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Collective Reputation in Agricultural Markets

Angelo Zago
Cet article est une traduction de :
La réputation collective sur les marchés agricoles

Résumé

In agriculture, there are many instances of coordination obtained via collective reputation, such as geographical indications, marketing and processing cooperatives, membership in labels such as Label Rouge, etc. We discuss some of their problems in agricultural markets, where they are managed by otherwise independent firms through a democratic decision-process. After selectively reviewing the published literature, we highlight some relevant problems for the industry and for policy-making and we suggest some venues for future research.

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Notes de l’auteur

I would like to thank F. Bergès, L. Maestri, S. Monier, a referee and (especially) Z. Bouamra-Mechemache for useful inputs. The usual disclaimer applies. This paper has been written while the author was visiting the Toulouse School of Economics, which hospitality is gratefully acknowledged. The research leading to these results has received funding from the European Union’s Seventh Framework Programme (FP7/2007-2013) under the grant agreement no. 331724 (ProdOrg&FoodSupply).

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Plan

Introduction
On the literature on reputation
Individual reputation
Collective reputation
Critical choices for collective brands
Industry choices
Modelling choices
Heterogenity
Internal decision-making
Tradition vs. innovation
Restricted production
Reputation-building costs
Value creation in vertical relationships
What (self?) regulation
The questions
Monitoring
The optimal shape of collective repuations
Individual reputations: grand cru or domaine?
Modelling choices
Concluding remarks

Aperçu du début du texte

Introduction

Coordination is the regulation of diverse elements of a system into an integrated and harmonious operation. Coordination is thus the act of arranging, putting things in order, or making things run smoothly together. In many settings, the price system can effectively coordinate economic activities. However, there are many instances, e.g., when there are few players, when the information is not complete, etc., in which the market system cannot work properly and other means emerge to coordinate economic activities, as other contributions in this special issue show.

In this paper, we are interested in a special type of coordination, based on collective reputation, in which otherwise independent firms share a common (regional or else) brand. Reputation has long been recognized as a market force that may ensure contractual performance (Klein and Leffler, 1981). When information on some traits or behaviors of the parties involved in a transaction is missing, repeated transaction...

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Référence électronique

Angelo Zago, « Collective Reputation in Agricultural Markets  », Économie rurale [En ligne], 345 | Janvier-février 2015, mis en ligne le 15 février 2017, consulté le 26 mai 2018. URL : http://journals.openedition.org/economierurale/4531 ; DOI : 10.4000/economierurale.4531

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Auteur

Angelo Zago

Dipartimento di Scienze Economiche, Università degli Studi di Verona, Vérone Italie ; angelo.zago@univr.it

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