Measuring the impact of crises in the horticultural sector: the case of Spain

Abstract

Purpose The purpose of this paper is to review the literature on image crises in the food industry as well as provide a diachronic analysis to distinguish between the varying types of crises that played a critical role in the horticultural sector in recent decades, focussing on the particular case of Spain as the largest horticultural exporter in Europe. This research also analyses the economic impact of these crises upon demand. Design/methodology/approach An empirical analysis has been conducted using inverse demand models to determine the prospective impact on demand of the image crises in the main European destination markets. Findings The empirical analysis reveals an immediate impact upon demand (imports) in the short term. Sector crises invariably have one or many “explosion” points when they reach the public sphere. These events reduce demand among European consumers, ultimately leading to a decrease in imported goods. The tested models revealed considerably significant losses that subsequently reduce annual exports by more than 3 per cent. The analysis also reveals strong effects of complementarity and substitution among the various products that comprise the horticultural supply. Research limitations/implications This study has not taken into account several movements that have also affected the horticultural sector, such as “anti-consumption” and boycotts. Empirical results reveal a strong impact of image crises on demand (imports) in the short term. Consequently, there is an evident need to undertake actions, managed from the supply origin, that reach the consumer and effectively re-establish the prestige of the Spanish production system. Practical implications This paper highlights the importance of the mass media in consumer attitudes and perceptions, and the need to create channels of direct communication to break the information asymmetry between production and consumption areas. Originality/value This paper sheds new light on the literature of image crises. The findings of this research have contributed to greater knowledge of how image crises influence demand. From the point of view of management, these results can have practical implications for the highly competitive sector of horticultural production.

Response of Fresh Food Suppliers to Sustainable Supply Chain Management of Large European Retailers

“…A gap exists between the priorities of the retailer and the response of small supplier enterprises, predominantly marketing cooperatives (H1). The supply enterprises should focus their efforts on improving environment management (e.g., boosting the circular economy [74]), as well as the social dimension, through greater involvement in solving local problems, such as the insertion of immigrant labor [61].…”

“…This information made it possible to identify the key actions that can affect horticultural suppliers located in the southeast of Spain. The necessity to follow tendencies and trends in sustainability reflected in media sources, due to their economic influence on the horticultural marketing firms in southern Spain, has been studied recently by Serrano et al and Pérez-Mesa et al [60,61]. Diverse methodologies can be employed to classify the information supplied by the media [62], and in this sense the present article carried out such classification in function of the aspects of veracity of the source/origin and pressure/specificity of the data supplied [63].…”

The Development of the Cooperative Movement and Civil Society in Almeria, Spain: Something from Nothing?

“…The tourism industry has complained of the "ugliness" of the greenhouses and the negative image of plastic. Farmers who are compliant and who invest in immigrant housing, sustainable practices, and attractive farms resent the devaluation of their image and the resulting economic impact [82]. Other cracks in the community identity can be seen between "agroecological" farmers, and conventional and large-scale organic farmers.…”

Six Collective Challenges for Sustainability of Almería Greenhouse Horticulture

“…Examples of these impacts are, for example, the disturbing image of ephemeral streams (i.e., ramblas in Spanish) overflowing with the tide of garbage due to a deficient plan of rural hygiene, or the need to implement a management model for organic waste (e.g., plants) and inorganic waste (e.g., plastics). Recent research showed that the deterioration of the image has had an impact on the agricultural sector, including a reduction of demands among European consumers, ultimately leading to a decrease in imported goods [90], and affecting international consumers’ perception, which are today increasingly inclined to make informed purchasing decisions concerning horticultural products [91]. In addition, these findings indicate that European destination markets of the Spanish greenhouse horticulture could have a preconceived image; however, nationally the production system does not seem to influence the image of the same [91].…”

“…Finally, the image of the sector has also been affected by the negative impact of campaigns and news in both the national and international media on the Almería greenhouse model [90], mainly due to the sector’s lack of capacity to address existing problems. However, this research indicated that some of the crises in the past were the result of unfounded accusations [90]. All these challenges have burdened the image of Almeria’s agriculture internationally without a proactive attitude to solve it by the agricultural sector and public administrations.…”