The Pro-Competitive Effect of Coffee Cooperatives in Chiapas, Mexico
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Anna B. Milford
Imperfect competition among purchasers of coffee is a common problem for small scale producers. Producer-owned marketing cooperatives can reduce the market power of private purchasers and restore competition. Non-members as well as members of the cooperatives will then receive higher prices. In the present paper I carry out a theoretical and an empirical investigation into the effect of Fairtrade and organically certified cooperatives on local competition and coffee prices in Chiapas, Mexico. A theoretical model is presented which explains how the competitive effect may work in this particular setting, where cooperative membership implies certain costs that are perceived differently by different producers. Also, using both qualitative and quantitative methods, I present evidence that is consistent with the hypothesis of a pro-competitive effect of cooperatives.
©2012 Walter de Gruyter GmbH & Co. KG, Berlin/Boston
Artikel in diesem Heft
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- Local Price Competition: The Case of Swedish Food Retailers
- The Pro-Competitive Effect of Coffee Cooperatives in Chiapas, Mexico
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Artikel in diesem Heft
- Article
- Local Price Competition: The Case of Swedish Food Retailers
- The Pro-Competitive Effect of Coffee Cooperatives in Chiapas, Mexico
- Consumer Preferences for Eco, Health and Fair Trade Labels. An Application to Seafood Product in France
- Measuring Market Power and Welfare Losses in the Greek Food and Beverages Manufacturing Industry
- Buyer Power and Vertically Differentiated Retailers
- Picking Apples: Can Multi-Attribute Ecolabels Compete?
- Can Labeling and Information Policies Harm Consumers?
- Processor's Preferences and Basic Differentiation Strategies for Potatoes, Milk, and Wheat in Switzerland
- The Impact of Food Environment on Private Label versus Branded Produce Choice
- The success of new exporting countries in a traditional Agri-business industry, 1961-2005
