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Performance Measurement of the Agricultural Marketing Cooperatives: The Gap between Theory and Practice

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  • Rafat A. M. E. Soboh
  • Alfons Oude Lansink
  • Gerard Giesen
  • Gert van Dijk
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    Abstract

    The performance of agricultural cooperatives depends on their business objectives, which are defined in different ways in the literature. We review the theoretical literature on the performance of agricultural marketing cooperatives. Studies can be divided into two classes, those that assume a single objective and those that assume multiple objectives. This classification integrates three views of the cooperatives: (a) vertical integration of firms, (b) independent enterprise, and (c) coalition of firms. Empirical studies on the financial performance of cooperatives are classified into two categories, studies based on the economic theory of the firm and studies that emphasize accounting techniques. Empirical studies have failed to address the cooperatives' objectives as represented by the theoretical literature on cooperative performance. Copyright 2009 Agricultural and Applied Economics Association

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    Bibliographic Info

    Article provided by Agricultural and Applied Economics Association in its journal Review of Agricultural Economics.

    Volume (Year): 31 (2009)
    Issue (Month): 3 (09)
    Pages: 446-469

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    Handle: RePEc:oup:revage:v:31:y:2009:i:3:p:446-469

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    Cited by:
    1. McKee, Gregory & Shaik, Saleem & Boland, Michael, 2009. "Role of Financial Variables in Explaining the Profitability of North Dakota Farm Supply and Grain Marketing Cooperatives," Journal of Rural Cooperation, Hebrew University, Center for Agricultural Economic Research, vol. 37(2).
    2. Li, Ziran & Jacobs, Keri & Artz, Georgeanne M., 2014. "The Relative Capital Structure of Agricultural Grain and Supply Cooperatives and Investor Owned Firms," Staff General Research Papers 37451, Iowa State University, Department of Economics.
    3. Maxime Agbo & Damien Rousselière & Julien Salanié, 2013. "A Theory of Agricultural Marketing Cooperatives with Direct Selling," Working Papers 1331, Groupe d'Analyse et de Théorie Economique (GATE), Centre national de la recherche scientifique (CNRS), Université Lyon 2, Ecole Normale Supérieure.
    4. Pennerstorfer, Dieter & Weiss, Christoph R., 2011. "Do Cooperatives Offer High Quality Products? Theory and Empirical Evidence from the Wine Market," 2011 International Congress, August 30-September 2, 2011, Zurich, Switzerland 115741, European Association of Agricultural Economists.
    5. Michael Kopel & Marco Marini, 2013. "Strategic Delegation In Consumer Cooperatives Under Mixed Oligopoly," Working Papers 1306, University of Urbino Carlo Bo, Department of Economics, Society & Politics - Scientific Committee - L. Stefanini & G. Travaglini, revised 2013.

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