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Benefits of a marketing cooperative in transition agriculture: Mórakert purchasing and service co-operative

  • Zoltán Bakucs


    (Corvinus University of Budapest Budapest Hungary)

  • Imre Fertő

    (Corvinus University of Budapest Budapest Hungary)

  • Gábor G. Szabó

    (Research Centre for Economic and Regional Studies of the Hungarian Academy of Sciences Budapest Hungary)

The paper analyses the potential benefits of marketing cooperatives in Hungary, employing a transaction cost economics framework. We found that the purchased quantity, the existence of contracts, flexibility and trust are the most important factors farmers consider when selling their products via a cooperative. The most striking result is that diversification has positive influences on the share of cooperatives in farmers’ sale. Furthermore, farmers with larger bargaining power have less willingness to sell their product to the cooperative. Surprisingly, asset specificity has rather negative effects on the share of cooperatives in members’ sales.

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Article provided by Akadémiai Kiadó, Hungary in its journal Society and Economy.

Volume (Year): 34 (2012)
Issue (Month): 3 (September)
Pages: 453-468

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Handle: RePEc:aka:soceco:v:34:y:2012:i:3:p:453-468
Note: The research was supported by OTKA (grant number K68467) and by the Bolyai János Scholarship.
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Order Information: Postal: Akadémiai Kiadó Zrt., Prielle K. u. 21-35. Budapest, 1117, Hungary
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