THE EFFECT OF INDONESIAN TRADER’S BARGAINING POSITION ON SHIPPING EFFICIENCY IN INTERNATIONAL TRADE; BETWEEN CIF AND FOB
Abstract
This study aims to analyze the effect of bargaining position and level of trader’s understanding within international trade for providing value-added of the goods. The bargaining power in the process of trade negotiation is a key for optimizing the trader’s ability to make more efficient goods delivery. The bargaining power could be found in a trader who particularly has a good level of understanding the term of the trade and the world market analysis. This research was conducted using qualitative method with descriptive analysis. Data collection was carried out by conducting in-depth interview with a semi-structured interview of the experienced source in the scope of international trade. The data analysis technique was an approach developed by Miles and Huberman which includes data reduction, data separation and others after finishing data collection. The data were stated in a pattern or theme. The result of this study shows that good trader’s understanding level could be a bargaining power to affect the negotiation process in achieving more efficient and profitable level of shipping goods.
Keywords
Full Text:
PDFReferences
Asanwana, U., & Efombruh, O. (2018). Understanding FOB and CIF Contracts: And When Property and Risk Pass in These Transactions. SSRN Electronic Journal, (1987), 1–13. https://doi.org/10.2139/ssrn.3278642
Balci, G., Cetin, IB, & Tanyeri, M. (2018). Differentiation of container shipping services in Turkey. Transport Policy, 61 (October 2017), 26–35. https://doi.org/10.1016/j.tranpol.2017.10.004
Caprice, S., & Rey, P. (2015). Buyer Power from Joint Listing Decision. Economic Journal, 125 (589), 1677-1704. https://doi.org/10.1111/ecoj.12241
Cho, W., Ke, J. yu F., & Han, C. (2019). An empirical examination of the use of bargaining power and its impacts on the supply chain financial performance. Journal of Purchasing and Supply Management, 25 (4), 100550. https://doi.org/10.1016/j.pursup.2019.100550
De Marco, A., Cagliano, AC, Mangano, G., & Perfetti, F. (2014). Influencing logistics service providers' efficiency factors in Urban distribution systems. Transportation Research Procedia, 3 (July), 499–507. https://doi.org/10.1016/j.trpro.2014.10.031
Dür, A. (2015). International Trade: Commercial Policy and Trade Negotiations. In International Encyclopedia of the Social & Behavioral Sciences: Second Edition (Second Edi, Vol. 12). https://doi.org/10.1016/B978-0-08-097086-8.71040-3
Feltovich, N. (2019). Is earned bargaining power more fully exploited? Journal of Economic Behavior and Organization, 167 (xxxx), 152-180. https://doi.org/10.1016/j.jebo.2019.09.021
Fredriksson, E., & Rappestad, N. (2016). Reducing Risks and Costs When Working With Incoterms in Purchasing Within the Asia-Pacific Region. Retrieved from http://www.diva-portal.org/smash/get/diva2:940954/FULLTEXT01.pdf
Hirata, E. (2019). Service characteristics and customer satisfaction in the container liner shipping industry. Asian Journal of Shipping and Logistics, 35 (1), 24-29. https://doi.org/10.1016/j.ajsl.2019.03.004
Huang, M., Tu, J., Chao, X., & Jin, D. (2019). Quality risk in logistics outsourcing:A fourth party logistics perspective. European Journal of Operational Research, (3), 855–879. https://doi.org/10.1016/j.ejor.2019.01.049 ICC. (2020). International Commercial Terms 2020.
The IMF. (2019). Big Data on Vessel Traffic: Nowcasting Trade Flows in Real Time. International Monetary Fund, 1–34.
Lee, CY, & Song, DP (2017). Ocean container transport in global supply chains: Overview and research opportunities. Transportation Research Part B: Methodological, 95, 442–474. https://doi.org/10.1016/j.trb.2016.05.001
LPI. (2018). Connecting to Compete 2018. Logistics Performance Index 2018. https://doi.org/10.1596/29971
Miles, M., Huberman, M., & Saldaña, J. (2013). Qualitative Data Analysis: A Methods Sourcebook. In Zeitschrift fur Personalforschung (Vol. 28).
Msakni, MK, Fagerholt, K., Meisel, F., & Lindstad, E. (2020). Analyzing different designs of liner shipping feeder networks: A case study. Transportation Research Part E: Logistics and Transportation Review, 134 (January), 101839. https://doi.org/10.1016/j.tre.2020.101839
Plomaritou, E. (2014). A Review of Shipowner's & Charterer's Obligations in Various Types of Charter. Journal of Shipping and Ocean Engineering, 4, 307–321. Retrieved from http://www.davidpublisher.org/Public/uploads/Contribute/550a993f0831a.pdf
Rahmat Hidayat, RD, Firdaus, MI, Lesmini, L., & Purwoko, H. (2018). Logistics Bonded Center As New Customs Facility Breakthrough for Reducing Logistics Time and Cost. 147 (Grost), 47–58. https://doi.org/10.2991/grost-17.2018.5
Rahmatdin, MN, Rahman, NSFA, & Othman, MK (2017). An Empirical Study on the Current Feeder Shipping Network Patterns among Malaysian Feeder Service Providers. Asian Journal of Shipping and Logistics, 33 (4), 177–188. https://doi.org/10.1016/j.ajsl.2017.12.001
Scarlet, D. (2017). Changing Role of Ship Brokers. Journal of Shipping and Trade, 53 (9), 1689–1699. https://doi.org/10.1017/CBO9781107415324.004
Sundari, R., & Supardi, E. (2015). Determination of Export Price by Incoterms 2010 (Study in PT X Karawang). 14 (2), 119-128.
Tang, CF, & Abosedra, S. (2019). Logistics performance, exports, and growth: Evidence from Asian economies. Research in Transportation Economics, (July), 100743. https://doi.org/10.1016/j.retrec.2019.100743
UNCTAD. (2015). Freight rates and maritime transport costs. United Nations Conference on Trade and Development, 47–64.
https://doi.org/10.18356/d79180de-en
United Nations. (2017). The Carriage of Goods by Sea Conventions Steamship Mutual.
Yaakub, S., Szu, LY, Arbak, S., & Halim, NA (2018). INCOTERMS Selection Factors and Its Effect on Export Performance The International Commercial Terms (Incoterms), introduced and governed by the International Chamber of Commerce (ICC) are standard trade terms used in international and domestic sales contr. 2
DOI: https://doi.org/10.25292/atlr.v3i0.337
Refbacks
- There are currently no refbacks.
Copyright (c) 2020 Advances in Transportation and Logistics Research
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.
Advances in Transportation and Logistics Research
ISSN: 2622-5778 (online)
Published by: Institut Transportasi dan Logistik Trisakti, Jakarta - Indonesia
ATLR by http://proceedings.itltrisakti.ac.id/index.php/ATLR is licensed under a Creative Commons Attribution 4.0 International License.