The Great Achievement of Greek-Owned Shipping ( 1946-2017 ) and Keynes ’ Animal Spirits

The Greek-owned Shipping’s great achievement since 1946, time when ~100 liberties acquired, is presented. It lies in the disproportion between a large global fleet and a small national seaborne trade. We also presented the 1300 years historical link between 21 Greek islands, and at least 31 great ship owners; kinship ties created by living in the same island, and... by marriages among fleet owners; the common participation in the ship capital of the ship owner and of his crew (συμπλοιοκτησία = common ownership). The causes shown were 1) international and 2) national: 1) Greeks were cross-traders; the shipping policy of oil companies favored them; the seaborne trade expansion too. 2) Greek-fatherland was occupied for 376 years (1453 1829) by Turks; Greek merchants/ship owners had to work abroad (UK 1800s; NY 1939; Canada 1939); Greeks became skilled in owning and building ships since the time of Themistocles (524 459 BC), who saved Europe from Persians. We showed four additional important factors: 1) Tradition, 2) Time, 3) Strategy and 4) Setoff. Tradition found responsible for 49% (in tonnage terms) of the fleet owned by top (≥1 m dwt) 74 shipping companies, i.e. 146 m dwt in 2016 were traditional. This proved that Greeks—at least 1 out of 2—have a “nontraditional” shipping DNA. We found that in May, 2009, there were 47 top Greek-owned shipping companies owning 120.5 m dwt and by 2016 they were 77, owning 299 m dwt! Alfred Marshall’s Law for decreasing cost industries holds here... Finally, we showed the strategy of Greek-owned shipping, which was: “buy used ships—at rock bottom prices—larger and younger than the ones you are about to sell”; “sell/scrap smaller and older ones”. Setoff, as shown, is the innovative element originating in Greek DNA: a subsequent generation frequently forms its own opinion of how the company had to be How to cite this paper: Goulielmos, A.M. (2017) The Great Achievement of GreekOwned Shipping (1946-2017) and Keynes’ Animal Spirits. Modern Economy, 8, 11861210. https://doi.org/10.4236/me.2017.810082 Received: September 14, 2017 Accepted: October 27, 2017 Published: October 30, 2017 Copyright © 2017 by author and Scientific Research Publishing Inc. This work is licensed under the Creative Commons Attribution International License (CC BY 4.0). http://creativecommons.org/licenses/by/4.0/


Introduction
The Greek-owned-shipping consists of ships owned by Hellenes independently of their flag.The share of this fleet to world total continued to grow till early 2017, reaching ~20% in dwt 1 , 4600 Ships, 341.2 m dwt and ~50% share in EU's fleet 2 .
The great achievement-GA lies in the disproportion between the large world Hellenic fleet and the small volume of country's seaborne trade.This accomplished under the following factors-negative and positive: 1) absence of maritime infrastructure at home; 2) slim own capital; 3) erratic "help", or occasional harm, caused by Government; 4) absence of coal, oil and iron-ore; 5) national officers and ratings-possessing long traditional seamanship helped the whole endeavor; 6) the existence of international entrepreneurs with ship-owning tradition/knowhow and skill in owning ships; 7) the use of foreign crews, under favorable terms for ship owners after 1985; and 8) the excellent legal and institutional framework provided at home since 1953.
GA started in 1946-when Greeks bought 106 ships (a total >1 m GRT) from those built for world's Liberty by USA during 2 nd World War.In 1947, Hellenic fleet's share was 1.5% of world.In addition, ~70% of the Greek-flagged fleet destroyed during 2 nd World War; we may say that 1946, is the year of the re-birth of the Hellenic shipping Phoenix.
Academe suggests the building-up of a maritime tradition to nations seeking an exceptional progress in owning ships… This was done by UK.But what happened to UK? Sturmey [1], however, asked: "Why has the tonnage of ships registered in the UK declined from over 45% of the world total (1900) to about 16%?" Four factors he found responsible: changes in economic factors, interference with the competitive process, random factors and the low growth of UK fleet from 1890 to 1960 (=0.6%).UK owned worldwide ~26 m GRT (~11%) in 1970, in 1980 ~27 m GRT (~6.5%) and in 2000 14.6 m GRT (~3%).UK had a sharp fall from 33 m GRT (1976) to 5 m (in 1994).By 2015 reached ~50 m dwt (3.4%).
A critical year for a negative growth by the top 5 global fleets-including Norway 4 and Greek-owned fleet-was 1976.In 1975, the shipping spot market suffered a serious recession, and years 1975-1978, were in depression for all sizes of vessels; moreover, 1977 imposed severe liquidity problems on shipping companies [2].In 1979, the supply of tonnage rose only 2.5%, indicating fleets' growth fall.Moreover, the "Yom Kippur War" (1973)  Brazil: 24 m; total ~599 m dwt 6 .

Paper's Aim
The paper wished to reveal the causes of the Hellenic Shipping great achievement, using data on 74 top (≥1 m dwt) Greek-owned shipping companies- (Table A1)-in end-2016.Particular attention is paid in set off 7 , i.e. the phenomenon of certain members of a shipping family-company to set off to create their own.For this "animal spirits 8 " should prevail, we believe, as set off is a major decision creating high risk.

Paper's Structure
Next is a literature review.Then, the role played by internationalization of shipping in Greek one is examined.Next, we presented the growth of Greek-owned shipping since 1949 and till 2016.Then, we examined the role of tradition.Next, we presented the phenomenon of the increasing size of Greek-owned shipping companies over time.Then, the strategies, applied over time by Greek shipping companies for expansion/renewal are presented; finally, we conclude after presenting analytically the set off in 13 case-studies.
Chrzanowski [10] identified capital concentration in shipping, in a much greater emphasis from 1950 to 1973-than what happened before 2 nd world war 10 .We did that here for 2009-2016 for Greek-owned fleet.
Sletmo and Holste [11] argued that the course of international shipping passed 4 waves: (1 st ) the discoveries of new countries-before industrialization.
Then, the regional sea transport [12] expanded.Moreover, the creation of colonies led to the establishment of sea links with Metropolis.Colonies provided raw materials to metropolitan factories.Before the merchant marine expanded, colonial powers (=UK, Holland, France, Spain, Portugal, Italy and Belgium) developed Navy, as force required to annex colonies.
(2 nd phase): the nations-mentioned above-dominated in seaborne trade, and created and maintained thereafter serious merchant fleets.Dominance over seaborne trade then was equivalent of being the ruler of the then known world: economically and politically.(3 rd phase): the link of ship's flag to owner's nationality became looser.Flag indicates the nation from which a ship derives her nationality, i.e. that of owner.This original order frequently violated 11 .Notable is that "the place where a vessel belongs" (=flag) is not without impact from a variety of issues.Economically, e.g., Greek shipowners argue that ~$800 per day is the cost of the Greek flag to a vessel 12 .
Flag can be envisioned-in a metaphor-as an international… "hotel" for ships.First, this was realized by Americans, who in 1918 used Liberian flag.Svendsen A Stromme [5], The concentration of capital in shipping and the optimum size of shipping companies, Inst.for shipping research, NSE, Bergen.companies choose their location, the same way ships choose their flag...Many nations dreamed to "build"… "hotels" for ships, for obvious benefits (e.g."Marshall Islands")…, and even groups of nations (EU wished to establish "EUROS" in 1989).A number of "parallel" registries 13 -since "1981-1987" crisis-established in Europe (1986) and in Norway (1983).Some called the international "hotels" for ships, "flags of convenience"… becoming targets of ITF (International Transport Federation).
(4 th phase): the separation of "owning" ships from "managing" them... Shipowners are for some time now "independent" from ship operations.Operation is provided by the "3 rd party ship management companies" since 1970s [12] [13] [14] [15] for a fee.Owners, thereafter, paid efforts in finding the required funds, choosing particular vessel to be built or purchased, and selecting shore staff; then all, or part, of ship operations are appointed-over to ship management compa- nies… ("Vafias") 14,15 .This, however, is not a lifestyle shipping, as Greeks, par excellence, live… [15]… The idea to outsource ship operations, economically, is based, on "Economies of scope"… a twin sister of "Economies of scale" 16 .
The shipowner can also have his/her company listed, so that to obtain the funds required, making him/her independent of commercial banks 17 .The difference of a listed from a non-listed shipping company is not without importance, however.One of the objectives of the listed shipping companies is to maximize shareholders' interests, through improved capitalization, when company is finally sold.
Lifestyle ship-owning exists-for us-when owning a ship is understood ipso facto as…managing her too (ownership = management).Moreover, ship-owning is one of the unique professions, we believe, which fits to the character and mental make-up of Greeks.Owner sees ship-owning not as a profession, but as a way to live.Lifestyle ship-owning allows a person to take all relevant decisions personally-(with no board of directors)-to stay small or become great-to create an unbelievable wealth or just the "necessities"-to stay unknown or become famous (and attracting envy)-to work hard…-to create a company, which will be known only by owner's name (e.g.Aristotelis Socrates Onassis).
Success, in lifestyle ship-owning, is personal-the owner has the opportunity 2002) required crews familiar with the ship before they sign on; also the idea that firms must be "schools" appeared in management; so, the need of establishing nautical schools at main sea labor supply centers for officers and ratings (India; Ukraine; Philippines; and elsewhere) emerged.These schools established mainly by the "3 rd party ship management companies", which had to look -anyway-after thousands of officers and ratings for their own account (=economies of scope).
Certain shipping companies established long ago also "crew agencies" in Philippines and elsewhere.Economies of scale exists when a company's vessel increases in size (by replacement or technically), and the cost per ton of cargo transported falls.Economies of scope indicate the way scale can be increased."Economies of scope" appeared in 1992?17   Most shipowners believe that banks give umbrellas in sunshine, and demand them back in raining'!Banks-after a depression-are reluctant to help shipowners in liquidity problems.Shipowners then resort to stock exchanges, proving that "crises create opportunities".
to prove to his enemies, opponents, colleagues-who really is…-making other shipowners to admit him/her to their closed club and allow him/her to marry one of their sons/daughters… (e.g.Onassis; Niarchos).All kinds of ambitions, egoism, and all other human passions, can be satisfied by the lifestyle shipowning-where fame stays… even after death.

The Method Followed
This paper had the underlying ambition to reveal a secret: why Greeks were great in their shipping endeavor?It is the same question that Adam Smith (1723-1790) posed in his inquiry into the nature and causes of the wealth of Nations (1776).Here we have the wealth of nations but from a particular sector: shipping.An indeed small and unimportant nation Greece-apart from its ancient tradition-with no strategic resources and slim seaborne trade and with non-existing own capital etc. how on earth reached and stayed on the 1 st global shipping position?This knowledge surely is useful and to other nations like China and India as well Turkey.Our method was through all along a historical analysis at sector's and companies' level using mainly diagrams and tables and a difficult to find data, spending uncountable time in tracing things out concerning a secret industry, with special emphasis on the last 8 years or so and on protagonists only.This historical model-unlike the established ones-did not leave out nearest present, but connected it to the distant past.These modelswith much economic content-are capable of analyzing changes and situations in the real world that every one suspects, and every one speculates about, but none analyzes them providing convincing figures and names and connecting firms with their entrepreneurs 18 ...

The Great Achievement of Greek-Owned Shipping, 1949-2016
A notable characteristic of Greek-owned shipping is its 1300 years historical link with-all in all-21 islands 19 !The harder the life 20 in an island, the more people go to sea, and the more people become shipowners 21 !This is the original process 18 We wish to thank Marine information services for the data they provided to us.19   Whittaker [21].The geographical position of an island also played role in creating shipowners... Chios (in medieval times) was important place of trade route to Constantinople.Moreover, the deals of foreign rulers benefited Chios, under Genoa's rule for 262 years (1304-1566); Genoa controlled trade and warehouses for mastic, alum, salt and pitch.In 1764 Chios owned 6 ships (having 6× 15 sailors); in by which Greek-owned shipping created.Moreover, kinship ties between people living in the same place multiplied and strengthened.Capital concentration also appeared through marriages among fleet owners... Greeks had sea not only from 3 sides in their country-and all round in their islands-but also in their soul 22 , in their blood… as well in their dreams (Onassis).Notable is Peloponnese, the island of Pelops, (son of Tantalus-King of Lydia), which created important shipowners (from Arcadia; Mani; Sparta; Gortynia; Ilia and Achaia).

The National & International Shipping Environment and Its Role in the Great Achievement of Greek-Owned Shipping
Internationalization is when the nationality of the coefficients of production, of inputs and of services, and of ship's flag, are partly or wholly, different from the nationality of owner [15] [16] [17].Ships-since the time they appeared on seapreferred places (=flags) resulting to lower total costs, as this is also the case of globalization [8] [9].
The rise of seaborne trade of certain countries-orphans, partly or totally, of national shipping-gave space to cross-traders-like the Hellenes 23 .UNCTAD did not realize that to have cargoes, was a necessary, but not a sufficient condition, for developing nations to own ships (rule "40-40-20" of UNCTAD-of "Plenipotentiaries on a code of conduct24 for liner conferences", 1983)… Andros is also a ship-owners' creating island.It started with mulberry, lemon and silk trades.Exports gave push to shipping, and when stopped, Andrians focused on sea transport.After 1774, (year of the "Kuchuk Kainarjae" treaty between Russia and Ottomans), and before 1821, Andrians-and other Greeks-allowed to own ships.Ships built then by 1790.After Greek independence (1830), Andros became a major center of Greek-owned shipping; the nautical centers of "Galaxidi" and "Hydra" faded.Entire families and crews obtained shares in vessels.Moreover, island villages specialized in providing officers.Ship-owning families were very fertile giving birth up to 9 sons-all tentative shipowners!Originally, sons had also the priority over father's business.Mothers were the dominant personalities in Andros as husbands and sons were on board.Choosing freely a flag for one's vessel is an essential right of the shipowner 25 ; but to transport freely other nations' seaborne trade (=cross-trading), is more important, especially for Greeks.This last freedom made Greek-owned shipping independent of the "dwarfish" national seaborne trade.This is the 1stinternational-cause, which worked for the supremacy of the Greek-owned fleet.
This determined also country's external shipping policy all along for centuries till today.Moreover, Greek fatherland was occupied by Turks for 376 years (1453-1829).Greeks had to abandon their country and became merchants 26 and shipowners -two in one-using even Turkish 27 and Russian flags!Greeks-since the time of Themistocles (524 -459 BC)-became skilled in building ships and this was essential for their future development as shipowners!The above are the 2 nd and the 3 rd national causes, which helped Greek shipping supremacy (=cross-trading; immigration).25 Piracy curtailed it.Protectionism also has revived under a new name: "new protectionism".Sometimes bankers or insurers as well as others have a final say in the choice of the flag of a vessel.Modern Economy Greeks-historically-established before 1830s their shipping offices in London and Cardiff: these were then the centers of "Tramp Shipping" 28,29 .Greeks were thus near a unique international "trade exchange" (the "Baltic").Also, Greeks settled where ships could be built at lower prices (UK).Greeks-by necessity-went to New York and Canada in 1939, due to the 2 nd world war in Europe.Greeks returned to Piraeus (after 1957) due to a favorable legal framework provided by Greek state since 1953.Greeks when relocated to Piraeus brought gradually commercial banks with them (1960s 30 ).
Greeks were (are) international, and go (are present) where shipping knowhow, finance, cargoes, and ships-new or 2 nd hand-as well freedom of action and opportunities-can be found… Greeks were at places where also their main competitors were, till tele-communications made location less important.
Greeks, moreover, used to go where other Greeks worked, like Onassis, who stationed at Dracoulis 31 office in London gaining there vital information about ships on sale.
The Greek-owned fleet-nationally-had 3 pillars: 1) the shipowner and the crew had a common origin; 2) the owner and the captain-if not the same person-and the officers/ratings formed a "multi-shared ownership"; and 3) almost all shipping people were relatives one with the other.
Shipping should serve global seaborne trade unhindered on a mere (cost) competition.This ideal has been, at times, wounded, and par excellence nowadays, by Piracy.In 2015, like in 2014, 245 maritime piracy incidents occurred costing to the industry more than $3b 32 .
Essential role for the growth of international shipping played the policy of the 7 oil-companies (=Chevron; Esso; Gulf; Mobil; Texaco; BP and Shell) 33 .These were the main buyers of tanker services.Given that an increase in supply, results in a fall in freight rate… oil companies induced owners to build ships.By so doing increased supply, and at the same time-removed part of the demand from the market 34 ("with one stone killing two birds").The above policy made 28 "Tramp shipping' consists of ships steaming around seeking cargo in various ports-a kind of "ocean taxis".This type of shipping fitted to the character of Greeks and their economic background.

29
Greek people left for England after 1810-and mainly after 1820-being merchants.In 1839 in UK were 21 registered companies belonging to merchants and shipowners from Greece.In 1886, about 7% of the members of "Baltic Exchange" were Greeks.Greeks from 5 islands (Andros, Oinousses, Kassos, Cephalonia and Ithaca) appeared in UK between 1875 and 1900.The Greek shipping offices in UK were: 13  One USA bank scrutinized the finance and marine mortgage framework provided by law 2687/1953, before establishing a branch in Piraeus (1960s).Interested-in were also Japanese shipyards and banks, whose Greeks were their best customers.(not without meaning this %... for a "duopoly game"; Goulielmos et al. [22]).This made oil companies relatively independent of the risk not to find ships in a boom, or pay astronomical sums for, as this has happened.
The above "win-win" policy of oil companies composed of: cargo; this was for charter for the entire life of a newly-built ship (15 -20 years); building finance; this could be secured on long term time charter from a 1 st class charterer, as these were the oil companies; profits-due to economies of scale-attained (e.g.Onassis A); world's shipbuilders welcome Greeks, or even decorated them (e.g.Japan decorated C.M. Lemos in 1965)...; on the other hand, oil companies secured sea transport at lower cost; -say for up to 60% of their needs; oil companies resorted to (volatile) spot market for only a tiny ~7% 35 of their needs… The above practice of oil companies continued till they realized that transporting crude oil is not without a great, and mostly needless 36 , risk; i.e. risk from polluting sea by oil, and the resulting loss of company's prestige, as well paying high compensations of billions of dollars that such event could cause (e.g."Exxon Valdez"; "Torrey Canyon" etc.).Eventually, "oil traders" and "state oil companies" took over much of the global oil transport37 ("Intertanko", 1999) after end-1973.

The Role of Shipping Tradition
Academe argues that "shipping tradition" is the essential prerequisite for a nation to become great in owning ships… Indeed, ship-owning know-how, in such nations, is handed-down from generation to generation.Greek shipowners-fathers tried, and try, so that their children-no matter, nowadays, their sex-to study 38 shipping business management, and/or learn it in site, to take-over Company's management after their death.
Also, most shipowners-fathers undertook to teach their children, having them also under close supervision.There are also cases where husbands of ship-owners' daughters are admitted in company's management by "virtue of their marriage".
Moreover, Greek shipowners seek to make marriages with other fleet-owners, since ship-owning appeared on sea.At the same time prevent marriages of their daughters with "gold-hunters"… Harlaftis ( [18] 2007 with Theotokas [19]) wrote that a "traditional" shipowner is the one who after 2 nd world war (1945) belonged to a 2 nd generation (at least).
Most of these settled in UK-the "UK based" and in NY.A "traditional" owner of a shipping company over many generations, for us, (= "long tradition")-i.e.

35
Surely the % mentioned changed from year to year and the 1/3 own fleet of oil companies was lower after end-1973.36 After all, oil companies were not sea transport companies, and they had no reason to devote scarce funds for a very risky transport department.
going beyond 1919-is the one, who has established a family-or personalmerchant and shipping company in circa 1830s or even before and passed shipping knowhow-fleet-and company-after his death-over to next generation; the 2 nd generation did the same to 3rd, and so on, till the present day.
The "non-traditional" shipowners are "new shipowners", who entered shipping-after 2 nd world war (1945)-coming from other professions-and most of them settled in Piraeus-the "Piraeus-based".The process, by which shipping companies created from 1945 to 2000, shows that more than half (55% out of 144 companies) were established by: ex-merchant marine officers 39%; senior shipping office staff, 28%; and merchants, industrialists and other professionals, 33% [19].
Tradition is important, however, not only for the important "passing over" of shipping management know-how, and fleet, but also because it means to follow today's strategies, tactics and methods by copying the previous generations 39 over the same issues… Moreover, learning is gained from tradition, and leads to cost-leadership.
There are also cases where a generation breaks from tradition, especially when shipowners do not marry ship-owners!Notable is that between 1945 and 2000, 45% out of 144 companies were traditional [19].We found out also that the 49%-in tonnage terms-of the top (≥1 m dwt) 74 companies-in end-2016-was traditional.The traditional companies held ~146 m dwt from ~299 m.So, tradition is responsible for half of the whole Greek-owned shipping between 2009 and 2016.
Worth noting, however, from another point of view, is the fact that 35% of companies are new (one generation), and most of them are in top positions (positions: 4 -7, 11 -12, 15 -16 as shown in Table A1).This confirms that shipping is in the DNA40 of Greeks and the lack of tradition does not prevent half of Greeks from establishing a shipping company one day given the right opportunities and finance!

The Increasing Size of Shipping Companies
As time elapses, not only the size (total dwt) of each shipping company increases, but also the number of top, (owning ≥ 1 m dwt), companies becomes higher 39 We saw companies to have all along steady trends towards only new-buildings or towards only 2 nd hand ships from generation to generation.

Greek-Owned Shipping: Strategies (2016)
Strategy is a set of planned actions for achieving company's vision.Greek-owned shipping companies adopted different strategies during a boom or during a depression or between them (Figure 5).The dominant strategy was, however, to create a competitive advantage through cutting down the total cost of ships (variable and/or fixed).This policy is known in literature as cost-leadership, belonging to generic strategies.
The generic strategies (term due to Porter 43 ) are 3: cost-leadership, service differentiation and service focus.The 1 st seeks to achieve a cost advantage-over rival firms-by e.g.offering services at lower cost.Shipping then for this must find unexploited opportunities for scale, scope, and learning economies.Tradition provides learning, we believe, as mentioned.The 2 nd is not applicable in shipping, while the 3 rd is possible, e.g.specialization in gas carriers, LPGs, or LNGs 44 .
The strategy to grow by buying used tonnage during a shipping depression can reduce fixed cost.This is so as a "rock bottom" price reduces ship's fixed 45 41 Marshall (1920) argued that the "decreasing cost" industries have ∞ elasticity of supply over long periods.So there are no limits to growth in the size of firms-something incompatible with competition...In shipping, however size is compatible with (pure) competition, because each charterer cannot influence total seaborne trade (=demand).In contrast, Supply can be influenced if a shipping company orders a few million dwt, as this happened in 1985 (the Sanko case).thereafter (Table 1).Reduction of total cost leads 46 also to a competitive advantage.
As a result of the above strategies, total fleet either remains stagnant or falls slightly or even increases, because renewal process is carried-out with larger ships.This explains why Greek-owned fleet-during depressions-did not fall, while depressions affect more or less all 47 shipowners.
During booms, the new-building 48 programs may follow economies of scale; so fleet's growth is faster 49 from year to year.This policy brings also an average cost reduction, which provides also a competitive advantage, as well as economies of age, which is important for charterers, and the conformity with latest environmental regulations.New-building programs must be followed, however, by an accurate forecasting of their freight market at the time of delivery... as certain Greek shipowners learned that in the hardest way.
Given that liquidity is a serious factor during a shipping crisis, the years within the boom (2003-2008), are extremely helpful in fleet's subsequent renewal and expansion for the funds they can provide.The reserves built-up during a boom (2003-2008) are proved to be gold during next depression (2009-2017).It goes without saying that exploiting opportunities is not possible without own cash.
In Table 1, we present the purchasing activity of the top 10 maritime nations.As shown, Greece paid $3.750 b to buy 285 used ships.Greeks paid $13.16 m for an average price for the ships they bought, and received $11.84 m for the ships they sold.This $1,320,000 difference per ship was due to either larger size and/or smaller age.Greeks by this strategy killed three birds with one stone: bought cheaper (rock bottom) 50 , larger, younger ships; sold/scrapped older, smaller ones; using funds from the preceding boom"… As far as the asset-playing is concerned (Figure 5), this has also to follow best timing, as all other shipping decisions.It is true that a well-timed sale surpasses 3 yearly profits (from operations).Companies should play with the assets, maximizing profits from all opportunities.The difficult decision, however, is not asset playing, but to know in advance whether time charter or spot will provide the greater profit... Shipowners turned to spot market with all their heart during 2003 to 2008 due to exceptional profits there… but later.

46
We have to compare the cost of a newbuilding and the cost of a similar (type, size and technology) 5-years of age used one, owned by Greeks, offering similar services, to understand this strategy.

47
In 1981-1987 serious crisis Greeks had not as much tonnage in tankers as they had in dry cargoes.The crisis in dry cargoes came with a delay of 2 years (1983) providing time to react.Greeks, as the statistics demonstrate (not shown here), keep today a balance between dry ships and liquid ones.They do not put all eggs in one basket.

49
Onassis realized that fast tonnage growth could not be achieved by using past profits and by buying one used ship at a time (usually small-sized).Fast growth is achieved by using other people's money and by building larger ships-as much as technically possible-in a series of many sister ships.Colocotronis' failure was an example, confirming, however, the anti-Onassis attitude.Onassis was a win-win mind, but most circumstances favored him, unlike Niarchos.50 Our stress is on "rock bottom", as there are many examples where shipowners bought a vessel believing it to be an opportunity…In the 2nd hand ship market there are "singing many Sirens"…Notable that the price index of used ships fell from 500 units (end-2007) to 50 (end-2016) (!) (2000 = 100) (Clarkson's research).Finally, the cost reduction during a crisis is an old recipe followed by almost all Greeks.

The Contribution of the Set off Companies
When the 1 st generation in a family-company is followed by the 2 nd , one should expect some members to form different opinion about how the whole pre-existing scheme had to be… However, "set off" explains the rapid growth of Greekowned shipping better, because the 13 -14 set off companies presented (out of 74) as a case-study, in the last 7 years (2009-2016)… contributed to the fleet ~110 m dwt in 2016.Notable is also that the growth by the set off companies is an opposite action to "concentration" through marriages among fleet-owners 51 , which traditionally appeared.
George Procopiou-a shipowner-argued52 that in Greek shipping families, often, a generation gap opens, and a lack of communication is created.Moreover, it is in the Greek DNA to disagree one with other, even with one's father.
This leads family members to set off after father's death.Moreover, shipping is a fertile ground in creating a different opinion, as there are many crucial issues to decide upon.More important is Procopiou's opinion that each separate compa- Greeks (e.g.Onassis) realized that large fleets are made by using other's people money and by building larger ships in a series of sister ones, than by buying-one at a time-small 2 nd hand ship, after saving last year's profits.
Greeks realized also that Greek Agriculture was inefficient, and that their fatherland lacked coal, oil or iron ore; 21 rockier and poorer islands-through a number of historical coincidences-created a number of at least 31 important shipowners active till this day.In such nations as Greece, for one to become a merchant was obvious; but one then had to become a shipowner to bring his merchandise to markets.This is the way Greek-owned shipping knowhow maintained and created.
Born in an island meant that almost all were relatives; most were known one to the other, and trusted; a shipowner used to marry a ship-owner's daughter; private shares were held by villagers and all together (Captain and crew) owned ships and transported cargo65 .This is the way by which shipping tradition has been created and extended over 5 generations so far.Tradition found as a representative factor to only half (49%) of the tonnage owned by the top (≥1 m dwt) 74 companies we have examined in 2016.
Greeks-mainly through their shipping investment policy-maintained their top position by pursuing economies of scale in new-buildings and capital cost control by building larger sister ships in a series.Greeks also knew best 2 nd hand ship markets: they bought 285 used ships at "rock bottom" prices in 2016, larger and younger, by paying $1,320,000 additional money on average or a total of $376 m extra.They also sold their older and smaller ships at a lower price.So, their fleet did not diminish much, but remained intact or even increased.
In the entire history of Greek-owned shipping-in the past and more frequently after 1945-a set off movement noticed.For Greeks to disagree one with the other is something to expect.It seems that set off provided to certain family-members the freedom they deprived from, and the wings they lacked of, and by adding their animal spirits, they flew high in the sky…Set off companiesmore important for us-progressed faster than the companies they came from and made Greek-owned fleet indeed greater.In 2016 14 set off shipping companies contributed ~110 m dwt to top companies (≥1 m dwt).The company, since 1930s, emerged with Periclis (1892-1979), establishing "Hellenic Lines" (1934-1984).

15 Most
clients use them for crew and technical support.

Figure 3 ,
Figure 3, shows 47 companies owning ≥1 m dwt, which existed in May 2009; among them only 5 companies owned fleets of ≥ 4 m dwt.

Figure 4
Figure 4 shows 77 companies owning ≥ 1 m dwt each in 2016.The number of top companies is 67% higher than that of 2009; the number of companies owning over 4 m dwt were 20 now (owning ~180 m dwt) against 5 in 2009 (owning then 29.4 m dwt)!As shown, 18 companies in 2016 owned more than 5 m dwt each, against 4 in May 2009 42 .The top 46 Greek-owned shipping companies (May 2009) owned 120.54 m dwt (2.62 m on average).In 2016, the 74 top companies owned 298.64 m dwt (4.04 m on average, 1.5 times larger).The top one owned 8.33 m dwt (May 2009) and in end-2016 22.3 m dwt (+267.7%).In end-2016, the average size per company was ~4 m dwt, owning ~39 ships.

51A
practice not abandoned; lately (2014) Nic.Martinos married G. Procopiou's daughter Helen.Onassis and Niarchos married the daughters of St. Livanos.Exceptions are: Athina Onassis, Philippos Niarchos and Odysseus Laskaridis, who did not marry shipowners.2016, 74 top ones owned ~299 m dwt!Capital concentration was a conscious policy of Greek-owned shipping implemented mainly by uniting the fleets through marriages among owners.

Table 1 .
Top 10 shipping powers-plus world, and their purchasing activity, 2016.