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Article
Publication date: 9 June 2020

Yu Liu and Houjian Li

The purpose of this paper, based on first-hand data from 255 chairmen of planting cooperatives in Sichuan province, is threefold: to understand their social network…

Abstract

Purpose

The purpose of this paper, based on first-hand data from 255 chairmen of planting cooperatives in Sichuan province, is threefold: to understand their social network heterogeneity; to understand the significance for members of marketing innovation in farmers' cooperatives and to understand the effects of chairmen's social network heterogeneity on cooperative marketing innovation.

Design/methodology/approach

The research employs an empirical survey of the chairmen of planting cooperatives in rural Sichuan province. The researchers use the ordinary least squares method to conduct regression on the data and the generalized linear model to process the data and avoid errors in the model setting. In the study, the following two hypotheses are examined: (1) The heterogeneity of chairmen's social networks has positive effects on cooperative marketing innovation; (2) The effects of heterogeneous external and internal social networks on cooperative marketing innovation are different.

Findings

The results show that both external and internal social network heterogeneity has positive effects on cooperative marketing innovation, and the effects of internal heterogeneity are greater than that of external heterogeneity.

Originality/value

This paper contributes to improving the income of farmers, the innovation of farmers' cooperatives and the development of agriculture in China. It provides a new way of managing and serving members to enable the long-term sustainable development of farmers' cooperatives.

Details

Journal of Agribusiness in Developing and Emerging Economies, vol. 10 no. 5
Type: Research Article
ISSN: 2044-0839

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Article
Publication date: 1 March 1972

P. Edgar

Explores the role of boards and co‐operatives in the total marketing system and concludes they should be left to compete openly with the private sector. Examines this with…

Abstract

Explores the role of boards and co‐operatives in the total marketing system and concludes they should be left to compete openly with the private sector. Examines this with regard to the open market in Africa and how it is still, to some extent, a social institution. States that there are three basic categories of tribal groupings in North America, Africa and the South Pacific, these are: individualist; competitive; and co‐operative, these are discussed and explained in detail. Concludes that the study has not questioned the existence of boards and co‐operatives, it has set out their roles in and contributions to, the marketing system, suggesting ways in which both can be made more effective.

Details

European Journal of Marketing, vol. 6 no. 3
Type: Research Article
ISSN: 0309-0566

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Article
Publication date: 13 May 2019

Solomon Bizuayehu Wassie, Hitoshi Kusakari and Sumimoto Masahiro

Using a recent rural farm household survey, the purpose of this paper is to investigate inclusiveness and effectiveness of agricultural cooperatives in Ethiopia.

Abstract

Purpose

Using a recent rural farm household survey, the purpose of this paper is to investigate inclusiveness and effectiveness of agricultural cooperatives in Ethiopia.

Design/methodology/approach

The study employs a logit model to examine inclusiveness and an endogenous switching regression (ESR) model to evaluate the effectiveness of agricultural cooperatives.

Findings

The results show that agricultural cooperatives are less inclusive of land-poor and illiterate households. On the other hand, the estimated results indicate that cooperatives effectively improved agricultural performance and welfare of its member households – i.e. membership in cooperatives increases yield and income by 1.37 quintal/hectare and 1,804 birr, respectively. Moreover, the result shows that marketing cooperatives effectively increased marketed surplus of their members by 34 percent.

Research limitations/implications

The study has important implications regarding the ways to improve the effectiveness and/or inclusiveness of agricultural cooperatives.

Originality/value

While accounting for the collective behavior of cooperatives, this study uses multiple outcome variables in examining the effectiveness of cooperatives in Ethiopia. Furthermore, this paper employs the ESR model and accounts for potential problems in estimating impact using non-experimental data.

Details

International Journal of Social Economics, vol. 46 no. 5
Type: Research Article
ISSN: 0306-8293

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Article
Publication date: 3 September 2018

Jedsadaporn Sathapatyanon, John K.M. Kuwornu, Ganesh Prasad Shivakoti, Peeyush Soni, Anil Kumar Anal and Avishek Datta

The purpose of this paper is to examine the development of rice supply chain in the context of the role of rice farmer organizations and cooperative networks in Thailand.

Abstract

Purpose

The purpose of this paper is to examine the development of rice supply chain in the context of the role of rice farmer organizations and cooperative networks in Thailand.

Design/methodology/approach

Primary data were solicited from the cooperatives and members of cooperatives for this study through questionnaire administration. The questionnaire containing a five-point Likert scale was posed to respondents to ascertain their problems before and after joining the network (for cooperative) and after joining the cooperative (for members). This study employed the independent two-sample student t-test (two-tailed) to test for significant difference in the means of scores regarding the problems of cooperatives before and after the cooperative network, and also to test for significant difference in the means of scores of the problems of members of the cooperatives before and after joining the cooperative.

Findings

The study revealed that key production and marketing problems such as increased transaction costs and market uncertainties confronting the cooperative organizations have been diminished as a result of the networks. Key problems of the members of the cooperatives such as exploitation and opportunistic behavior of traders to whom they sell their products have been reduced as a result of joining the cooperatives.

Research limitations/implications

This paper is not without caveat. The governance structures in relation to leadership, financial arrangements and bargaining power balance have not been analyzed in this study and these are avenues for further research.

Originality/value

To the best of the authors’ knowledge, this study is the first that examined the combined roles of farmer organizations and cooperative networks in developing the rice supply chain in Thailand.

Details

Journal of Agribusiness in Developing and Emerging Economies, vol. 8 no. 3
Type: Research Article
ISSN: 2044-0839

Keywords

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Article
Publication date: 5 June 2017

Biao Zhang, Zetian Fu, Jieqiong Wang, Xiaolin Tang, Yousen Zhao and Lingxian Zhang

Farmers’ selection of vegetable marketing channels directly affects their income and is important to stable vegetable supply and food control. The purpose of this paper is…

Abstract

Purpose

Farmers’ selection of vegetable marketing channels directly affects their income and is important to stable vegetable supply and food control. The purpose of this paper is to investigate the farmers’ selection behavior of vegetable marketing channels, and to determine the key factors which affected farmer’ decision making.

Design/methodology/approach

A total of 191 valid questionnaires were collected from 50 villages in seven main vegetable production districts in Beijing urban areas from September to December 2015, yielding a response rate of 86.8 percent. The multinomial logit model was used for analysis in this study.

Findings

The results revealed that the farmers mainly selected farmers’ market, cooperative, and wholesaler to sell their vegetables, which comprised 96.57 percent of total vegetable sales. Estimation results showed that cooperative, vegetable acreage, price satisfaction, and slow sales were most important factors which influence positively the probability of opting to sell vegetables at a cooperative rather than at the farmer’s market. For wholesalers, gender of the household head and cooperative had most significantly negative effect, and age had a positive impact on farmer’s choice of market channels.

Originality/value

The results and implications obtained in the present study could help policymakers to establish a scientific-based and reasonable policy to encourage vegetable producers to participate in the circulation of vegetables in Beijing and guarantee their income in vegetable supply chain. The suggestions of this study could also be used for the improvement of the vegetable sector in other cities facing similar issues.

Details

British Food Journal, vol. 119 no. 6
Type: Research Article
ISSN: 0007-070X

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Article
Publication date: 5 October 2015

Aaron Grau, Heinrich Hockmann and Inna Levkovych

The business environment of the EU dairy sector has altered drastically because of changes in EU agricultural and trade policy, consumer demand, and innovations since the…

Abstract

Purpose

The business environment of the EU dairy sector has altered drastically because of changes in EU agricultural and trade policy, consumer demand, and innovations since the turn of the millennium. This created new market income opportunities for dairy processors, but also fostered the necessity for investments to access these markets. A literature review sees cooperatives to be disadvantaged at this point, because their organisational structure hinders their access to external financial resources. Confronted with these equity constraints, the purpose of this paper is to investigate how German dairy marketing cooperatives adapted to the new business environment and have been performing from 2000 to 2012.

Design/methodology/approach

An approach combining descriptive data from public sources and financial ratio analysis was used to test hypotheses, derived from Transaction Cost Theory.

Findings

Contrary to assumptions, cooperatives gained market shares on the German dairy market. However, dairy cooperatives managed to overcome the internal equity constraints only partially via mergers, which intensified structural change. Focusing on cost leadership, German cooperatives were not able to successfully diversify their product portfolio and still operate mainly in the fluid, low margins dairy market segments. Frustrated by their diminishing influence on the decision making process in the vastly grown cooperatives, a majority of farmers cancelled their cooperative membership.

Practical implications

Until today an absolute turning point for the cooperative organisational form has not yet occurred, but if cooperatives do not find the means to invest more heavily in the new markets, a slow decline of cooperatives is expected.

Originality/value

The paper contributes to the existing literature on marketing cooperatives by providing insights on the performance of cooperatives through combination of from theory derived assumptions with qualitative and quantitative analysis methods.

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Article
Publication date: 2 November 2015

Zuhui Huang, Vijay Vyas and Qiao Liang

Agriculture sectors in China and India are going through rapid changes. There is a shift in demand pattern, significant changes in the supply chain, greater competition…

Abstract

Purpose

Agriculture sectors in China and India are going through rapid changes. There is a shift in demand pattern, significant changes in the supply chain, greater competition due to opening up of the domestic and external markets and fuller integration with rest of the economy. These developments have impacted traditional agriculture and its institutional underpinning. Latter are being transformed and new institutions are coming into existence. The paper aims to discuss these issues.

Design/methodology/approach

This paper discusses the changes in economy and the agricultural sector, explores institutional responses in terms of various producer organizations in the two countries, and examines their adequacy for the coming phase of agricultural development in China and India.

Findings

The co-existence of various farmer organizations will sustain for a long period in both China and India. Overall, they have benefitted agriculture producers, and more particularly the surplus generating farmers. However, the incompatibility between these and the vast and growing small farm sector is not disappearing. Next set of institutional reforms should address this critical question of “reaching the unreached.”

Originality/value

China and India are the world’s two largest countries in terms of population as well as agricultural population. They share a lot of common features. This paper discusses the changes in agricultural sector, explores institutional responses in terms of farmer organizations, and examines their adequacy for the coming phase of agricultural development in China and India, which has never been seen before.

Details

China Agricultural Economic Review, vol. 7 no. 4
Type: Research Article
ISSN: 1756-137X

Keywords

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Book part
Publication date: 8 November 2003

Barbara K Jones

Since the 1950s, Ocean Spray cranberry growers have typically seen themselves in terms of their membership in the Ocean Spray cooperative rather than as cranberry growers…

Abstract

Since the 1950s, Ocean Spray cranberry growers have typically seen themselves in terms of their membership in the Ocean Spray cooperative rather than as cranberry growers. This association with the cooperative is so powerful that both members and independents alike believe that without Ocean Spray, the cranberry industry would not exist as it does today. Yet, as a way to recoup the losses resulting from the recent cranberry glut, some member-growers have proposed selling the cooperative. Although the sale would have generated a large sum of money for them, growers voted overwhelmingly against it. In order to understand why growers identify so closely with the cooperative, this paper intends to demonstrate how Ocean Spray’s influence transcended its role as a marketing cooperative to that of a significant social institution.

Details

Anthropological Perspectives on Economic Development and Integration
Type: Book
ISBN: 978-0-76231-071-5

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Article
Publication date: 1 July 2019

Chenchi Zhang, Jieqiong Wang, Biao Zhang, Junqi Ding, Zetian Fu and Lingxian Zhang

The selection of marketing channels by vegetable producers directly affects the income of producers and is important for the maintenance of a stable supply of vegetables…

Abstract

Purpose

The selection of marketing channels by vegetable producers directly affects the income of producers and is important for the maintenance of a stable supply of vegetables and food control. The purpose of this paper is threefold: to investigate the cooperative selection of vegetable marketing channels; to identify the factors that influence the selection of marketing channels by professional vegetable cooperatives by comparing emerging and traditional circulation modes; and to solve the problems related to vegetable circulation channels in Beijing.

Design/methodology/approach

A total of 187 valid questionnaires were collected from seven main vegetable production districts in Beijing urban areas from September to December 2017, with a response rate of 89 percent. Binary logistic regression was used for analysis in this study.

Findings

Results revealed that the cooperatives mainly selected large wholesalers, wholesale markets, supermarkets and electronic commerce as their marketing channels for their vegetables. Estimation results showed that among the 18 influencing factors in the four categories, the educational level of the person in charge and some other factors significantly influence the selection of these four distribution channels by the cooperatives.

Research limitations/implications

Due to the lack of time and energy, this paper does not analyze the factors influencing a cooperative’s choice of different e-commerce platforms. If this problem can be solved, it will definitely promote the development of e-commerce in rural areas.

Originality/value

The results obtained in the present study and their implications could help policy makers establish a science-based and reasonable policy to encourage vegetable producers to participate in the new circulation modes of vegetables in Beijing and ensure their income in the vegetable supply chain. This study suggests methods to improve the vegetable sector in other cities facing similar issues.

Details

British Food Journal, vol. 121 no. 7
Type: Research Article
ISSN: 0007-070X

Keywords

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Article
Publication date: 31 March 2020

Valeria Borsellino, Francesca Varia, Cinzia Zinnanti and Emanuele Schimmenti

The purpose of this paper is to verify whether, besides the traditional organisational models mainly implemented by wine-making cooperatives, more modern and hybrid…

Abstract

Purpose

The purpose of this paper is to verify whether, besides the traditional organisational models mainly implemented by wine-making cooperatives, more modern and hybrid organisational forms can be profitably applied within an increasingly competitive wine market.

Design/methodology/approach

The study outlined in this paper deployed a mixed method. Specifically, an archived analysis, a survey and a descriptive case study (including visits, interviews and documentary analysis) were the methodological techniques used in this study, which were “in series but integrated” between themselves. In this paper, the landscape of Sicilian wine cooperatives is described by collating and processing different types of statistical sources, which have been integrated by direct surveys undertaken in 2017. Thereafter, the study focussed on a wine cooperative with a specific business model and a strategic edge by analysing its strategic choices and main structural and governance characteristics. Within this case study, a financial ratio analysis, which was based on 2011-2017 financial statements, was conducted to analyse the profitability, financial balance, capital structure and debt relationships of the wine cooperative.

Findings

The Sicilian wine cooperative system is still predominantly characterised by partial and vertical integration, implemented by cooperatives which elect to sell mainly bulk wine to wine merchants. In such a context, there is scope for other degrees of integration and strategic inter-firm alliances; the latter includes “vertical quasi-integration”. The study demonstrated how the wine cooperative under investigation is overcoming the structural problems of the regional wine sector and why it is retaining such a strategic alliance with one of the most important Italian wine conglomerates. Indeed, it has acquired greater strength and reliability since its collaboration with the aforementioned wine company. Thus, total revenue and the company’s market share of packaged wine have increased. However, there are still margins for improving sales’ profitability.

Research limitations/implications

This study has territorial limitations but Sicilian wine cooperatives generally play an important role in the regional, Italian and European wine industries. As such, this research should be considered as an exploratory study, deserving further investigation into different strategic choices within the wine cooperative system by performing cross-case comparisons. Results may also be useful in orienting cooperative strategies in Sicily (or further afield) to small-to-medium wine cooperatives, often lacking specific abilities relating to the distribution, marketing and selling of their wine. Public agricultural policies may also be enlightened by these research pathways.

Originality/value

The authors contend that their study provides hitherto missing information relating to inter-firm strategic alliances, which wine cooperatives might implement to enhance their competitiveness and survive in the long-run.

Details

International Journal of Wine Business Research, vol. 32 no. 3
Type: Research Article
ISSN: 1751-1062

Keywords

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