Efficiency, bargain, and adding-value strategies: a look over the dynamics of income distribution from farm to fork

• Grant number: 10/06744-3
• Support Opportunities: Regular Research Grants
• Start date: July 01, 2010
• End date: June 30, 2013
• Field of knowledge: Engineering - Production Engineering - Production Management
• Principal Investigator: Vivian Lara dos Santos Silva Rossignolo
• Grantee: Vivian Lara dos Santos Silva Rossignolo
• Host Institution: Faculdade de Zootecnia e Engenharia de Alimentos (FZEA). Universidade de São Paulo (USP). Pirassununga , SP, Brazil
• Associated researchers: Maria Sylvia Macchione Saes

Abstract

In recent decades, the typical contractual practices of industry and retailers groups with their suppliers have received greater attention from scholars and researchers. The target of interest is the consequences of bargain capacity increased held for large groups on the relationship with actors upstream of the production system. The efficiency of this model is usually related with its ability to mitigate transaction costs. Retail and industry would contribute to the dissemination of both good practices and modern techniques, while they were fulfilling an important role in regulating the sector (ARRUÑADA, 2000). However, this view ignores the important issue of relationships maintenance over time and the value-capturing generated in the production system, allowing it put in check the efficiency hypothesis. How, consider the effective model? This is the problem of interest to this project. It's intended to contribute to economic and sociological literature dedicated to the efficiency by introducing the classical model of the aspects of added value and ownership of quasi-rent. We focus on cocoa agribusiness, particularly in the relationship between rural and industrial segments, investigating strategies capable of better promoting and sustain over time upgrading and value-capturing. (AU)