A Theory of Agricultural Marketing Cooperatives with Direct Selling

Maxime Agbo, Damien Rousselière and Julien Salanié

No 1331, Working Papers from Groupe d'Analyse et de Théorie Economique Lyon St-Étienne (GATE Lyon St-Étienne), Université de Lyon

Abstract: We build a theoretical model to study a market structure of a marketing cooperative with direct selling, in which many farmers are members of an agricultural marketing cooperative. They can sell their production either to the cooperative or on a local market. We show that the decision to sell to the cooperative induces an anti-competitive effect on the direct selling market. Conversely, direct selling may create a "healthy emulation" among farmers, leading to more production benefiting the cooperative.

Keywords: marketing cooperative; direct selling; local market; competitive (search for similar items in EconPapers)
JEL-codes: D43 L11 Q13 (search for similar items in EconPapers)
Date: 2013
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ftp://ftp.gate.cnrs.fr/RePEc/2013/1331.pdf (application/pdf)

Related works:
Working Paper: A theory of agricultural marketing cooperatives with direct selling (2013)
Working Paper: A Theory of Agricultural Marketing Cooperatives with Direct selling (2013)
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Persistent link: https://EconPapers.repec.org/RePEc:gat:wpaper:1331

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