Reach On Railway Freight Competitive Strategy Competed By Highway

The railway and highway transportation must share more freight transportation demand decided by geographical features, economic development, logistics demand of China. The advantages of Railway are large-capacity, all-weather, little affected by the environment. The advantages of highway are high flexibility, door to door transport. The two modes of transport gather in distance and freight properties. Because of the railway Technical and economic characteristics matching to the needs of the community, the railway achieves leaping development over the past decade. The railway freight flow share rate reduces year by year along with the national economy enters into the "new normal" phase. Therefore, it has already been urgent important issue for the Railway freight how to adapt to the "new normal", develop effective strategies, enhance its own competitiveness and occupy more market share.The article main contents include development Status of railway freight, characteristics of railway freight, characteristics of highway, business environment, technical and economic characteristics and the impact of competition between the railway and highway. The railway freight flow can be Quantitative Forecasted influenced by GDP, Industrial added value and highway freight flow, which is the basement of developing strategies. (1) client, transport companies and transportation manager are freight market stakeholders; their main goals are to maximize their own interests.(2) Based on relations of stakeholders’game, a Stackelberg game model contained a leader and two followers, which can be solved by the best-response dynamic algorithm.(3) At last, the case is applied for Verifying the Stackelberg game model and best-response dynamic algorithm, which is influenced by four Incentive Strategies included time, price, safety and service quality. Then, according to the case, the Suggestions is provided for the railway turning into Modern Logistics.