An empirical analysis of the critical selection criteria of liner operators: The perspective of freight forwarders

This empirical paper identifies the critical factors influencing ocean container carriers' selection and examines the impact of the influential factors on the competitiveness of ocean carriers from the freight forwarders' perspectives. Data for the study was collected from 105 freight forwarding organisations. The significant factors influencing the competitiveness of ocean carriers were identified using structural equation modelling. Results indicated that the factors affecting the competitiveness of ocean carriers are schedule reliability, document accuracy, service quality, freight rate, door-to-door service and environment. This paper also proposes a model that shows the direct effects of the influential factors on the competitiveness of the ocean carriers. The model validates the competitiveness of ocean carriers from the freight forwarders' perspective. The understanding of these factors is paramount to the liner shipping companies because it shall enable the liner shipping companies to formulate relevant strategies to attract freight forwarders in patronising their shipping services.