The Game about Competition and Cooperation in Port Group

Due to adjacent geographical location and hinterland overlap among ports in the port group, the port competition is fiercer and fiercer. This paper establishes a Hotelling game model to analyze the competition and cooperation among ports in the port group based on geographical location, service level and shipping distance. The research proves when service level of port enterprises is same, cooperative strategy can significantly improve the level of the port group's profit. When service level of port enterprises is different, service price of port, market share of port and port's profit are affected by the service level before and after the cooperation, the service level of port enterprise shows a trend of mutual promotion, and the port group develops into the higher service level.