IDEAS home Printed from https://ideas.repec.org/p/ags/aare11/100699.html
   My bibliography  Save this paper

Determinants Of Trust In The Indonesian Potato Industry: A Comparison Among Groups Of Potato Farmers

Author

Listed:
  • Puspitawati, Eka

Abstract

Indonesia’s potato industry is undergoing a rapid transformation, presenting producers with new and profitable opportunities to participate in sales to the modern channels. However, few farmers are involved in the new channels. This study offers an analysis of three groups of potato farmers’ perceptions of trust in their buyers. The aim is to understand the many different ways producers can enter modern chains and how different channels suit the individual characteristics of different producers. We surveyed 50 farmer field schools (FFS) producers, 60 Indofood suppliers, and 192 general potato farmers (GPF) in the largest potato producing area in Indonesia, West Java. Using MANOVA and linear regression methods, the study reveals that flexibility and dependence are determinate factors of trust in the three groups. Particularly among the FFS producers, relative price and firm size are factors identified to increase the farmers’ trust. Farmers contracting with Indofood establish the relationship with the firm in terms of reputation and flexibility. On the other hand, the GPF has more concerns about buyers offering price transparency and joint problem solving. This article provides a conceptual model and an empirical analysis of the buyer-seller relationship in the potato industry in Indonesia.

Suggested Citation

  • Puspitawati, Eka, 2011. "Determinants Of Trust In The Indonesian Potato Industry: A Comparison Among Groups Of Potato Farmers," 2011 Conference (55th), February 8-11, 2011, Melbourne, Australia 100699, Australian Agricultural and Resource Economics Society.
  • Handle: RePEc:ags:aare11:100699
    as

    Download full text from publisher

    File URL: http://purl.umn.edu/100699
    Download Restriction: no

    More about this item

    Keywords

    buyer-seller relationships; trust; potato industry; Crop Production/Industries;

    NEP fields

    This paper has been announced in the following NEP Reports:

    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:aare11:100699. See general information about how to correct material in RePEc.

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

    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.

    We have no references for this item. You can help adding them by using 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.

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

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.