scholarly journals Asymmetric price transmission and farmers' response in the Czech dairy chain

2021 ◽  
Vol 67 (No. 5) ◽  
pp. 163-172
Author(s):  
Tamara Rudinskaya ◽  
Iveta Boskova
Keyword(s):  
Supply Chain ◽  
Czech Republic ◽  
Market Concentration ◽  
Price Transmission ◽  
Price Theory ◽  
The Czech Republic ◽  
Asymmetric Price Transmission ◽  
Economic Price ◽  
Source Allocation

The standard economic price theory of working with efficient source allocation is being confronted with a series of empirical findings of asymmetric price responses. The objective of the research was to examine whether the distribution of prices within the dairy chain in the Czech Republic was fair and whether farmers progressed in a collective approach to strengthen their position in the supply chain. We used the pre-cointegration and cointegration approach to test for asymmetry in the transmission of farm milk prices throughout the supply chain. Furthermore, we measured the development of market concentration by means of the Herfindahl-Hirschman index and discussed the background of the figures with producer organisation representatives. The results proved there were asymmetric price transmissions. In response, farmers consolidated and concentrated their milk sales. The concentration should not yet be understood as a goal but as a means to the next steps.

scholarly journals Comparison of particular logistic models’ adoption in the Czech Republic

2016 ◽  
Vol 6 (1) ◽  
Author(s):  
Petra Vrbová ◽  
Václav Cempírek
Keyword(s):  
Supply Chain ◽  
Czech Republic ◽  
Lead Time ◽  
Logistic Model ◽  
Logistic Models ◽  
Service Level ◽  
Time Service ◽  
The Czech Republic ◽  
Total Cost ◽  
Challenging Tasks

Abstract Managing inventory is considered as one of the most challenging tasks facing supply chain managers and specialists. Decisions related to inventory locations along with level of inventory kept throughout the supply chain have a fundamental impact on the response time, service level, delivery lead-time and the total cost of the supply chain. The main objective of this paper is to identify and analyse the share of a particular logistic model adopted in the Czech Republic (Consignment stock, Buffer stock, Safety stock) and also compare their usage and adoption according to different industries. This paper also aims to specify possible reasons of particular logistic model preferences in comparison to the others. The analysis is based on quantitative survey held in the Czech Republic.

scholarly journals Complexity, continuity, and strategic management of buyer–supplier relationships from a network perspective

2021 ◽  
Vol 17 (3) ◽  
pp. 189-226
Author(s):  
Martin Pech ◽  
◽  
Drahoš Vaněček ◽  
Jaroslava Pražáková ◽  
◽  
...  
Keyword(s):  
Supply Chain ◽  
Czech Republic ◽  
Supply Chain Management ◽  
Strategic Management ◽  
Theory And Practice ◽  
Supplier Relationships ◽  
The Czech Republic ◽  
Chain Management ◽  
Supplier Networks

PURPOSE: Current research seeks to create an economic model that connects strategic management and network theory. However, most theoretical models do not provide empirical evidence of network relationships’ real structure and attributes. The purpose of the paper is to explore the relation between enterprise characteristics and the characteristics of buyer–supplier relationships in supply chain networks. We are specifically interested in business relationships in networks with respect to the various enterprises’ sizes and sectors of industry. The subject of our research was characteristics, such as network relationship complexity, continuity of relationships, and strategic management in networks. The paper summarizes the results of an empirical study on buyer-supplier networks and accentuates the importance of developing and fostering business collaboration for strategic management. METHODOLOGY: We conducted the questionnaire research in 2016–2019 on 360 enterprises from the Czech Republic. We selected the research sample based on the non-probability purposive sampling method. The members of the research team collected data from an online survey and personal visits to enterprises. The statistical analysis of hypotheses is based on the frequency of managers’ answers. To evaluate results, a two-proportion Z-Test is used for comparing different categories of enterprises according to their enterprise size or prevailing sector of the industry. FINDINGS: The main results show that the differences between enterprises involved in the buyer–supplier structures lie mainly in their size. The survey did not identify differences between industry sectors. The findings show that the complexity of networks in the Czech Republic is not high in terms of the number of suppliers or involvement in many supply networks. The continuity of relationships with partners in buyer–supplier networks is relatively long-term oriented. Long-term partnerships reflect the higher quality of relationships and support future integration. However, large enterprises prefer to build contracts for shorter or longer periods. An overall decentralization strategy characterizes the strategic management of buyer–supplier networks. This finding means dividing competencies such as planning, managing, sourcing, decision-making, transporting (delivering) among more enterprises. IMPLICATIONS FOR THEORY AND PRACTICE: The paper provides an insight into understanding how the buyer–supplier network functions. The theory’s implication builds on the connection of supply chain management and strategic management from the network perspective. Supply chain management is viewed as a part of strategic management, and the synthesis of both research areas opens an innovative view to business theory. ORIGINALITY AND VALUE: The paper’s principal value is the connection between contemporary ideas of strategic management and supply chain management. The synthesis of supply chain management and network approach enhances strategic management theory.

scholarly journals Examination of market structure in selected livestock agri-food chains in the Czech Republic

2012 ◽  
Vol 60 (7) ◽  
pp. 243-258 ◽  
Author(s):  
Lenka Rumánková
Keyword(s):  
Time Series ◽  
Czech Republic ◽  
Imperfect Competition ◽  
Wholesale Price ◽  
Price Transmission ◽  
Data Availability ◽  
Food Chains ◽  
Annual Data ◽  
The Czech Republic

This paper deals with a description of the most important livestock agri-food chains in the Czech Republic and an evaluation of their vertical price transmission. The paper examines the pork, beef, poultry, and milk agri-food chains generally from May 2004 to June 2011. The time series of selected variables contain biweekly, monthly or annual data and, according to data availability, contain a different number of observations within the selected period. The first part of the paper is focused on a descriptive analysis of the selected agri-food chains. Long-term developments and short-term fluctuations in production, supply and consumption, being the main factors which influence price level, are examined in particular. The second part of the paper is focused on vertical price transmission in the selected agri-food chains; specifically, the relationship between farm-gate price and wholesale price is examined and explained. For this purpose multivariate time series analysis is employed, namely the VAR and VECM models. Based on the empirical analysis, it could be concluded that the assumed long-term relationship was not confirmed for all analyzed agri-food chains. On the other hand, imperfect competition was confirmed; even its form may differ among the analyzed agri-food chains. However, generally speaking, one could say that wholesalers have a stronger position than farmers.

scholarly journals The Character of Price Transmission Within Milk Commodity Chain in the Czech Republic

2015 ◽  
Vol 63 (3) ◽  
pp. 887-892 ◽  
Author(s):  
Barbora Dudová ◽  
Věra Bečvářová
Keyword(s):  
Czech Republic ◽  
Time Delay ◽  
Value Added ◽  
Price Transmission ◽  
Cow Milk ◽  
Commodity Chain ◽  
Commodity Chains ◽  
The Czech Republic ◽  
Butter Price ◽  
The Impact

The article is focused on price transmission within milk commodity chain in the Czech Republic. The article distinct on milk products with low value added – cow milk/paper box milk and products with higher value added – cow milk/butter. Price transmission is measured by the coefficient of elasticity of the price transmission (EPT); price transfer is examined in demand as well as supply direction. Next part of the analysis measures price differences (by coefficient determination – R2) in supply direction. Last step in this analysis is the impact of time delay at the price transmission process (measured by R2). The price transmission is asymmetric in the supply direction on both parts of commodity chain (EPT = 0.29 and 0.62), in the demand direction is more symmetric (EPT = 0.31 and 1.02). The assumption of better transfer of positive price changes was confirmed. At the commodity chain of milk/dairy products the time delay is not so much important. With both tested commodity chains there was found higher power of downstream markets, proving demand driven behaviour of these commodity chains, and there was detected oligopsony market structure as well. The data represent monthly prices on both chosen vertical levels in the period of 1/2000–8/2013.

scholarly journals Price formation and transmission along the food commodity chain

2012 ◽  
Vol 60 (4) ◽  
pp. 31-36 ◽  
Author(s):  
Ivana Blažková ◽  
Pavel Syrovátka
Keyword(s):  
Czech Republic ◽  
Market Power ◽  
Time Lag ◽  
Value Added ◽  
Food Prices ◽  
Price Transmission ◽  
Commodity Chain ◽  
Price Changes ◽  
The Czech Republic ◽  
Food Commodity

The article is focused on analysis of price transmission along the wheat commodity chain in the Czech Republic, with the distinction on wheat products with low value added (wheat flour), respectively high value added (wheat rolls). The degree of vertical price transmission is measured to identify potential market failures, because asymmetric price transmission can be the result of existence of market power within the food commodity chain. The data basis is made up from monthly prices on partial markets of the analyzed commodity chain published by Czech Statistical Office and Ministry of Agriculture of the Czech Republic. The monitored time period is from January 2000 till October 2009. The analysis is based on calculation of the price transmission elasticity coefficient (evaluation of price transmission along the chain) and the intensity of dependency of positive and negative inter-market price differences (evaluation whether positive or negative price changes are better transmitted among particular vertical markets). Time lag is tested as well. The assessment of price transmission along the wheat commodity chain confirmed the existence of market power especially on the retail stage and low impact of price changes of farm prices on final consumer food prices.

Impact of foreign trade on market concentration (czech manufacturing industries in 1993 - 1997)

2000 ◽  
Vol 9 (4) ◽  
Author(s):  
Alena Zemplinerová
Keyword(s):  
Czech Republic ◽  
Foreign Trade ◽  
Economies Of Scale ◽  
International Markets ◽  
Market Concentration ◽  
Manufacturing Industries ◽  
The Other ◽  
The Czech Republic ◽  
The Relationship ◽  
The Eu

The paper presents an empirical analysis of the relationship between international trade and market concentration. Market concentration is measured with and without adjustment for foreign trade and results are compared. On most markets the adjustment of domestic supply for exports and imports reduces market concentration. Most concentrated industries as a rule further concentrated and the least concentrated industries further de-concentrated during the period 1993 - 1997. <p>Comparison of market concentration with the EU showed that manufacturing product markets that are in the EU very concentrated and for which economies of scale are typical, are not concentrated in the Czech Republic. This fact can imply a performance that is below the optimal scale and low competitiveness on the international markets. On the other hand, the least concentrated markets in the EU continue to be relatively more concentrated in the Czech Republic. These are often local markets on which foreign trade cannot create competition and should be therefore closely monitored by antimopoly authority.

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