Reassessing marketing boards as hybrid arrangements: evidence from Canadian experiences

Annie Royer, Claude Menard and Daniel-Mercier Gouin

Agricultural Economics, 2016, vol. 47, issue 1, 105-116

Abstract: In this article, we reassess the role of marketing boards and similar arrangements that have played an important role in numerous agro-food sectors of developed countries over almost a century. Referring to transaction cost economics and to more recent contributions on the allocation of decision and property rights, we interpret these arrangements as hybrid modes of governance. We hypothesize that uncertainty is the leading force pushing toward these organizational solutions and we explore forms of uncertainty at stake and their impact in shaping various types of hybrids. We also explore the role of institutional embeddedness in providing marketing boards and the like their legitimacy. Using numerous examples from Canadian marketing boards, we discuss the benefits and point out flaws of these arrangements. We conclude on the need to assess comparatively the role of these solutions with respect to, for example, a system of bilateral contracts.

Date: 2016
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