Assessment of the dynamics of concentration and competitive positions of the Baltic cruise port system

Objective: This study aims to investigate the degree of concentration and the competitive positions of the Baltic cruise port network.

Methods: A set of 29 Baltic ports are analysed, market concentration is evaluated using the analytical technique of the Herfindahl-Hirschman index, and competitive positions are determined through portfolio analysis based on the Boston Consulting Group matrix from 2000 to 2019.

Results: The Herfindahl-Hirschman index indicates that the Baltic cruise port system is unconcentrated with an average score of 0.11 for the analysed period, suggesting that eight of the twenty-nine ports are the dominant ports in the Baltic. Portfolio analysis results suggest that the hierarchy picture of competitive positions is dynamic and has changed over time. The Baltic cruise port system has a wide range of competitive positions. Kiel and Rostock becoming mature leaders is one of the most relevant changes in competitive positions.

Implications of the research: This study contributes to the literature not only by investigating the competitive positions of the second most important European operational area for cruise ships but also by filling the gap in research on the concentration and competitive strategic positions of Baltic cruise ports. This research allows seaport operators to visualise the position and progress of selected ports and predict the possible future seaport developments.