IDEAS home Printed from https://ideas.repec.org/p/ags/uerser/34031.html
   My bibliography  Save this paper

Vertical Coordination in the Pork and Broiler Industries: Implications for Pork and Chicken Products

Author

Listed:
  • Martinez, Stephen W.

Abstract

Recent changes in structure of the U.S. pork industry reflect, in many ways, past changes in the broiler industry. Production contracts and vertical integration in the broiler industry facilitated rapid adoption of new technology, improved quality control, assured market outlets for broilers, and provided a steady flow of broilers for processing. Affordable, high-quality chicken products have contributed to continual increases in U.S. chicken consumption, which has surpassed pork and beef on a per capita basis. Incentives for contracting and vertical integration in the pork industry may yield comparable results. If so, these arrangements might be expected to result in larger supplies of higher quality pork products at economical prices.

Suggested Citation

  • Martinez, Stephen W., 1999. "Vertical Coordination in the Pork and Broiler Industries: Implications for Pork and Chicken Products," Agricultural Economic Reports 34031, United States Department of Agriculture, Economic Research Service.
    • Handle: RePEc:ags:uerser:34031
    DOI: 10.22004/ag.econ.34031
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/34031/files/ae990777.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.34031?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Jeffrey M. Gillespie & Kostas Karantininis & Gary G. Storey, 1997. "The Expansion and Evolution of Vertical Coordination in the Quebec Hog Industry," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 19(2), pages 350-370.
    2. Shelanski, Howard A & Klein, Peter G, 1995. "Empirical Research in Transaction Cost Economics: A Review and Assessment," The Journal of Law, Economics, and Organization, Oxford University Press, vol. 11(2), pages 335-361, October.
    3. Richard T. Rogers, 1992. "Broilers -- Differentiating A Commodity," Food Marketing Policy Center Research Reports 018, University of Connecticut, Department of Agricultural and Resource Economics, Charles J. Zwick Center for Food and Resource Policy.
    4. Hayenga, Marvin L. & Rhodes, V. James & Grimes, Glenn & Lawrence, John D., 1996. "Vertical Coordination in Hog Production," Staff General Research Papers Archive 10561, Iowa State University, Department of Economics.
    5. Rogers, Richard T., 1992. "Broilers -- Differentiating A Commodity," Research Reports 25178, University of Connecticut, Food Marketing Policy Center.
    6. Elitzak, Howard, 1997. "Food Cost Review, 1996," Agricultural Economic Reports 305733, United States Department of Agriculture, Economic Research Service.
    7. David A. Hennessy, 1996. "Information Asymmetry as a Reason for Food Industry Vertical Integration," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 78(4), pages 1034-1043.
    8. Brester, Gary W. & Schroeder, Ted C. & Mintert, James R., 1997. "Challenges to the Beef Industry," Choices: The Magazine of Food, Farm, and Resource Issues, Agricultural and Applied Economics Association, vol. 12(4), pages 1-4.
    9. Randall E. Westgren, 1994. "Case Studies of Market Coordination in the Poultry Industries," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 42(4), pages 565-575, December.
    10. Masten, Scott E. (ed.), 1996. "Case Studies in Contracting and Organization," OUP Catalogue, Oxford University Press, number 9780195092523.
    11. Hennessy, David A., 1996. "Information Asymmetry As a Reason for Vertical Integration," Staff General Research Papers Archive 10422, Iowa State University, Department of Economics.
    12. Klein, Benjamin & Crawford, Robert G & Alchian, Armen A, 1978. "Vertical Integration, Appropriable Rents, and the Competitive Contracting Process," Journal of Law and Economics, University of Chicago Press, vol. 21(2), pages 297-326, October.
    13. V. James Rhodes, 1995. "The Industrialization of Hog Production," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 17(2), pages 107-118.
    14. Elitzak, Howard, 1999. "Food Cost Review, 1950-97," Agricultural Economic Reports 34053, United States Department of Agriculture, Economic Research Service.
    15. Easterling, Edward H. & Stucker, Thomas A., 1985. "Brand Names Sell Broilers," Food Review/ National Food Review, United States Department of Agriculture, Economic Research Service, vol. 0(1), December.
    16. Packers and Stockyards Programs, Grain Inspection, Packers and Stockyards Administration, 1996. "Concentration in the Red Meat Packing Industry," USDA Miscellaneous 329335, United States Department of Agriculture.
    17. McBride, William D., 1995. "U.S. Hog Production Costs and Returns, 1992: An Economic Basebook," Agricultural Economic Reports 308428, United States Department of Agriculture, Economic Research Service.
    18. Alan Barkema & Michael L. Cook, 1993. "The changing U.S. pork industry: a dilemma for public policy," Economic Review, Federal Reserve Bank of Kansas City, vol. 78(Q II), pages 49-65.
    19. Urban, Thomas N., 1991. "Agricultural Industrialization: It's Inevitable," Choices: The Magazine of Food, Farm, and Resource Issues, Agricultural and Applied Economics Association, vol. 6(4), pages 1-3.
    20. Lasley, Floyd A., 1983. "The U.S. Poultry Industry: Changing Economics and Structure," Agricultural Economic Reports 305704, United States Department of Agriculture, Economic Research Service.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Martinez, Steve & Zering, Kelly, 1997. "Vertical Coordination and Consumer Welfare: The Case of the Pork Industry," Agricultural Economic Reports 262048, United States Department of Agriculture, Economic Research Service.
    2. Pritchett, James G. & Liu, Donald J., 1998. "Estimating Backward Integration In A Primary Input Market: The Case Of U.S. Hog Industry," Conference Papers 14480, University of Minnesota, Center for International Food and Agricultural Policy.
    3. Unterschultz, James R., 2000. "New Instruments For Co-Ordination And Risk Sharing Within The Canadian Beef Industry," Project Report Series 24046, University of Alberta, Department of Resource Economics and Environmental Sociology.
    4. McBride, William D. & Key, Nigel D., 2003. "Economic And Structural Relationships In U.S. Hog Production," Agricultural Economic Reports 33971, United States Department of Agriculture, Economic Research Service.
    5. Martinez, Stephen W., 2002. "Vertical Coordination Of Marketing Systems: Lessons From The Poultry, Egg, And Pork Industries," Agricultural Economic Reports 34051, United States Department of Agriculture, Economic Research Service.
    6. Adhikari, Bishwa B. & Harsh, Stephen B. & Cheney, Laura Martin, 2003. "Factors Affecting Regional Shifts Of U.S Pork Production," 2003 Annual meeting, July 27-30, Montreal, Canada 22200, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    7. Goodhue, Rachael E. & Rausser, Gordon C., 2003. "Value Differentiation," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 28(3), pages 1-21, December.
    8. Key, Nigel D. & McBride, William D., 2001. "Does Contracting Raise Farm Productivity? The Impact Of Production Contracts On Hog Farm Performance," 2001 Annual meeting, August 5-8, Chicago, IL 20721, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    9. Goodhue, Rachael E., 1997. "Production Control and Production Contracts: Why Do Integrators Control Inputs?," 1997 Annual Meeting, July 13-16, 1997, Reno\ Sparks, Nevada 35908, Western Agricultural Economics Association.
    10. Martinez, Steve W. & Smith, Kevin E. & Zering, Kelly D., 1998. "Analysis of Changing Methods of Vertical Coordination in the Pork Industry," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 30(2), pages 301-311, December.
    11. Ouma, Emily & Ochieng, Justus & Dione, Michel & Pezo, Danilo, 2017. "Governance structures in smallholder pig value chains in Uganda: constraints and opportunities for upgrading," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 20(3), January.
    12. Erkan Rehber, 2000. "Vertical Coordination In The Agro-Food Industry And Contract Farming: A Comparative Study Of Turkey And The Usa," Food Marketing Policy Center Research Reports 052, University of Connecticut, Department of Agricultural and Resource Economics, Charles J. Zwick Center for Food and Resource Policy.
    13. Darcy W E Allen, 2020. "When Entrepreneurs Meet:The Collective Governance of New Ideas," World Scientific Books, World Scientific Publishing Co. Pte. Ltd., number q0269, January.
    14. Key, Nigel D. & McBride, William D., 2008. "Do Production Contracts Raise Farm Productivity? An Instrumental Variables Approach," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 37(2), pages 1-12.
    15. Signorini, Guilherme & Ross, R. Brent & Peterson, H. Christopher, 2015. "Governance strategies and transaction costs in a renovated electricity market," Energy Economics, Elsevier, vol. 52(PA), pages 151-159.
    16. Nicolás Depetris-Chauvin & Marta Fernández Olmos & Juan Carlos Hallak & José Santiago Mosquera, 2023. "Quality, Vertical Integration and Adaptability," Working Papers 221, Red Nacional de Investigadores en Economía (RedNIE).
    17. Resende Filho, Moises de Andrade, 2007. "A Principal-Agent Model for Investigating Traceability Systems Incentives on Food Safety," 105th Seminar, March 8-10, 2007, Bologna, Italy 7897, European Association of Agricultural Economists.
    18. Hideshi Itoh, 2006. "The Theories of International Outsourcing and Integration : A Theoretical Overview from the Perspective of Organizational Economics," Microeconomics Working Papers 21891, East Asian Bureau of Economic Research.
    19. Irz, Xavier & Mazzocchi, Mario & Réquillart, Vincent & Soler, Louis-Georges, 2015. "Research in Food Economics: past trends and new challenges," Revue d'Etudes en Agriculture et Environnement, Editions NecPlus, vol. 96(01), pages 187-237, March.
    20. Temin, Peter & Maxwell, James, 2003. "Corporate contracting for health care," Journal of Economic Behavior & Organization, Elsevier, vol. 52(3), pages 403-420, November.

    More about this item

    Keywords

    Livestock Production/Industries;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:uerser:34031. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: https://edirc.repec.org/data/ersgvus.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.