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In the presence of government procurement, one important driving force behind a poor farmer entering into sales format agreements is to improve profits. In this study, the authors examine two widely used sales formats, namely resale format and agent format, to investigate how parameters influence the optimal sales format selection and decision equilibriums of supply chain members under the scenarios with or without the buyer's poverty alleviation efforts.

This paper adopts the Stackelberg game-theoretical approach to examine the interactions between the farmer from poor/rural areas and the buyer.

The authors find that under certain conditions, the optimal sales format of the poor farmer and buyer can be consistent, which eliminates conflicts in the sales format selection. In addition, with the buyer's poverty alleviation effort, the poor farmer and buyer can achieve the Pareto improvement, which is a win–win outcome for them. The authors also find that the market price in government procurement is independent of competition, which is consistent with practical observations.

It is the first study to investigate the optimal sales format selection given government procurement as a poverty alleviation effort which is in competition with a firm's regular channel.

The Chinese Government relies heavily on increasing farming scale to address the new challenges facing China’s agricultural development. A basket of polices targeted at increasing farming scale has been issued in recent years thereby resulting to debates over large-scale farming in China. The purpose of this paper is to summarize and highlight the debate over China’s on-going large-scale farming.

This paper contributes to the policy debates over large-scale farming in China by reviewing the existing literature on the positive and negative impacts of large-scale farming on agricultural development, land productivity, and national food security. This paper overviews the different ideas and findings of studies associated with the topic.

The mainstream literature supports the idea that large-scale farming will address the challenges facing China’s agricultural development, while others argue that it crowds out the benefits of small farmers, and raises concerns over inequalities of resources allocation and income distribution, and undermines social stability. While proponents argue that large-scale farming may lead to rise in land productivity, opponents argue that it may result into decrease in land productivity and national grain output.

This paper is a policy review based on existing works. It organizes the different debates over large-scale farming in China, and highlights the key arguments put forward.