A Shift Towards a More Environmental Sustainable Business

This research examines to what extent the entrepreneurs in the dry-bulk inland shipping on the Rhine industry are enabled and constrained in the desired shift from policy makers towards a more environmental sustainable business. By doing a desk research, literature review and expert interviews the market of this industry, the business model of the entrepreneurs and the expectations from a policy perspective are examined. A survey is used to find out the opinion of the entrepreneurs in this industry on the topic of climate change with regard to their business. This will help policy makers with designing a more accurate policy. This paper find that a lack of a financial incentive is constraining the entrepreneurs in this industry. The development of LNG engines is enabling them, but the investment to adapt their ship is still too high. The entrepreneurs are active in a market with segmented supply and where the competition is mainly on prices and therefore the costs are most important for the entrepreneurs. The entrepreneurs are aware of the climate problem. They think that the government should subsidize them in the desired shift, but these tend to be inefficient. The government should try to bring together all actors in the industry, in order to develop the 'greener' option LNG and make it a cheaper option. This research leaves room for others to investigate what other important actors in this market think with regard to this topic, such as shippers or the Port of Rotterdam.