Capital structure decisions of globally-listed shipping companies

Debt capital has traditionally been the most important source of external finance in the shipping industry. The access that shipping companies nowadays have to the capital markets provides them with a broader range of financing instruments. As such, this study investigates the determinants of capital structure decisions using a sample of 115 exchange-listed shipping companies. We test whether listed shipping companies follow a target capital structure, and we analyze their adjustment dynamics after deviations from this target leverage ratio. When compared with industrial firms from the G7 countries, shipping companies exhibit higher leverage ratios and higher financial risk. Standard capital structure variables exert a significant impact on the cross-sectional variation of leverage ratios in the shipping industry. Asset tangibility is positively related to corporate leverage, and its economic impact is more pronounced than in other industries. Profitability, asset risk, and operating leverage are all inversely related to leverage. There is only weak evidence for market-timing behavior of shipping companies. Because demand and supply in the maritime industry are closely related to the macroeconomic environment, leverage behaves counter-cyclically. Using different dynamic panel estimators, we further document that the speed of adjustment after deviations from the target leverage ratio is lower during economic recessions. On average, however, the capital structure adjustment speed in the maritime industry is higher compared with the G7 benchmark sample. These findings indicate that there are substantial costs of deviation from the target leverage ratio due to high expected costs of financial distress. Our results have implications for shipping companies’ risk management activities.     

Interdependent,imagined, and embodied mobilities in mobile social space: Disruptions in ‘normality’, ‘habit’ and ‘routine’

This article draws on ethnographic research of everyday mobilities to further understanding of interdependent mobilities practices in relation to normality, habit and routine. The contention here is that a rethinking of ‘normality’, ‘habit’ and ‘routine’ reveals how mobilities are interdependent, imagined and embodied. We draw from Lefebvre's (1991) notions of social space and rhythmanalysis to illustrate the relationality of these aspects of mobility. In doing so, we build on recent theorisations of habit in the field of mobilities, which have opened this concept as a key site for interrogating body–society relationships arguing that both ‘routine’ and ‘normality’ have similar potential in revealing the regulation and control of everyday spaces. We consider everyday embodied engagements with mobile space and how these become normalised, habitualised and routinised. This paper draws from a Research Council UK Energy Programme funded project, ‘Disruption, the raw material for carbon change’, which uses ‘disruption’ as a lens through which to reveal potential for changes in mobility practices that result in carbon reduction. Our exploration of interdependent, imagined and embodied mobilities concurs with existing scholarship in the mobilities field that argues for a rethinking of individualised conceptions of ‘normality’, ‘habit’ and ‘routine’ in seeking an understanding of mobilities that are socially, culturally and materially contingent.     

The determinants of credit spreads changes in global shipping bonds

This paper investigates whether bond, issuer, industry and macro-specific variables account for the observed variation of credit spreads’ changes of global shipping bond issues before and after the onset of the subprime financial crisis. Results show that conclusions as to the significant variables of spreads depend significantly on whether two-way cluster-adjusted standard errors are utilized, thus rendering results in the extant literature ambigious. The main determinants of global cargo-carrying companies’ shipping bond spreads are found in this paper to be: the liquidity of the bond issue, the stock market’s volatility, the bond market’s cyclicality, freight earnings and the credit rating of the bond issue.     

Growth Versus Equity: The Continuum of Pro-Poor Tourism and Neoliberal Governance

This paper proposes a model which integrates tourism in a continuum of poverty alleviation strategies within the antipodes of neo-liberalism and protectionism. It is argued that despite growing evidence in favour of regulative and (re)distributive approaches that in practice come closer to protectionism than neoliberalism, the most influential international organisations, as well as governments worldwide, follow a largely neoliberal laissez-faire approach to poverty alleviation coupled with market-friendly ‘pro-poor’ supplements. This paper argues that tourism per se fits very well into neoliberal interpretations of poverty alleviation, while it tends to aggravate poverty-enhancing inequalities if allowed to operate in a free market environment. Drawing on evidence from current research into poverty alleviation, it is argued that in order to be pro-poor, growth must deliver disproportionate benefits to the poor to reduce inequalities which have been found to limit the potential for poverty alleviation. Hence, it is necessary to shift policy focus from growth to equity, which calls for strong institutions capable of regulating the tourism industry and distributing assets in order to facilitate ‘pro-poor growth’. In this respect, this paper challenges the conventional pro-poor tourism approach with its implicit growth-bias, where strategies are judged as pro-poor if they deliver net benefits to ‘the poor’ even if ‘the rich’ benefit disproportionately. However, through a contextualisation with the reality of politico-economic governance, this paper shows that strategies enhancing equity through shifting benefits towards the poor and, importantly, the poorest, are unlikely to be pursued in practice given policy-makers' neoliberal bias and systemic constraints. Hence, only strategies that are largely in sync with a neoliberal ideology and the ‘World Bank orthodoxy’, such as industry self-regulation or government incentives, have much potential to be implemented on a large-scale basis. More radical approaches such as pro-poor regulation and distribution – the equity side of the continuum – are bound to remain predominantly rhetoric of some United Nations organisations.     

The liner shipping industry and EU competition rules

The literature has always looked at co-operation in the shipping industry with some benevolence. While co-operation benefits the transport industry as it reduces operators, guarantees higher profits and regulates supply, does it also increase the consumers’ surplus, or does it cause lower benefits and eventually inefficiency? In fact, liner shipping is the sole industry that is heavily exempted from antitrust regulations, both in Europe and North America. The paper, moving from the recent decision of the EU regarding the maritime liner sector, and from the EU Commission's Consultation Paper on the review of Regulation 4056/86, aims at investigating in what ways antitrust rules can “monitor and control” the market in a proper way according to the emerging trends of integration in the maritime logistics sector.     

Maritime tourism and terrorism: customer perceptions of the potential terrorist threat to cruise shipping

Maritime terrorism is a neglected area of research in tourism, particularly the use of scenario planning to understand potential threats to the cruise industry. Since the events of 9/11, terrorism, and the threat of terrorism, has become a major concern within the tourism industry. This article analyses tourist perception of perceived terrorist threats given that many ships are American owned. Using the scenario analysis presented by Greenberg, Chalk, Willis, Khilko, and Ortiz, this study suggests that an attack on a cruise ship is a distinct possibility. Indeed, 44% of respondents questioned perceived the possibility of a terrorist attack on a cruise ship to be likely despite the fact that safety and security is seen by the industry as a ‘hallmark’ of cruising. Differences in attitude among potential passengers revealed a high level of confidence in the cruise ship companies. This finding is particularly marked among more experienced cruise ship passengers. However, this did not necessarily preclude the possibility of security measures being improved. All passengers appeared generally resigned to the fact that risk is associated with travel in the twenty-first century and welcomed any efforts by cruise shipping companies to improve safety and security.     

Is the container liner shipping industry an oligopoly?

This paper focuses on the question whether or not the container liner shipping industry is an oligopoly. Although liner shipping literature has been occupied with this question, few authors have examined the market structure of the containerised liner shipping industry. The study of the market form at trade level fills in a gap in the literature. The empirical investigation uses concentration ratios to measure the degree of concentration. The results allow us to determine the degree and type of oligopoly. The conclusion shows that the containerised shipping industry is characterised by increased concentration. Some trade lanes may be characterised as a loose oligopoly; others as a tight oligopoly.     

Systematic risk behavior in cyclical industries: The case of shipping

This study explores macroeconomic and industry-level effects on corporate systematic risk (or beta) for the international shipping industry. We document the extent to which stock market betas fluctuate over time in this asset-intensive and cyclical industry. Moreover, we analyze the fundamental determinants of systematic risk. We find evidence for high levels of systematic risk in shipping stocks, which match the fundamental risk characteristics of the industry (such as high financial and operating leverage). Shipping firms exhibit distinct industry-specific beta dynamics compared to firms from benchmark sectors or the average firm in the S&P 500 index. Changes in both economic conditions and industry-specific risk factors explain large proportions of beta variation in the cross-section of firms and over time.     

The relationship between the ‘push’ and ‘pull’ factors of a tourist destination: the role of nationality – an analytical qualitative research approach

Using qualitative research techniques, this paper explores the relationship between the ‘push’ and ‘pull’ factors of a destination and the influence of nationality on these factors. These relationships were explored for a sample of 103 international tourists to Mauritius. The data were analysed by using (a) thematic analysis and (b) an analysis using the text analysis programme, CatPac. The results indicated relationships between specific motives, cognitive and affective images and it was also found that nationality has a strong influence on these variables. Different motives for visiting Mauritius were found to exist between different national groupings. Implications for use of thematic and content analysis, management of destination, marketing and tourist experiences are provided.     

Releasing Control: Parents on Vacation

The paper examines the family vacation phenomenon by comparing parents on vacation (n = 203) with parents during daily life (n = 246) in terms of two psychological constructs: regulatory focus and parenting style. Results revealed that parents in both samples were similar in their ‘regulatory focus of promotion’ (need for challenges) and ‘parenting styles’ (permissive and authoritarian), but parents on vacation scored lower on both need for security (‘regulatory focus of prevention’) and authoritative ‘parenting style’. The findings suggest that parents, especially mothers, view family vacation as an opportunity to relax and release parental control. The findings' theoretical and practical implications are discussed. Copyright © 2012 John Wiley & Sons, Ltd.     

Corporate social responsibility disclosure: The case of international shipping

Based on practices and legislation in the shipping industry, we construct a corporate social responsibility (CSR) disclosure index for listed shipping companies. We use Markov Chain Monte Carlo (MCMC) techniques for Bayesian inference, and we estimate the marginal effects of firm characteristics on CSR disclosure for each firm. Our results show a positive relationship between CSR disclosure and financial performance for each firm in our international sample. Firm size, financial leverage, and ownership structure are also associated with CSR disclosure. Our findings suggest that a majority of listed shipping companies have integrated CSR practices into their strategic planning and operations.     

On constituting cyclists as ‘hazards’

‘Hazard perception’ has become an integral part of novice driver education and training. Cyclists are often identified as one of many ‘hazards’ to look out for. We speculate that constituting cyclists as ‘hazards’, something that presents a danger or threat, may foster negative attitudes toward cyclists. Rather than accepting cyclists as ‘hazards’, our study examined the conditions that have made it possible to identify cyclists as ‘hazards’ in novice driver preparation. Informed by Michel Foucault's work on discursive practices, the analysis focused on the ‘road safety’ literature (1900–2017), the changing context in which road safety knowledge has been produced and the implications for the production of road space. This literature is important given the authority of scientific knowledge in western societies and its role in managing and governing populations. We found a shift in the middle of the twentieth century from drivers being identified as ‘hazards’ to drivers being identified as perceivers of ‘hazards’. At this time, researchers began studying drivers for their ability to recognise hazards: cyclists were routinely listed among the ‘hazards’ drivers should perceive. Out of 200 articles published on drivers' ‘hazard perception’ since the 1960s, one third categorised cyclists as ‘hazards’. Such research has informed the development and implementation of ‘hazard perception’ tests and, following Foucault, it participates in producing road space and shaping how drivers can think about themselves and other road users. While ‘scientific’ studies constitute cyclists as potential threats or sources of harm they lend authority to negative views of cyclists. We suggest ‘traffic participation’ as a more inclusive approach to driver education and training.     

Responses of air cargo carriers to industrial changes

This study examines how product characteristics, values, inventory cost, shipping charges, shipping distance, and time affect an international firm's choice of air carrier. An individual choice model is constructed by assuming that the shipper in a specific industry chooses the optimal air cargo carrier with the minimal logistics cost. The study further aggregates air cargo demands on different routes for the carriers by considering the spatial distribution of the origin-destination pattern and any temporal changes in the industrial structure. A case study is used to illustrate the application of the proposed model using data from Taiwan Taoyuan International Airport and the industrial economics database in Taiwan. The results show that shippers with high product value and short delivery distance focus on the shipping charge and prefer choosing the air cargo carrier that offers more flights. Further a carrier may achieve a larger market share if its supply attributes match the industrial structure and the product characteristics of the market on the route. Finally, because dynamic changes in the industrial structure and product value have been captured, the results are more accurate than that from the Grey model.     

Effective regulation for sustainable public transport in developing countries

This paper has two key objectives. Firstly, using the findings from case study research undertaken in Colombo (Sri Lanka), Faisalabad (Pakistan) and Dar es Salaam (Tanzania), the paper seeks to demonstrate the importance of an appropriate regulatory framework and effective mechanisms of enforcement for sustainable urban transport systems in developing countries. Secondly, the paper highlights the critical importance of communication and co-ordination between stakeholders (defined here as transport users, providers and regulators) if regulation is to be effective. The views of poor and disadvantaged passenger groups—women, children, the elderly and disabled—are used in the paper to illustrate the importance of transport systems to their livelihoods, such as work, education, health and social pursuits. The case studies suggest that in the context of the failure of both the fully regulated public transport sector and the completely deregulated sector self regulation is a potentially useful alternative. In practice, self regulation has been achieved in the case study locations through the formation of cooperatives or associations of stakeholders such as users and operators.In the conclusion, the paper makes two key points. Firstly, that regulation must be open, honest and effective, but not so detailed or ‘heavy’ that it incites the potential for corrupt practices.Secondly, communication and co-ordination between stakeholders is critical if any form of regulation is to be effective—owners', employees' and passengers' associations have a vital role in this regard, as do Transport Forums consisting of all stakeholders. The participation of stakeholders and real and effective consultation are more important in the case of self regulation of public transport service provision than in other regulatory regimes.     

Relationship between cross-cultural attitudes and attitudes toward the foreign language study of tourism majors: the South Korean Case

Cross-cultural attitudes are gaining more importance as contacts between people from different cultures are increasing in a globalized world. This is particularly the case and relevant for the tourism industry. The major purpose of this study is to investigate the relationship between cross-cultural attitudes and the attitudes toward foreign language within the tourism education context. An empirical study of 482 tourism students in South Korea revealed that cross-cultural attitudes had significant associations with attitudes toward studying a foreign language. Specifically, the ‘integrative attitude’, among the three types of attitudes toward foreign language study, showed the highest relationship with the ‘cross-cultural attitude’, being followed by the ‘intrinsically motivated attitude’. However, the ‘instrumental attitude’ showed no significant relationship. Based on these findings, a need to approach language study from cultural perspectives is emphasized, suggesting a provision of programs and activities inspiring direct and indirect contacts with foreign cultures and people. The integration of cultural aspects of the tourism industry into foreign language study was also discussed in this context. Finally, the study's results were compared with those of previous studies and a tentative generalization that foreign language study has an effect in reducing social distance was proposed.     

Large Protected Areas and Visitor Information Management in Germany

Tourism and recreation in the countryside, particularly in large protected areas, has become a major trend in Germany. However, despite the fact that the political as well as academic debate on the impacts of tourism on the environment has a long tradition in Germany, professional ‘visitor information management strategies’ are not implemented in all nature parks, national parks or biosphere reserves. Apart from the image that is held by the international academic community, Germany started late with modern communication policies in large protected areas with recreation and leisure amenities for general consumption. Learning from international best practice examples (e.g. from Great Britain, Ireland, USA), tourists in large protected areas are seen increasingly as ‘partners’ instead of ‘numbers to be managed’. Topical issues of discussion in this article are centred on the relationship between environmental protection policies and leisure and tourism consumption in Germany, focusing especially on the ‘nature parks’. Contemporary issues and problems concerning tourism demand and environmental protection will be presented and later discussed by the concept of visitor information management as a sustainable response. Furthermore, the dimensions of the ‘hardware’ and ‘software’ of visitor information management will be introduced.     

Segmenting hotel clients by pricing variables and value for money

The main objectives of this study are to answer the following important research questions: (a) Are pricing and value-for-money variables good segmentation bases for clustering hotel clients? (b) What type of tourists can be identified through pricing and value-for-money bases? The main conclusion of this paper is that marketers who apply yield management in their firms should take into account price perceptions of clients and that pricing decisions should be made by properly communicating changes in prices and the reasons behind them. Furthermore, two segments of hotel clients are revealed and analysed in the study: ‘price-elastic’ and ‘price-rigid’ segments.     

Groomed spaces on Jeju Island: A typology of photographic representations for tourism

Jeju Island is a major domestic tourism destination in South Korea and is an increasingly significant international tourism destination, especially for the Japanese and Chinese markets. The Jeju provincial government strongly supports the tourism industry and has, along with the Korean central government, invested heavily in the construction of tourism infrastructure and tourism promotion. There is an abundance of printed literature available to tourists, in the form of brochures and guidebooks, during their stay in Jeju Island. In this study, the types of photographic representations found in that media is identified using a previously developed typology of four ‘spaces’ and four ‘subjects’. Content analysis of a proportional sample of 4115 pages in 225 tourist guidebooks and brochures determined the frequencies of certain ‘types’ of photographs. Further interpretive analysis probes the intentions behind the imagery, if any exist, towards the representational construction of this island's destination image as it appears to the tourist reader. Theoretical issues related to destination image and its representations are explored in light of the findings and implications for tourism policy and management are discussed. Copyright © 2010 John Wiley & Sons, Ltd.     

An overview of 20 years of Chinese logistics research using a content-based analysis

This paper provides an overview of logistics research that has been carried out by Chinese academics in the timeframe 1990–2010 using content-based analysis. It is shown that the study of logistics has evolved quite a bit, but that the core concern of logistics study for China’s researchers is the physical movement of goods, while the primarily focus for international researchers has shifted to supply chain and management. China’s approaches to the geography of logistics are however evolving, but as yet have not embraced the ‘supply chain’ perspectives. Here important future research opportunities can be identified.     

Dark tourism and the cadaveric carnival: mediating life and death narratives at Gunther von Hagens' Body Worlds

Death is universal, yet dying is not. Consequently, within contemporary secularised society, the process of dying has largely been relocated from the familiar environs of the family and community to a back region of medical and death industry professionals. It is argued that this institutional sequestration of death has made modern dying ‘bad’ against a romantic portrayal of a death with dignity, or a ‘good’ death. Moreover, the structural analysis of death reveals issues of ontological security and mortality meaning for the Self. This paper, therefore, adds to that analysis, and specifically examines the construction of mortality meaning within the context of dark tourism – that is, the act of travel to sites of death, disaster or the seemingly macabre. Particularly, the research interrogates the Body Worlds exhibition – a touring attraction of real human corpses – as a reflective space to mediate mortality. In doing so, this paper concludes that dark tourism is a new mediating institution that allows the Self to construct contemporary ontological meanings of mortality and to contemplate both life and death through consumption of the Significant Other Dead.