A system of trade based on control of strategic trade locations, rather than control of large areas of land or populations, characterized the structure of certain European colonial endeavors in Asia and Africa during the early modern period. These empires focused on establishing fortified sites and commercial centers to facilitate the exchange of goods. The Portuguese presence in the Indian Ocean during the 16th century, for example, exemplifies this model; they aimed to control the spice trade by establishing a series of forts along key maritime routes.
This method of imperial expansion yielded substantial economic advantages for the colonizing powers. By dominating key choke points, they could impose taxes on trade, regulate the flow of commodities, and accumulate wealth without the extensive administrative overhead and military commitments associated with territorial empires. Historically, this approach allowed smaller European nations to exert disproportionate influence in regions with larger and more powerful indigenous states. It highlights the strategic significance of maritime dominance and control over crucial trade routes in shaping global power dynamics.
