An examination of alternative marketing structures : a literature search

Abstract

This Discussion Paper presents a report on a literature survey of alternative market structures, carried out under contract to the Department of Trade and Industry. This report has been divided into two Parts. Part 1 (Sections 2 to 7) presents summaries of papers grouped into studies of marketing institutions and performance, discussions of some marketing options available, analyses of market performance and brief comments on the export market environment and economic and marketing theory. These summaries are entirely drawn from the relevant papers and do not necessarily reflect the judgements of the authors of this report. Part 2 (Sections 8 to 11) of the report presents a summary and discussion of the results of the literature review, including key references. Sections 8 and 9 outline the main characteristics of domestic agricultural markets and some factors which determine market structure, as presented by various authors. In Section 10 a discussion of the objectives of the major types of statutory marketing organisations and associated arrangements which exist in the agricultural sector of developed economies is presented. Section 11.1 consolidates the findings of workers who have analysed aspects of the performance of statutory marketing authorities. Measures for price and income enhancement and stabilisation are considered, as well as their effect on economic efficiency. Finally, Section 11.2 examines the role of the market environment in determining the nature of marketing institutions. This review has briefly outlined the elements of marketing systems for agricultural products (i.e. food and fibre products) as they apply to domestic markets. A natural progression from this point would be to focus on a narrower field: that of specific horticultural products or product groups, and the marketing environment which they might face in international markets. This Discussion Paper therefore provides a framework within which further work of a more specific nature should be undertaken. The Agricultural and Economics Research Unit Research Reports 173 and 174 present the results of further study of the horticultural sector.