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Contractual price provisions and their determinants in conditions of uncertainty: the case of Chilean fruit exports
[Dispositions contractuelles sur les prix et leurs déterminants dans des conditions d'incertitude : le cas des exportations de fruits chiliens]

Author

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  • Iciar Pavez

    (UMR MOISA - Marchés, Organisations, Institutions et Stratégies d'Acteurs - Cirad - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - INRA - Institut National de la Recherche Agronomique - Montpellier SupAgro - Centre international d'études supérieures en sciences agronomiques - CIHEAM-IAMM - Centre International de Hautes Etudes Agronomiques Méditerranéennes - Institut Agronomique Méditerranéen de Montpellier - CIHEAM - Centre International de Hautes Études Agronomiques Méditerranéennes - Montpellier SupAgro - Institut national d’études supérieures agronomiques de Montpellier)

  • Jean Marie Codron

    (UMR MOISA - Marchés, Organisations, Institutions et Stratégies d'Acteurs - Cirad - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - INRA - Institut National de la Recherche Agronomique - Montpellier SupAgro - Centre international d'études supérieures en sciences agronomiques - CIHEAM-IAMM - Centre International de Hautes Etudes Agronomiques Méditerranéennes - Institut Agronomique Méditerranéen de Montpellier - CIHEAM - Centre International de Hautes Études Agronomiques Méditerranéennes - Montpellier SupAgro - Institut national d’études supérieures agronomiques de Montpellier)

Abstract

This article analyzes the choice of export contracts of perishable goods. It draws on the Transactional Cost Theory, and particularly the literature of incomplete contracts. Using a 2014 database of 177,296 transactions and corresponding contracts performed by Chilean fruit exporters, together with qualitative information gathered from a field survey, we show through a binomial logit that the choice between firm sale and consignment is a function of the environmental uncertainty of the importing country, the temporal specificity of the transacted product and the frequency of transactions.

Suggested Citation

  • Iciar Pavez & Jean Marie Codron, 2018. "Contractual price provisions and their determinants in conditions of uncertainty: the case of Chilean fruit exports [Dispositions contractuelles sur les prix et leurs déterminants dans des conditio," Post-Print hal-02618927, HAL.
    • Handle: RePEc:hal:journl:hal-02618927
    Note: View the original document on HAL open archive server: https://hal.inrae.fr/hal-02618927
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    References listed on IDEAS

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    Cited by:

    1. Pavez, Iciar & Codron, Jean-Marie & Lubello, Pasquale & Florêncio, Maria Cecilia, 2019. "Biosecurity institutions and the choice of contracts in international fruit supply chains," Agricultural Systems, Elsevier, vol. 176(C).

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