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Book part
Publication date: 11 April 2012

Reidar Almås and Jostein Brobakk

Purpose – Dairy has been the backbone of agriculture in regional Norway, and the processing of milk has been dominated by co-operatives owned by milk farmers. During the social…

Abstract

Purpose – Dairy has been the backbone of agriculture in regional Norway, and the processing of milk has been dominated by co-operatives owned by milk farmers. During the social democratic order (1945–1979), productivist agriculture thrived, while a more multifunctional agriculture was developed after 1980. As a measure against overproduction, a quota system was introduced in 1983. The purpose of this study is to see if there are signs of a neo-productivism revival after climate change and other global shocks, like the food crisis, featured prominently on the political agenda.

Design/methodology/approach – The chapter reviews the radical structural changes in Norwegian dairy production since the early 1960s, which reduced the number of milk farms radically from 148,000 in 1959 to almost 16,000 in 2009. According to the Agricultural Agreement between the Norwegian government and the farmers' organisations, the co-operatives are given an important semi-public role as market-price regulators and stock keepers. This Norwegian system may be described as a classical regulated dairy regime. The Norwegian dairy regime has been through several deregulations and re-regulations over the last 20 years, partly forced by internal pressures and partly inspired by liberalisation tendencies abroad.

Findings – After mid-1990s, there has been an increase in the number of joint dairy farms, where individual ownership of land is maintained while herds, buildings and machinery are merged. Three thousand six hundred thirty dairy farmers are now participating in 1,510 joint farming firms, producing 29 per cent of the milk in Norway. This rapid growth of joint farming is transforming the dairy sector in Norway. Analysis has shown that its evolution is closely tied to farmer socio-economic demands, including social benefits, such as increased leisure time, and security during illness. While there has been pressure to increase productivity, the food crisis changed attitudes, making the current policy of import tariffs and subsidies easier to defend.

Originality/value – This chapter shows that neo-liberalism in Norway was not pursued as far as in most other OECD countries, although some deregulation was taking place. Norwegian agricultural policies are still regulating the sector to a substantial degree, with the annual Agricultural Agreement negotiations serving as a centrepiece. Norway has ambitious climate goals, and by 2020 greenhouse gases emissions should be reduced to 30 per cent of the 1990 rate. A further goal is that Norway will be carbon neutral by 2030. As part of the implementation of its climate policy, a White Paper on agriculture and climate change was put forward in May 2009. For Norwegian food production as a whole, a change towards more grazing at the expense of crops would improve carbon storage and reduce the overall use of fertiliser. Such a shift in land use would benefit the dairy sector, in part because of easier access to domestically grown cow feed.

Details

Rethinking Agricultural Policy Regimes: Food Security, Climate Change and the Future Resilience of Global Agriculture
Type: Book
ISBN: 978-1-78052-349-1

Keywords

Book part
Publication date: 2 September 2019

Lisa Suckert

Moralized markets are economic markets in which moral aspects are explicitly used to legitimize decisions. Companies involved in such markets have to cope simultaneously with…

Abstract

Moralized markets are economic markets in which moral aspects are explicitly used to legitimize decisions. Companies involved in such markets have to cope simultaneously with opposing logics: While they strive for economic growth, their existence is bound to their moral integrity, too. This chapter investigates how ecopreneurs manage this inherent conflict of moralized markets. Based on interviews, documentary analysis and sample purchases, an empirical case study highlights the example of well-renowned ecopreneurial dairies distributing their milk via ecologically disreputable discount stores. By looking into the related struggle between moral and economic expectations, the chapter sheds light on one particular coping strategy: The tacit creation and maintenance of separate fields for moral and economic logics. This strategy of fragmentation is referred to as ‘double game.’ The study emanates from competing logics approaches to hybrid organizations by adopting a field theoretical, Bourdieusian perspective. Its explicit focus on opposing logics and on coping strategies that go beyond reconciliation opens up new perspectives for both sustainability and organization studies.

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The Contested Moralities of Markets
Type: Book
ISBN: 978-1-78769-120-9

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Book part
Publication date: 19 September 2006

Egil Petter Stræte and Terry Marsden

Within the agri-food sectors of Western countries, there is an increasing interest in alternative food, i.e., organic, local and regional food, artisanal food, short-supply…

Abstract

Within the agri-food sectors of Western countries, there is an increasing interest in alternative food, i.e., organic, local and regional food, artisanal food, short-supply chains, slow food etc. Innovation in food processing is a significant element both in alternative food and conventional food strategies. Alternatives are based on competition on qualities rather than price. A main question in this chapter is to address how alternative qualities are embedded into food products? This question is explored using a study of two alternative cases within the dairy sectors of Norway and Wales. A model of the different modes of designed qualities of food is developed and discussed to explore the complex issue of quality. We find space and technology especially relevant as dimensions of qualities. Our conclusion is that there is a need to nuance the discussion about quality and food. Firms may develop as hybrids within a conventional vs. alternative perspective, and a strong emphasis on the conventional and alternative as a dichotomy tends to give a static and restrictive perspective.

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Between the Local and the Global
Type: Book
ISBN: 978-1-84950-417-1

Book part
Publication date: 3 December 2018

Ogechi Adeola and Yetunde Anibaba

The predominance of certain adverse factors has historically de-motivated firms seeking to enter into the bottom-of-the-pyramid (BoP) markets due to the perception that BoP…

Abstract

The predominance of certain adverse factors has historically de-motivated firms seeking to enter into the bottom-of-the-pyramid (BoP) markets due to the perception that BoP markets are impoverished and therefore unable to afford their products. However, Prahalad’s seminal study on BoP markets as potential sources of wealth may have influenced the mindset of marketers around the world to view the demographic at the BoP as prodigious product markets waiting to be mined. This chapter, therefore, explores how some multinational corporations (MNCs) may have successfully implemented BoP marketing in Nigeria against the backdrop of diffusion of innovation (DoI) theory. The DoI theory tries to explain how and why new ideas, product, structures, or phenomena (innovations), spread across users and social systems. It posits among other things that there are at least five conditions that define the rate of adoption of an innovation, including relative advantage, compatibility, complexity, trialability, and observability. The authors find in the context of case companies, MTN Communications, Promasidor (Cowbell), and Dufil Prima Foods (Indomie) Nigeria that these elements contribute to building a viable explanation for the wide adoption of their products in the Nigerian BoP markets. Regarding the economic viability of BoP markets, the authors find that MNCs may have to embrace a commitment to long-term profitability, focus on economies of scale as a basis for competitiveness, and realize that in BoP markets, defining a marketing model is a continuous process.

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Bottom of the Pyramid Marketing: Making, Shaping and Developing BoP Markets
Type: Book
ISBN: 978-1-78714-556-6

Keywords

Book part
Publication date: 19 September 2006

Roberta Sonnino and Terry Marsden

Reflecting on recent questions concerning the meaning and implications of food “re-localization”, in this chapter we utilize the concept of “embeddedness” as an analytical tool to…

Abstract

Reflecting on recent questions concerning the meaning and implications of food “re-localization”, in this chapter we utilize the concept of “embeddedness” as an analytical tool to deepen and broaden the investigation of the relationships between food and territory. After pointing to some limitations inherent in the conventional use of the concept of the embeddedness, in the first part of the chapter we suggest a more holistic approach that takes into consideration its implications in the wider political, natural and socio-economic environments in which food networks develop and operate. In the second part of the chapter, we apply this holistic approach to the analysis of three alternative food networks in the South West of England: Cornish clotted cream, Steve Turton meats and West Country Farmhouse Cheddar Cheese. By focusing on the different dimensions of the territorial embeddedness of these networks, we attempt to show that their real distinctiveness comes from their variable ability to reconfigure (“re-localize”) the time-space and the spatial relations around them. Through this actively constructed process of re-localization, we argue, alternative food networks in the South West are signalling the emergence of a new agrarian eco-economy that is vertically (i.e., politically and institutionally) disembedded and horizontally (i.e., spatially and ecologically) embedded. As we discuss in the conclusions, this further complicates the competitive relationships between the alternative and the conventional food sectors, while also providing new insights into the likely sustainability of these networks and their contribution to rural development.

Details

Between the Local and the Global
Type: Book
ISBN: 978-1-84950-417-1

Book part
Publication date: 11 April 2012

Bruce Muirhead and Hugh Campbell

Purpose – This study compares the historical evolution of two particular models of dairy policy: supply management in Canada and deregulated cooperative monopolisation in New…

Abstract

Purpose – This study compares the historical evolution of two particular models of dairy policy: supply management in Canada and deregulated cooperative monopolisation in New Zealand.

Design/methodology/approach – Both cases draw on historical sources and other secondary data.

Findings – Despite national adherence to neoliberalism and global trade reform, both Canada and New Zealand have arguably developed dairy sectors that are operating according to unique local dynamics and with vastly different outcomes. The result is a model in Canada which is potentially more resilient to future shocks than the New Zealand model.

Originality/value – By identifying the contradictory outcomes of local dairy policy development within a neoliberalist context, the chapter is able to explore the potential resilience of each sector in a way that hasn't been achieved before.

Details

Rethinking Agricultural Policy Regimes: Food Security, Climate Change and the Future Resilience of Global Agriculture
Type: Book
ISBN: 978-1-78052-349-1

Keywords

Book part
Publication date: 22 November 2016

Svetlana Saksonova and Irēna Kantāne

This study aims to research examples of mergers and acquisitions of European and Latvian dairy firms, the motivation for these transactions and their results, and to show that…

Abstract

This study aims to research examples of mergers and acquisitions of European and Latvian dairy firms, the motivation for these transactions and their results, and to show that mergers and acquisitions had a positive impact on the development of the dairy industry overall and on specific firms by increasing their competitiveness.

The authors analyze the reasons for, as well as the meaning and impact of, mergers and acquisitions on firm development, focusing on the example of dairy companies in Europe, and subsequently on these processes in Latvian dairy industry.

The study is based on the qualitative and quantitative analysis of firm financial reports as well as reports of the International Dairy Federation, publications of the United Nations Food and Agriculture Organization, annual reports of the International Farm Comparison Network, reports on the dairy industry in the European Union, Latvian Central Union of Dairy Producers, Lursoft firm registry data, as well as reports of the Ministry of Agriculture, and Latvian Farm Consultation and Education center.

The study relies on statistical comparisons of firm operations before mergers or acquisitions as well as during the process and afterwards. This allows identifying the impact of mergers itself on particular firms or the industry, while abstracting from exogenous factors. Mergers and acquisitions in Latvian dairy industry had begun in 2011 and continued until 2013. However, the geopolitical situation in Europe in 2015 had fully offset the positive impact of this process. The deterioration in the geopolitical climate due to developments in Russian–Ukrainian relations has had a big impact on the economic processes affecting the development strategy of dairy firms.

This study finds that often the problems of firm development are related to the lack of financial management especially deficiencies in decision making about firm mergers and acquisitions.

Historical and statistical analysis as well as comparisons of successful experiences in Europe and Latvia allows the authors to conclude that in evaluating decisions on the possibilities for mergers and acquisitions Latvian firms have to be guided by the most important results of this process: possible increases in foreign direct investment and the growth in market share. This will, in turn, give the firms an opportunity to acquire new technologies, reorganize manufacturing processes, and start producing goods with larger value added. Ultimately, this will allow increasing firm values.

Details

Contemporary Issues in Finance: Current Challenges from Across Europe
Type: Book
ISBN: 978-1-78635-907-0

Keywords

Book part
Publication date: 11 June 2021

Reda Emir Rebbah and Ahmed Beloucif

Trading soft commodities has become increasingly challenging with less liquidity in the market, making it very risky and even more costly. Ongoing geopolitical instability…

Abstract

Trading soft commodities has become increasingly challenging with less liquidity in the market, making it very risky and even more costly. Ongoing geopolitical instability, climate change, complex supply chain and fluctuation in demand and supply resulted in a continued price volatility and market uncertainty. Soft commodity trading businesses are under an increasing pressure to adapt to political, economic and social changes. Therefore, this study explores the relationship between brokers and their buyers in the Algerian soft commodities market, with a particular focus on cereals (wheat) products. This study is based on the analysis of secondary data collected from various sources and anecdotal evidences from brokers of soft commodities in Algeria. The overall strategy of Algeria is to limit its reliance on imports. However, political dysfunction coupled with economic instability appears to discourage domestic and foreign investment and inhibit the development of this soft commodities sector. The brokerage firms of soft commodities (wheat, oils, milk powder, rice, coffee, etc.) are operating in a niche market within an environment of intense competition and highly demanding buyers. The striking success of the brokerage function depends on a close relationship formed between the actors (broker, seller and buyer).

Details

Enterprise and Economic Development in Africa
Type: Book
ISBN: 978-1-80071-323-9

Keywords

Book part
Publication date: 6 July 2022

Rehema Kagendo-Kiarie

Ethical marketing has gained popularity in recent years due to the increasing participation in ethical consumerism. Today, consumers are more concerned with the impact of their…

Abstract

Ethical marketing has gained popularity in recent years due to the increasing participation in ethical consumerism. Today, consumers are more concerned with the impact of their purchases on society and the environment. Furthermore, the responsibility of implementing and pursuing ethical marketing falls on marketing firms and professionals.

This chapter's main case study focuses on the food industry, and mini case studies have been used to bring out the ethical misdeeds. The selection of the food industry as the choice case study is based on the fact that it is a global multi-billion industry with long-term health implications for consumers. However, some of the huge profits being reaped by the firms have been associated with unethical marketing practices which have had negative effects on the consumer. The firms that have utilised these unethical marketing practices have provided lessons that their counterparts can take a cue from as they engage in various marketing activities. This chapter has reviewed the scope of ethics in marketing, together with the various concepts and theories that are important in ethical marketing. This chapter further elaborates on the indistinctiness between ethical marketing guidelines and government regulations. Guidelines for achieving ethical marketing have been provided by the setting of ethical marketing standards and subscribing to ethical codes of conduct. Although government regulation is a good tool to ensure that marketing is conducted ethically, what may be defined as legal might not be outright ethical or moral from an individual's point of view. In summary, marketers have to strike a balance between using ethical marketing practices and making profit.

Book part
Publication date: 29 November 2012

Ulf Elg, Janina Schaumann and Pervez Ghauri

This study investigates how firms can influence political actors on emerging markets through their network partners in order to support a market-driving strategy. On emerging…

Abstract

This study investigates how firms can influence political actors on emerging markets through their network partners in order to support a market-driving strategy. On emerging markets, political actors typically play a more central role than is the case on mature western markets. However, most firms do not have the understanding of or influence upon political actors in emerging markets that is required to interact with them directly. Consequently, gaining the support of different network partners will be essential. We discuss how network collaborators may manage political factors in order to influence four different dimensions of the market-driving strategy. We have conducted in-depth case studies of two Swedish firms and their activities in India. Based upon this we develop a conceptual model and discuss how a firm can collaborate with partners in order to influence political actors proactively as well as to reactively reduce harmful effects of political decisions.

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