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Article
Publication date: 5 February 2024

Rizka Amalia Nugrahapsari, Abdul Muis Hasibuan and Tanti Novianti

This study aims to investigate the factors influencing the citrus trade in Indonesia, the effects of tariff and non-tariff policies on the industry and the welfare of producers…

Abstract

Purpose

This study aims to investigate the factors influencing the citrus trade in Indonesia, the effects of tariff and non-tariff policies on the industry and the welfare of producers and consumers.

Design/methodology/approach

The research used annual series data from 1991 to 2021 and employed inferential, simulation, and descriptive analyses. The two-stage least squares (2SLS) of 19 simultaneous equations were used to estimate parameters.

Findings

The results indicate that free trade policies and restrictions have influenced the citrus industry, leading to a reduction in Indonesian citrus imports, and increased consumer and producer prices. However, eliminating import tariff policies on citrus from China and import restrictions increased producer surplus while decreasing consumer surplus, government revenue, and total welfare. Therefore, trade policies should be combined with non-trade policies such as citrus region development policies and advancing cultivation technology.

Originality/value

This study provides empirical evidence for the Indonesian government to formulate effective citrus trade and development policies. It emphasizes the importance of carefully considering the impact of trade policy on the citrus industry and the need to implement non-trade policies such as citrus zone development policies and advancing cultivation technology to benefit both producers and consumers.

Peer review

The peer review history for this article is available at: https://publons.com/publon/10.1108/IJSE-02-2023-0148

Details

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

Keywords

Article
Publication date: 8 December 2023

Darwin Carchi, Mercy Orellana, Andrés Martínez and Joselin Segovia

The purpose of this study is to analyze the affordability and sustainability of residential water consumption in Ecuador, a developing country.

Abstract

Purpose

The purpose of this study is to analyze the affordability and sustainability of residential water consumption in Ecuador, a developing country.

Design/methodology/approach

To determine affordability, the authors assess water consumption and its distribution across different income levels of the population in the three main cities: Cuenca, Guayaquil and Quito. The authors then simulate the effects of a pricing policy on sustainability by deriving demand elasticities through a quadratic almost ideal demand system (QUAIDS).

Findings

Results show that Ecuador has low water tariffs with respect to other cities in Latin America, which points to its affordability. However, sustainability might not be guaranteed since consumption is overall higher than the level suggested by the World Health Organization. From an economic point of view, this could be motivated by the low tariffs. Indeed, the simulation of a pricing policy shows that higher prices can significantly reduce demand for most of the sample. However, in low-income households this reduction may compromise vital consumption.

Research limitations/implications

This research has important implications in terms of stimulating the discussion of how water affordability and sustainability can be achieved. For the case study, Ecuador, the results indicate that sustainability may not be guaranteed and that policies need to be designed to encourage it. Another implication is that population income levels should be considered to avoid negative effects for the most vulnerable groups. The main limitations of this study are methodological. First, the QUAIDS model is based on a conditional demand model (Zhen et al., 2013), which does not take into account spending on other goods. Second, data availability is limited and prevents a deeper analysis.

Originality/value

To the best of the authors' knowledge, this is the first study to analyze these issues in Ecuador, a country that recognizes the human right to water at the constitutional level.

Details

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

Keywords

Article
Publication date: 6 May 2024

Sucharita Bhattacharyya, Bibek Ray Chaudhuri, Susmita Chatterjee and Debashis Chakraborty

The Indian pharmaceutical industry currently faces multiple challenges, including rising costs and slowing export growth, which in turn have limited its ability to expand presence…

Abstract

Purpose

The Indian pharmaceutical industry currently faces multiple challenges, including rising costs and slowing export growth, which in turn have limited its ability to expand presence in global canvas. Given the nature of sectoral dynamics, a pharmaceutical firm must undertake huge investments in R&D to introduce product innovation, in turn enhancing market share and sustaining profit streams. The development of novel medicines, confirmed by the granting of patent rights, provides a pharma company edge over its competitors. In addition, presence of innovator firms within the industry invigorates the sectoral value chain and raises efficiency. Hence, it is important to analyze whether granting patent rights enhances the exports of pharmaceutical products in the Indian context.

Design/methodology/approach

The current study explored this question using a simultaneous-equation framework. Specifically, the authors use the methods developed by Davidson and MacKinnon (1993) and Greene (2003) to obtain heteroscedasticity-consistent estimates. The time-series properties of the data were further probed, and robust estimates were used to test the theory. Methods developed by Baltagi (1981) have been used further to refine the authors’ estimations.

Findings

After controlling for relevant variables, it is observed that granting of patents caused a significantly positive impact on pharmaceutical exports. Furthermore, the change in the patent administration regime had a significant impact on patent fillings, which further impacted their exportability. Compared to patents granted patents filed had a higher impact on pharmaceutical exports.

Originality/value

This study attempts to apply the framework developed by Goldstein and Khan (1978) with necessary modifications to suit the context of a developing country. The application of the 3SLS method to estimate the export supply equation for pharmaceutical products is a novel approach to the research question in general and to the Indian context in particular. System autocorrelation and heteroscedasticity tests were performed to refine the results further.

Details

Indian Growth and Development Review, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1753-8254

Keywords

Article
Publication date: 5 February 2024

Yong Liu, Chang-Xue Lin and Gang Zhao

The paper attempts to discuss the optimal pricing decisions under the decentralized and centralized decision and analyze the influence of online reviews and in-sale service on…

Abstract

Purpose

The paper attempts to discuss the optimal pricing decisions under the decentralized and centralized decision and analyze the influence of online reviews and in-sale service on dual-channel supply chain. Finally, the authors design a two-part tariff coordination mechanism.

Design/methodology/approach

To deal with this pricing conflict problems of dual-channel supply chain consisting of dominant manufacturer and a retailer, considering the fact that online reviews and in-sale service are important factors on consumers’ purchase decisions, the authors establish some basic models and exploit them to discuss the optimal pricing decisions under the decentralized and centralized decision and analyze the influence of online reviews and in-sale service on dual-channel supply chain. Finally, the authors design a profit-sharing coordination mechanism.

Findings

The results show that the optimal online direct selling price is positively correlated with product perceived quality obtained from online reviews and negatively correlated with the in-sale service. The traditional retail price is positively correlated with the in-sale service and weakly correlated with online reviews. For the manufacturer and retailer, whether decentralized decision or coordination contract, their profits increase with the increase of the in-sale service in a certain range and quality perceived from spontaneous online reviews. Online reviews and in-sale service are important factors on consumers’ purchase decisions. Positive in-sale services and online reviews can provide consumers with a better shopping experience, thereby promoting their enthusiasm for shopping and improving their quality of life. The two-part tariff coordination mechanism improves the profits of the manufacturer and the traditional retailer, respectively, through the transfer fee.

Originality/value

The proposed approach can well analyze the channel conflicts and pricing problems between retailers and manufacturers with respect to product offline price and online price. The analysis and results can inform decision-making for manufacturers and retailers.

Details

Journal of Business & Industrial Marketing, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0885-8624

Keywords

Article
Publication date: 27 March 2024

Gustavo Anríquez, José Tomás Gajardo and Bruno Henry de Frahan

The purpose of this paper is to describe and analyze the impacts that the recent proliferation of private and overlapping standards is having in the trade of agricultural products…

Abstract

Purpose

The purpose of this paper is to describe and analyze the impacts that the recent proliferation of private and overlapping standards is having in the trade of agricultural products from developing countries.

Design/methodology/approach

In a first stage industry experts in the Chilean fresh fruit trading industry were interviewed to understand the perceived impact that private standards are imposing in the industry. These interviews allowed to identify the market case study, table grapes, the landscape of private standards and their prevalence in different countries. In a second stage, a gravity trade model for trade in table grapes was estimated, with a focus on the more stringent countries identified by experts in the first stage.

Findings

We show evidence that the proliferation of private standards required by large European retailers has diverted trade away from more stringent countries that require more certifications (and into less stringent European markets). We also show that the costs of these additional certifications have been shared by trading partners, via an increase in direct sales, as opposed to consignment (the traditional marketing mode), which is associated with higher prices.

Research limitations/implications

The impacts of the recent proliferation of private and overlapping standards in international trade needs to be better understood both by the legal and economic literature. While the use of private standards has been growing since the 1990s, there is a recent trend of large European retailers imposing their own and overlapping standards that needs to be better understood to inform policy.

Originality/value

While there is a thin literature on the impact of private standards on trade, most of this has studied the effects of the now de facto mandatory GlobalGAP certification. However, there is a recent trend by large European retailers of demanding their own private certifications, together with other already existing overlapping private standards. This study describes and analyzes the impacts of this rather new trend.

Details

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

Keywords

Content available
Article
Publication date: 5 December 2023

Thalis P.V. Zis

This paper focusses on the aftermath of disruptions and the importance of the two largest canals (Suez and Panama), commenting on how during the pandemic the canal fees were…

Abstract

Purpose

This paper focusses on the aftermath of disruptions and the importance of the two largest canals (Suez and Panama), commenting on how during the pandemic the canal fees were lowered. Considering the ongoing efforts to decarbonize shipping, some of the ongoing disruptions will help reach these objectives faster.

Design/methodology/approach

Following a literature review of route choice in shipping, and a presentation of significant disruptions in recent years, the author deploys a simplified fuel consumption model and conduct case study analyses to compare different routes environmentally and economically.

Findings

The results explain why at times of low fuel prices as in 2020, canals provided discounts to entice ship operators to keep transiting these, instead of opting for longer routes. Considering the ongoing repercussions of the pandemic in supply chains, as well as the potential introduction of market-based measures in shipping, the value of transiting canals will be much higher in the coming years.

Research limitations/implications

The main limitation in this work is that the author used the publicly available information on canal tolls, for the different ship types examined.

Practical implications

The envisioned model is simple, and it can be readily used for any ship and route (port to port) combination available, if ship data are available to researchers.

Social implications

It is possible that canal tolls will increase, to account for the additional environmental benefits brought to ship operators.

Originality/value

The methodology is simple and transferable, and the author proposes several interesting research questions for follow-up work.

Details

Maritime Business Review, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2397-3757

Keywords

Open Access
Article
Publication date: 30 April 2024

Qiuqin Li and Xuemei Jiang

This article summarizes the international scientific research output of global forest product models, infers future research trends and provides reference for quantitative…

Abstract

Purpose

This article summarizes the international scientific research output of global forest product models, infers future research trends and provides reference for quantitative analysis and mathematical modeling of Chinese forest product problems, with the aim of contributing to promoting domestic production of Chinese forest products and strengthening international trade competitiveness of forest products.

Design/methodology/approach

In 1999, Joseph Buongiorno, a scholar at the University of Wisconsin in the United States of America, proposed the global forest products model (GFPM), which was first applied to research in the global forestry sector. GFPM is a recursive dynamic model based on five assumptions: macroeconomics, local equilibrium, dynamic equilibrium, forest product conversion flow and trade inertia. Using a certain year from 1992 to present as the base period, it simulates and predicts changes in prices, production and import and export trade indicators of 14 forest products in 180 countries (regions) through computer programs. Its advantages lie in covering a wide range of countries and a wide variety of forest products. The data mainly include forest resource data, forest product trade data, and other economic data required by the model, sourced from the Food and Agriculture Organization (FAO) of the United Nations and the World Bank, respectively.

Findings

Compared to international quantitative and modeling research in the field of forest product production and trade, China's related research is not comprehensive and in-depth, and there is not much quantitative and mathematical modeling research, resulting in a significant gap. This article summarizes the international scientific research output of global forest product models, infers future research trends, and provides reference for quantitative analysis and mathematical modeling of Chinese forest product problems, with the aim of contributing to promoting domestic production of Chinese forest products and strengthening international trade competitiveness of forest products.

Originality/value

On the basis of summarizing and analyzing the international scientific research output of GFPM, sorting out the current research status and progress at home and abroad, this article discusses potential research expansion directions in 10 aspects, including the types, yield and quality of domestic forest product production, international trade of forest products, and external impacts on the forestry system, in order to provide new ideas for global forest product model research in China.

Details

Forestry Economics Review, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2631-3030

Keywords

Article
Publication date: 13 February 2024

Federico Lanzalonga, Roberto Marseglia, Alberto Irace and Paolo Pietro Biancone

Our study examines how artificial intelligence (AI) can enhance decision-making processes to promote circular economy practices within the utility sector.

Abstract

Purpose

Our study examines how artificial intelligence (AI) can enhance decision-making processes to promote circular economy practices within the utility sector.

Design/methodology/approach

A unique case study of Alia Servizi Ambientali Spa, an Italian multi-utility company using AI for waste management, is analyzed using the Gioia method and semi-structured interviews.

Findings

Our study discovers the proactive role of the user in waste management processes, the importance of economic incentives to increase the usefulness of the technology and the role of AI in waste management transformation processes (e.g. glass waste).

Originality/value

The present study enhances the circular economy model (transformation, distribution and recovery), uncovering AI’s role in waste management. Finally, we inspire managers with algorithms used for data-driven decisions.

Details

Management Decision, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0025-1747

Keywords

Article
Publication date: 8 January 2024

Faris Alshubiri, Samia Fekir and Billal Chikhi

The present study aimed to examine the effect of received remittance inflows on the price level ratio of the purchasing power parity conversion factor to the market exchange rate…

Abstract

Purpose

The present study aimed to examine the effect of received remittance inflows on the price level ratio of the purchasing power parity conversion factor to the market exchange rate in 36 developed and developing countries from 2004 to 2020.

Design/methodology/approach

The panel data conducted a comparative analysis and used panel least squares, regression with Driscoll-Kraay standard errors of fixed effect, random effect, feasible generalised least squares and maximum likelihood robust least squares to overcome the heterogeneity issue. Furthermore, the two-step difference generalised method of moments to overcome the endogeneity issue. Diagnostic tests were used to increase robustness.

Findings

In the studied countries, there was a statistically significant negative relationship between received remittance inflows and the price-level ratio of the purchasing power parity conversion factor to the market exchange rate. This relationship explains why remittance flows depreciate the real exchange rate. The study’s results also indicated that attracting investments can improve the quality of institutions despite high tax rates, leading to low tax revenue.

Originality/value

The current study findings enrich the understanding of policies of how governments should minimise tariff rates on capital imports and introduce export-oriented incentive programmes. The study also revealed that Dutch disease can occur due to differences in the demand structure and manufacturing development policy.

Details

Journal of Economic Studies, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0144-3585

Keywords

Article
Publication date: 16 January 2024

Sudipta Das, Md Rokibul Hasan and Debanjan Das

This study aims to measure the competitiveness of top apparel exporting nations competing with China in different apparel product categories across the global environment.

Abstract

Purpose

This study aims to measure the competitiveness of top apparel exporting nations competing with China in different apparel product categories across the global environment.

Design/methodology/approach

Compound annual growth rate, trade competitiveness, market share percentages, revealed comparative advantage and its variant normalized revealed comparative advantage using two-, four- and six-digit harmonized system codes for the period of 2016–2021 were used to understand the comparative advantage of competing apparel exporting nations.

Findings

The findings revealed that China still holds a more decisive comparative advantage than its competitors over the majority of the product categories within the knitted or not knitted apparel and clothing accessories. The other competing nations hold better export competitiveness over China in specific categories. However, that is not sufficient to be the “Next China.”

Research limitations/implications

The study has important implications for different stakeholders of the global apparel industry, such as governments, industry officials, policymakers, investors, researchers and students. The study’s limitations arise from using product categories as competitiveness indicators, notably relying on a macro level approach for measurement while the micro level perspective is not analyzed, which constitutes a significant limitation of the study.

Originality/value

This research thoroughly analyzes the competitive position of the top ten apparel-exporting countries in the global market.

Details

Competitiveness Review: An International Business Journal , vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1059-5422

Keywords

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