Vertical cooperation in agricultural production-marketing chains, with special reference to product differentiation in pork

M. den Ouden, Aalt A. Dijkhuizen, Ruud B.M. Huirne and Peter J.P. Zuurbier
Additional contact information
M. den Ouden: Dept. of Farm Management, Wageningen Agricultural University, Hollandseweg 1, 6706 KN Wageningen, The Netherlands, Postal: Dept. of Farm Management, Wageningen Agricultural University, Hollandseweg 1, 6706 KN Wageningen, The Netherlands
Aalt A. Dijkhuizen: Dept. of Farm Management, Wageningen Agricultural University, Hollandseweg 1, 6706 KN Wageningen, The Netherlands, Postal: Dept. of Farm Management, Wageningen Agricultural University, Hollandseweg 1, 6706 KN Wageningen, The Netherlands
Ruud B.M. Huirne: Dept. of Farm Management, Wageningen Agricultural University, Hollandseweg 1, 6706 KN Wageningen, The Netherlands, Postal: Dept. of Farm Management, Wageningen Agricultural University, Hollandseweg 1, 6706 KN Wageningen, The Netherlands
Peter J.P. Zuurbier: Dept. of Farm Management, Wageningen Agricultural University, Hollandseweg 1, 6706 KN Wageningen, The Netherlands, Postal: Dept. of Farm Management, Wageningen Agricultural University, Hollandseweg 1, 6706 KN Wageningen, The Netherlands

Agribusiness, 1996, vol. 12, issue 3, 277-290

Abstract: Optimization of individual stages within a production-marketing chain (PMCh) may cause a suboptimal result of the PMCh as a whole. Market imperfections and conflicting interest may be the causal factors. Although vertical integration is often mentioned as the conventional solution, certain disadvantages and the large scale differences in agricultural PMChs make vertical cooperation a more appropriate alternative. Moreover, specific characteristics of agricultural food chains and changing market circumstances, including increased interest in the quality of products and production processes, justify renewed attention to vertical cooperation and product differentiation in agriculture. Current developments in the Dutch pork PMCh and implications on future research are described. © 1996 John Wiley & Sons, Inc.

Date: 1996
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Persistent link: https://EconPapers.repec.org/RePEc:wly:agribz:v:12:y:1996:i:3:p:277-290

DOI: 10.1002/(SICI)1520-6297(199605/06)12:3<277::AID-AGR7>3.0.CO;2-Y

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