Economic Evaluation Model of Seaports’ Performance Outlining Competitive Advantages and Disadvantages
Ports are a significant part of the global and regional cargo supply chain and transport network. Since the performance of ports has a significant impact on the economic growth of their countries, it is necessary to constantly analyse and plan port performance, to anticipate market trends and to improve the ability of a port to withstand the increasing overall competitive pressure. In port performance, not only physical ability to handle the flow of cargo, but also the potential competition for cargo is important. The methods presented in the scientific literature provide with an opportunity to evaluate only the technical efficiency of ports, completely excluding the aspect of financial performance of ports or the prospects for developing competitive advantages. Whereas, financial analyses are not suitable to study port performance.
Therefore, the purpose of this paper is to develop the evaluation model of seaports’ performance that would enable assessing the financial situation of the organisation and determining its position in the market in relation to its competitors. The article analyses the factors of business competitiveness and the methods for their evaluation as well as the theoretical aspects of applying financial analysis. After different methodologies and evaluation models proposed by different authors are analysed, the economic evaluation model of port performance developed by the authors of the present article is presented. By applying this model, the evaluation of the performance of the Baltic seaports is carried out.