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The Choice Of The Supply Channels In Hungarian Fruit And Vegetable Sector

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  • Ferto, Imre
  • Szabo, Gabor G.

Abstract

The agricultural reform in Hungary broke the previously vertically integrated agri-food system in different lines. The structures in agriculture, food industry and food retailing have fundamentally changed. These changes have also influenced the vertical governance structures in agri-food sector. The aim of this paper is to investigate the choice of farmers among various supply channels in Hungarian fruit and vegetable sector employing the framework of transaction cost economics. Our analysis is based on a survey among fruit and vegetable producers in Csongrád county in respect the choice of marketing channels. A multinomial logit model is applied to reveal on the determinants influencing the choice among various supply channels. The results seem to contradict some of the basic propositions of transaction cost economics.

Suggested Citation

  • Ferto, Imre & Szabo, Gabor G., 2002. "The Choice Of The Supply Channels In Hungarian Fruit And Vegetable Sector," 2002 Annual meeting, July 28-31, Long Beach, CA 19647, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    • Handle: RePEc:ags:aaea02:19647
    DOI: 10.22004/ag.econ.19647
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    References listed on IDEAS

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    1. Poole, Nigel D. & Del Campo Gomis, Francisco J. & Julia Igual, Juan F. & Vidal Gimenez, Fernando, 1998. "Formal contracts in fresh produce markets," Food Policy, Elsevier, vol. 23(2), pages 131-142, April.
    2. Peterson, H. Christopher & Wysocki, Allen F., 1997. "The Vertical Coordination Continuum And The Determinants Of Firm-Level Coordination Strategy," Staff Paper Series 11817, Michigan State University, Department of Agricultural, Food, and Resource Economics.
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    Cited by:

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    2. Woldie Getachew Abebe, 2010. "Optimal Farmer Choice of Marketing Channels in the Ethiopian Banana Market," Journal of Agricultural & Food Industrial Organization, De Gruyter, vol. 8(1), pages 1-19, October.
    3. Milagrosa, Aimee & Slangen, Louis H.G., 2006. "Indigenous Social Capital in Traditional Agro-Food Marketing Systems: The Role of Trust in Governance Structure Selection in the Philippine Highlands," 99th Seminar, February 8-10, 2006, Bonn, Germany 7734, European Association of Agricultural Economists.
    4. Muthini, Davis Nguthi, 2015. "An assessment of mango famer's choice of marketing channels in Makueni, Kenya," Research Theses 204866, Collaborative Masters Program in Agricultural and Applied Economics.
    5. Bensemann, Jessica & Shadbolt, Nicola, 2015. "Farmers’ Choice of Marketing Strategy: A Study of New Zealand Lamb Producers," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 18(3), pages 1-33, September.

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