An inverse demand analysis with introduction of quality effects: an application to Spanish consumption of fruit and vegetables

Galdeano, Emilio

doi:10.1111/j.1574-0862.2005.00190.x

Cited by 12 publications

(8 citation statements)

References 59 publications

Supporting

Mentioning

Contrasting

Unclassified

Order By: Relevance

“…Thanks to the mild winters and the high solar hours, the structures do not need more investments to ensure a very aceptable quality crop. Genetic improvements of vegetables contribute to producing fruits that have a longer post-harvest life [14,15].…”

Section: Introductionmentioning

confidence: 99%

Profit Analysis of Papaya Crops under Greenhouses as an Alternative to Traditional Intensive Horticulture in Southeast Spain

Honoré

Ureña

Navarro-Velasco³

et al. 2019

IJERPH

View full text Add to dashboard Cite

The high-yield agricultural model in Almería is based on eight different crops. Having led fruit and vegetable exports in Spain for more than 50 years, a decrease in melon and watermelon growing areas in Almería caused a change in supply that affected the model’s profit. Papaya cultivation could reactivate the profit of the agricultural model in Almería and also improve the available product range. The papaya crop needs greenhouse infrastructures high enough to contain the growth and size of the plants during a cycle crop, which is possible in most of the greenhouses of the Horticultural production model of Almería. The papaya harvests obtained in the region meet the quality requirements demanded by European markets. Furthermore, yields obtained are equal or higher than yields obtained by other producing countries. This crop improves profit compared with the profit obtained from the rotation of other horticultural crops that have been traditionally grown in the region.

show abstract

Section: Introductionmentioning

confidence: 99%

Profit Analysis of Papaya Crops under Greenhouses as an Alternative to Traditional Intensive Horticulture in Southeast Spain

Honoré

Ureña

Navarro-Velasco³

et al. 2019

IJERPH

View full text Add to dashboard Cite

show abstract

“…This is a common scenario for the fruit and vegetables market, as consumer demand is very sensitive to substitute products (even within the same family) or is affected by climatic factors (cold or heat, as in the case of melon and water melon). Variability of demand, especially when dealing with data reported for periods under one year as in the framework of the present analysis, has been shown by Galdeano (2005) and De Pablo et al (2008). In these scenarios, the question is: What causes rigidity in retail price?…”

Section: Methodsmentioning

confidence: 79%

“…The supplier is a food marketing firm with a lineal function of cost production, C [4] Using data from a period of less than one year as in this analytical framework, it is extremely difficult to establish a relationship like [4] for perishable produce, since there is great seasonal variability: this circumstance has been dealt with at length by Galdeano (2005) and De-Pablo et al (2008). In certain cases we could speak of demand that is difficult to calculate or even unknown.…”

Section: Profit For Supplier and Retailermentioning

confidence: 99%

Retail price rigidity in perishable food products: a case study

Mesa¹,

Gómez²,

Aznar-Sánchez³

1970

Span. j. agric. res.

View full text Add to dashboard Cite

Why are retailers less likely to vary sale prices of food products when the price paid to the farmer falls than when it rises? As far as perishable goods are concerned, this behavior is usually related to the retailer’s bargaining power. With a view to analyzing the question in greater depth, this study presents a simplified framework considering an ideal scenario in which the retailer wishes to maintain balanced profits due to external pressures or other factors, such as a competitive distribution market. In the face of changing supply, the price-fixing decision of the distributor may also depend on the risk, measured by the relationship between demand elasticity and variable costs, as a result of uncertainty in consumer response to price variations. The simulation of these scenarios is carried out taking as reference the Spanish tomato market. The results of these applications allow to see that despite a relaxation of bargaining power, price asymmetry is not avoided. This work shows the difficulty for suppliers and retailers to reach agreements which could result in competitive advantages.

show abstract

“…Consumers could not have access to accurate insights into agrifood quality, so quality effects are estimated from the error terms associated with the functions of the unit values, and fresh agri-food would get a higher premium than processed agri-food [10]. Some socioeconomic characteristics have significant impacts on consumer demands for agri-food quality and the elasticity of demands for agri-food quality is inelastic [11].…”

Section: Introductionmentioning

confidence: 99%

The Trilateral Evolutionary Game of Agri‐Food Quality in Farmer‐Supermarket Direct Purchase: A Simulation Approach

Liu

Hou

2018

Complexity

View full text Add to dashboard Cite

The prevalence of opportunistic behaviors in agri-food production and circulation results in frequent quality accidents in emerging economies. Numerous researches have discussed effective countermeasures to this problem, but few of them focus on the effectiveness and stability of quality assurance systems. Owing to the bounded rationality and information asymmetry, the dynamic quality game among producers, marketers, and consumers has significant characteristics of complexity. This paper aims at discussing the farmer-supermarket direct purchase's contributions to ensure the agri-food quality and analyzing the effectiveness, stability, and key factors of this new industrial organization. Based on the evolutionary game theory, we establish the trilateralgame payoff matrix, build up the replicator dynamic equations, and discuss possible evolutionary stable states. The simulation results show that the evolutionary system converges to desired stability faster, when the high-quality agri-food's market premium increases and the penalty for violating quality standards increases. Furthermore, when farmers share more high-quality agri-food's market premiums and marketers compensate more for violating the quality standards than before, the evolutionary system also converges to desired stability faster. Therefore, the quality information tracing technology, farmers and marketers' fair distribution of profits and risks, and consumers' capabilities to safeguard their legal rights are the three key factors to maintain the effectiveness and stability of quality assurance systems.

show abstract

An inverse demand analysis with introduction of quality effects: an application to Spanish consumption of fruit and vegetables

Cited by 12 publications

References 59 publications

Profit Analysis of Papaya Crops under Greenhouses as an Alternative to Traditional Intensive Horticulture in Southeast Spain

Profit Analysis of Papaya Crops under Greenhouses as an Alternative to Traditional Intensive Horticulture in Southeast Spain

Retail price rigidity in perishable food products: a case study

The Trilateral Evolutionary Game of Agri‐Food Quality in Farmer‐Supermarket Direct Purchase: A Simulation Approach

Contact Info

Product

Resources

About