Can a proactive approach to environmental challenges prove a competitive advantage in the maritime industry? : the case of the Wilh. Wilhelmsen Group and the car carrier industry

Abstract

Services offered by the world’s ship owners and maritime transportation companies have made free trade possible, and along with the developments in movements of goods across world markets there has been a significant contribution to globalization. Globalization, while integrating world economies, societies and cultures has also blurred the lines of responsibility for environmental damages incurred along the way. The maritime industry has long been hiding behind the fact that it is the least polluting mode of international transportation, and in comparison with alternatives such as truck, rail or air transport, it is. However in today’s increasingly environmentally conscious society where international regulations are also becoming ever stricter, many ship owners are waking up to a new dawn, and shipping players everywhere are noticing theirs is no longer a sufficient strategy. There are three clear strategies for players in the shipping industry to take, they are outlined as follows: • One strategy shows players trying to avoid compliance who then often end up paying costly regulatory charges; • Another strategy is basic compliance but only with the minimum requirements; • The third strategy is to go above and beyond both existing and expected laws and requirements. This thesis is concerned with determining whether or not pursuing the third strategy with regards to the environment, will result in a competitive advantage.