Northern sea route as an emerging option for global transport networks: a policy perspective

Abstract

The Northern Sea Route (NSR) is an emerging alternative route to the Suez Canal; however, inconclusive research exists on its benefits and viability. This paper uses a two-stage Delphi approach to collect qualitative data from experts, on what actions Nordic countries (Nordic countries are Denmark, Norway, Sweden, Finland, and Iceland, as well as the Faroe Islands, Greenland, and Åland (Nordic Co-operation, 2020)) can undertake to prepare themselves to enter NSR and capture potential benefits deriving from trading in global transport networks. By conceptually developing a framework based on first-mover advantage (FMA) and dynamic capabilities theory (DCT), this paper empirically identifies a path to develop capabilities that could allow stakeholders to reduce logistics costs through collaborations in NSR. Our paper has made a twofold contribution, first to literature by linking FMA/DCT in a single framework and elaborating it in a global transportation and logistics context. Second, a practical contribution by identifying how countries along the NSR, and specifically Nordic countries, can capture and maximise its benefits by using the right policy framework.