This study aims to investigate the relationship between the size of Korean fleet and managerial performance of ship management firms. As it is self-evident is that industries in upstream and downstream are inter-related, managerial performance of ship...
This study aims to investigate the relationship between the size of Korean fleet and managerial performance of ship management firms. As it is self-evident is that industries in upstream and downstream are inter-related, managerial performance of ship management companies in Korea is likely to be affected by the size of national fleet. In this regard, this study analyzes the impact of the Korean fleet size on growth, profitability, leverage and liquidity of ship management firms. Performance of 10 ship management companies for the period 2012-2022 is examined by panel data regressions. The results indicate that the size of national fleet has a positive impact on asset and sales growth of ship management firms. Specifically, the size of Korean-flagged fleet is the most critical factor, while that of foreign-flagged has no significant impact. However, there is no significant impact on other managerial performance indexes. The findings in this study can provide valuable implications for managerial decision-making of ship management companies as well as policy-making for shipping and its related industries.
keywords: Ship management, National Fleet, Managerial Performance, Growth, Korean-flagged fleet