Antecedents, Outcomes, and Consequences of Growth Oriented Ship Acquisition Policy

Abstract

This study examines the causes, manifestations, and consequences of Korea’s shipping policy during a booming market in terms of sectionalism. As the members of the organization who felt or are feeling at risk of being the subject of restructuring more, the organization showed a tendency to focus on short term performance and visible results to gain their boss approval more based on the Shoss et al. (2023). The organization of the Ministry of Oceans and Fisheries (MOF) in Korea experienced a powerless department and frequent organizational restructuring. The MOF encountered significant challenges, including the bankruptcy of Hanjin Shipping. As a result, the MOF sought to assert its presence through aggressive policy measures. Most shipping policies announced in 2001, 2006, and 2010 focused on shipping capacity expansion policies, with very few aimed at shipping capacity adjustment. An overambitious target was announced in 2001 for the controlled fleet to reach 101 million deadweight tonnage (DWT) by 2025. Thanks to these policies, Korea significantly increased its shipping capacity.