Comparative study of the profitability of TRM in Europe
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2001Comparative study of the profitability of TRM in Europe
The issue of TRM profitability is crucial in an increasingly open European market. Differences in competitiveness between countries obviously affect the distribution of international traffic, and will also increasingly affect cabotage. Although internal profitability is calculated on the basis of total traffic, where domestic traffic dominates, it nonetheless creates advantages or distortions in the European market. Through tariff equalisation, companies can, depending on the case, conquer international markets where low profitability can potentially be offset by more attractive domestic margins. Finally, the better financial health of certain flags may enable them to mobilise resources to acquire companies in countries where the economic health of the road transport sector is less favourable.
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