scholarly journals THE PROBLEM OF GEOGRAPHICAL DELIMITATION OF AGRI-FOOD MARKETS: EVIDENCE FROM THE BUTTER MARKET IN EUROPEAN UNION

2018 ◽  
Vol 17 (3) ◽  
pp. 85-95 ◽  
Author(s):  
Michał Pietrzak ◽  
Monika Roman
Keyword(s):  
European Union ◽  
Supply Chain ◽  
Market Power ◽  
Spatial Competition ◽  
Secondary Data ◽  
Agricultural Markets ◽  
Food Markets ◽  
Geographical Dimension

Although market is a basic economic category, many studies neglect the need to define it in geographical dimension. It is fundamentally important in agribusiness, where the spatial competition and problem of market power at successive stages of supply chain occur. The aims of the paper are twofold: to discuss the problem of geographical delimitation of agricultural markets and to define geographic limits of the butter market based on Elzinga–Hogarty method. Using secondary data we find that the butter market is international in the scope, and after the abolition of the milk quota, this scope is evolving from European to semi-global.

scholarly journals Understanding the Coordination Mechanisms in a Fair Trade Fruit Supply Chain

2010 ◽  
Vol 3 (2) ◽  
pp. 13 ◽  
Author(s):  
Luciana Marques Vieira ◽  
Luís Kluwe Aguiar ◽  
Marcia Dutra De Barcellos
Keyword(s):  
Supply Chain ◽  
Supply Chains ◽  
Fair Trade ◽  
Secondary Data ◽  
Food Markets ◽  
Environmental Certification ◽  
Food Supply Chains ◽  
The United Kingdom ◽  
Food Retailers ◽  
The Uk

Globalization of food supply chains requires from companies located in developing countries to comply with strict production standards. Hence, there is an increasing need for socio-economic environmental certification worldwide. A way to meet food standards is to create a supply chain management that deals with sequential processes coordinated by the chain leader. In the particular case of agri-food markets, it is common for food retailers to perform the role of chain leaders. This paper describes the configuration and coordination of a certified fair trade fruit supply chain in Brazil servicing the United Kingdom (UK) market. The methods used are interviews with key informants working at different stages of the supply chain in both countries and secondary data analysis. Our findings suggest that retailers in the UK transfer the responsibility of supply chains coordination to their partnering traders in Brazil, who, in turn, are responsible for monitoring information flow and tracking processes. Theoretical contributions are related to the understanding of a complex supply chain because it involves members that have different technologies, skills, language and knowledge about the market. This heterogeneity makes the co-coordinating role even more important.

Estimating market power in the Chinese pork-packing industry: a structural approach

2019 ◽  
Vol 12 (1) ◽  
pp. 57-70
Author(s):  
Hao Lan ◽  
Xiaojin Wang
Keyword(s):  
Supply Chain ◽  
Market Power ◽  
Structural Model ◽  
Market Competition ◽  
Developed Countries ◽  
Food Markets ◽  
Content Type ◽  
Food Market ◽  
Pass Through ◽  
Oligopsony Power

Purpose The purpose of this paper is to investigate market power in the Chinese pork supply chain. The authors aim to explain why a steady rise in prices is observed in the sector, apart from existing evidence on incomplete/asymmetric cost pass-through and concerns of growing concentration and consolidation in the sector. Design/methodology/approach This study uses a new empirical industrial organization model for both oligopoly and oligopsony power to measure the degree of market power exerted on consumers and hog farmers simultaneously. Findings By examining annual panel data across provinces in China, the authors find that both oligopoly and oligopsony powers exist in the pork supply chain. In particular, the authors determine that a higher degree of market power is found to influence prices paid to hog farmers than prices paid by pork consumers. Estimates of key elasticities in the Chinese pork supply chain are also updated based on the structural model estimation and the latest data. Research limitations/implications Due to the lack of data at a more granular level of geography, the authors are only able to estimate market power by three major economic regions. Practical implications The findings provide useful information for future policy analyses of Chinese food markets. First, the pork-packing industry should be of great concern in terms of market power and its influence on consumers’ and farmers’ welfare. It is essential to take into consideration market power in the pork supply chain before making any public policy regarding the pork market. Furthermore, following economic theory and experience from developed countries, large meat packers will eventually vertically control hog farmers given their stronger oligopsony power over the upstream. Vertical integration may be the next important issue in terms of food market competition. Finally, the results may also draw the government’s attention to investigating market competition in all major food markets. Originality/value The empirical evidence draws attention to the issue of food market competition in one of the largest and most important meat-packing markets in China. The authors hope to encourage further discussions on pork and hog market regulations and related public policies.

scholarly journals A Line in Space: Pricing, Location, and Market Power in Agricultural Product Markets

2021 ◽  
Vol 13 (1) ◽  
Author(s):  
Marten Graubner ◽  
Klaus Salhofer ◽  
Christoph Tribl
Keyword(s):  
Spatial Competition ◽  
Spatial Dimension ◽  
Future Research ◽  
Agricultural Product ◽  
Annual Review ◽  
Agricultural Markets ◽  
Publication Date ◽  
Food Markets ◽  
Comprehensive Overview ◽  
History Of

Agricultural economists have a long history of emphasizing and analyzing the spatial dimension of agricultural and food markets. Despite a rich body of literature and important contributions to agricultural and spatial economics, one aspect is frequently disregarded: the oligopsonistic nature of agricultural markets due to spatial competition of neighboring buyers of farm products. This review presents the theoretical foundations of spatial pricing, competition, and location in terms of buyer power and discusses concepts that are relevant for agricultural markets. By providing a comprehensive overview of prior work, we highlight the multifaceted areas of applications to agricultural markets. Additionally, we discuss future research avenues for and challenges of the analysis of spatial competition in agricultural economics. Expected final online publication date for the Annual Review of Resource Economics, Volume 13 is October 2021. Please see http://www.annualreviews.org/page/journal/pubdates for revised estimates.

Spatial Competition in Local Audit Markets and the Fallout on Deloitte from the 2007 PCAOB Censure

2016 ◽  
Vol 36 (2) ◽  
pp. 1-19 ◽  
Author(s):  
Jeff P. Boone ◽  
Inder K. Khurana ◽  
K. K. Raman
Keyword(s):  
Market Power ◽  
Audit Quality ◽  
Spatial Competition ◽  
Spatial Location ◽  
Audit Fees ◽  
Audit Market ◽  
Big 4 ◽  
Audit Fee ◽  
The Face ◽  
Market Leader

SUMMARY We examine whether Deloitte's spatial location in local audit markets affected the firm's adverse fallout—in terms of decreased ability to retain new clients and maintain audit fees—from the 2007 PCAOB censure. We motivate our inquiry by the notion that auditor-client alignment and auditor-closest-competitor distance can help differentiate the incumbent Big 4 auditor from other Big 4 auditors and thus provide market power, i.e., inhibit clients from shopping for another supplier because of the lack of a similar Big 4 provider in the local audit market. Consequently, it seems reasonable that the increase in switching risk and loss of fee growth suffered by Deloitte following the 2007 PCAOB censure will be lower in local markets where Deloitte was the market leader and its market share distance from its closest competitor was greater. Our findings suggest that the decline in Deloitte's audit fee growth rate following the 2007 PCAOB censure was concentrated in the pharmaceutical industry, although the client loss rate appears to have occurred more broadly (across all cities and industries). Collectively, our findings suggest that audit quality issues override auditor market power, i.e., differentiation does not provide Big 4 firms market power in the face of adverse regulatory action. JEL Classifications: G18; L51; M42; M49.

The Use of Mobile Technology in Management and Risk Control in the Supply Chain

2014 ◽  
Vol 22 (1) ◽  
pp. 14-33 ◽  
Author(s):  
Amarolinda Zanela Klein ◽  
Eliane Gomes da Costa ◽  
Luciana Marques Vieira ◽  
Rafael Teixeira
Keyword(s):  
Supply Chain ◽  
Risk Reduction ◽  
Mobile Technology ◽  
Technology Use ◽  
Single Case ◽  
Risk Control ◽  
Mobile Technologies ◽  
Food Markets ◽  
Safety Risks ◽  
Study Results

The use of mobile technologies is important for Supply Chain Management (SCM) because these technologies allow for a ubiquitous flow of information, higher agility and risk reduction in supply chains. In food markets, these issues are particularly relevant due to food safety risks. The main goal of this paper is to analyze the use of mobile technology for management and risk control in the Brazilian beef supply chain, since Brazil is one of the main producers and beef exporters in the world. The research method was a single case study. Results show the actual level of mobile technology use; drivers and barriers to mobile technology adoption and how mobile technology is applied to beef traceability and risk reduction along the chain. The authors propose a framework that links the issues of mobile technology use for SCM and risk control, considering the context of a developing country such as Brazil.

Episodic supply chains at times of disruption

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Christina Öberg
Keyword(s):  
Supply Chain ◽  
Additive Manufacturing ◽  
Supply Chains ◽  
Design Methodology ◽  
Secondary Data ◽  
Transformational Change ◽  
Content Type ◽  
Metal Additive Manufacturing ◽  
Contemporary Technology ◽  
Metal Additive

Purpose Additive manufacturing has been described as converting supply chains into demand chains. By focusing on metal additive manufacturing as a contemporary technology causing ongoing disruption to the supply chain, the purpose of this paper is to describe and discuss how incumbent firms act during an ongoing, transformational disruption of their supply chain. Design/methodology/approach Interviews and secondary data, along with seminars attracting approximately 600 individuals operating in metal additive manufacturing, form the empirical basis for this paper. Findings The findings of this paper indicate how disruption occurs at multiple positions in the supply chain. Episodic positions as conceptualised in this paper refer to how parties challenged by disruption attempt to reach normality while speeding the transformational disruption. Originality/value This paper contributes to previous research by theorising about episodic positions in light of a supply chain disruption. The empirical data are unique in how they capture supply chain change at the time of disruption and illustrate disruptive, transformational change to supply chains. The paper interlinks research on disruption from the innovation and supply chain literature, with contributions to both.

scholarly journals Is there a market power in the Philippine Rice Industry?

2020 ◽  
pp. 97-112
Author(s):  
Maria Hazel Bellezas ◽  
Jose Yorobe ◽  
lsabelita Paduayon ◽  
Prudenciano Gordoncillo ◽  
Antonio Alcantara
Keyword(s):  
Market Power ◽  
Demand Curve ◽  
Secondary Data ◽  
Stabilization Policy ◽  
Milled Rice ◽  
Elasticity Of Demand ◽  
Market Inefficiency ◽  
Time Series Approach ◽  
Structural Econometric Model ◽  
Structural Econometric

Rice, as a staple food for the Filipinos, is widely studied from production to consumption. However, observations of the National Food Authority domestic procurement and price stabilization policy, as well as results of the marketing and market-related studies, still reveal some gaps which call forth for an in-depth investigation and analysis. One ofthese is the possible presence ofmarket power, a market inefficiency in rice. Hence, this study aimed to ascertain the presence of market power in the Philippine rice industry. Secondary data published by the Philippine Statistics Authority from 1990 to 2015 were utilized. A structural econometric model using a time series approach was used in estimating the presence of market power. Results revealed the presence of market power in non-major rice-producing regions for well-milled and regular-milled rice in major rice-producing areas. The more the demand curve becomes inelastic the more the market power becomes apparent. The price elasticity of demand in the non-major rice-producing regions is -0.63 for both well-milled and regular-milled rice and -0.83 and -0.59, respectively, in the major rice producing areas. To minimize, if not solve market power, a substitute staple for rice may be introduced, programs/policies that will encourage more palay traders may be implemented, and farmers may be trained to operate like industry clusters.

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