Coordination Mechanisms along the Supply Chain: a Key-Factor for Competitiveness

The purpose of this paper is to contribute to a better understanding of the role of relationships between stakeholders in the supply chain as a potential source of competitive advantage. In the case study, we focus on the wine industry in the Lazio Region (Italy). We observe a significant loss of competitiveness in this industry and we suggest that a higher level of communication and different coordination mechanisms among stakeholders could help in recovering a better market position. We focus on the linkages between farmers and the other food chain stakeholders through the perspective of Institutional Economics and Economics of Organization, in order to identify the key factors that determine the competitiveness of the supply chain’s product. The Lazio wine supply chain is investigated through the analysis of official data, integrated with primary data, collected through in-person interviews and questionnaires addressed to producers and experts. It emerges that the wine supply chain in the Lazio Region is characterized by a serious decline, suggested by a sharp decrease in production and sales, low reputation among experts, widespread negative consumers perception. We interpret this turn-down through the structural features of the market and through the low level of communication and coordination between the agents. This leads to the identification of potential instruments able to deal with the difficulties highlighted. We emphasize the role of public institutions in fostering communication and cooperation among firms and suggest the potential role of a web portal, in linking sellers and buyers in a common network.