Assignment / Activity 2 - Topic 3

Why do the shipowners choose to use the Flag of Convenience?

Based on my opinion, A flag of convenience is the registration of a ship in a state other than
that of the ship's owners. Vessels registered under convenience flags typically save money
or circumvent rules in the owner's native country. A ship owner will search for a nation with
an open registry or one that allows foreign corporations to register their vessels in order to
do this. Because a ship operates under the regulations of its flag state, vessel owners
regularly register under other flags to take advantage of reduced regulation, lower
administrative expenses, and friendlier ports.