectively and to analyze the perception of these firms about FTZ in Busan.

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The Role of Electronic Trade Platform in the Information Technology Era

  • Lee, Bong-Soo
    • THE INTERNATIONAL COMMERCE & LAW REVIEW
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    • v.52
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    • pp.47-71
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    • 2011
  • This thesis examines the problems faced in the electronic trade platform for which improvements are necessary, and suggests various ways of overcoming those problems. Practical implications regarding the advancement of Korea's u-TradeHub system are as follows. First, from the technical and legal aspects, to make up for a lack of support systems for spread of users, it is required to promote customized advertising strategies through Ministry of Knowledge Economy and establish a global certification system. Second, document standardization and digitalization should be achieved in advance to make the documents distributed through the e-Trade platform in a seamless manner. Furthermore, an ongoing global network development project should be promoted through the e-Trade platform to achieve standardization. Third, from the operational aspect, it is important to maintain an integrated and systematic relationship with related organizations. Because vertical integration among logistics service providers and GSCM are enabled through the e-Trade platform, it is necessary to standardize global network-based linkage and operating systems.

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