Ranking and causes of inefficiency of container seaports in South-Eastern Europe

Abstract

Purpose: This paper aims at benchmarking, measuring and identifying major determinants of the technical efficiency of container seaports in the region of South-Eastern Europe, including the Italian ports which directly affect competition in the wider region of East Mediterranean Sea. Methods: The study employs both non-parametric (standard and super-efficiency DEA) models and bootstrapped parametric techniques to provide a more holistic approach and useful insight into the given problem. Results and conclusions: The results indicate the relatively low (below 50 %) average total technical efficiency of the container ports in the study region, which can be attributed to both the lack of managerial skills and scale effects. The findings can help to determine sources of port inefficiency by geographical location and size and adopt best practices to improve the operational performance of container ports. © 2012 The Author(s).