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Does traceability play a role in retailer’s strategies for private labels?

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  • Banterle, Alessandro
  • Souza Monteiro, Diogo M.
  • Stranieri, Stefanella

Abstract

Traceability is helping retailers manage food safety risks and support product differentiation. This paper aims to investigate how traceability may be used to screen supplier for private labels dedicated provider pools. Retailers in the UK and Italy have several private label product lines and increasingly select dedicated suppliers. The choice of providers is a typical agency problem as retailers contract the production for their private labels, having incomplete information on types and effort of their suppliers. Different contracts must be designed for suppliers of private labels depending on position of the product line and its food safety risk. A case study, based on the second largest Italian retailer reveals that traceability and quality assurance schemes are used together to manage suppliers of private labels

Suggested Citation

  • Banterle, Alessandro & Souza Monteiro, Diogo M. & Stranieri, Stefanella, 2009. "Does traceability play a role in retailer’s strategies for private labels?," 83rd Annual Conference, March 30 - April 1, 2009, Dublin, Ireland 50933, Agricultural Economics Society.
  • Handle: RePEc:ags:aesc09:50933
    DOI: 10.22004/ag.econ.50933
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    References listed on IDEAS

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    1. Alessandro Banterle & Stefanella Stranieri, 2013. "Sustainability Standards and the Reorganization of Private Label Supply Chains: A Transaction Cost Perspective," Sustainability, MDPI, Open Access Journal, vol. 5(12), pages 1-17, December.

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