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Author |
Biely, K.; Von Muenchhausen, S.; Van Passel, S. |
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Title |
Vertical integration as a strategy to increase value absorption by primary producers : the Belgian sugar beet and the German rapeseed case |
Type |
A1 Journal article |
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Year  |
2022 |
Publication |
AIMS Agriculture and Food |
Abbreviated Journal |
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Volume |
7 |
Issue |
3 |
Pages |
659-682 |
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Keywords |
A1 Journal article; Pharmacology. Therapy; Engineering Management (ENM) |
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Abstract |
Vertical integration is a means of increasing market power. For some agricultural products, it is easier for farmers to exert control over their product beyond the farm gate, but for others it is more difficult. Cases in the latter category have two main characteristics. First, the farmer cannot sell the respective product to final consumers without processing. Second, processing is capital-intensive. Consequently, farmers have limited sales channels, and vertical integration of the supply chain is complex and challenging. It implies cooperation among farmers to process the raw material at a profitable scale and to finance the installation of processing facilities. Thus, for these product categories, farmers are prone to market power issues, since they depend on private businesses that have the financial means to install processing facilities and the logistical capacities to organize the collection of large amounts of raw material. This paper aims to identify and analyze the role of supply chain integration for farmers who are already cooperating horizontally. Two case studies serve as the basis for the analysis: sugar beet in Flanders, Belgium, and oilseed rape in Hessen, Germany. The analysis is based on a qualitative research approach combining interviews, focus groups, and workshops with farmers and processors. While for sugar beet, the effects of market power are emerging only now with the termination of the quota system, farmers growing oilseed rape have been experiencing these problems since the 1990s. Our analysis concludes that most strategies to maintain or improve farm income have been exhausted. Even various forms of vertical integration supported by European policies do not necessarily work as a successful strategy. |
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Wos |
000860666800001 |
Publication Date |
2022-08-17 |
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ISSN |
2471-2086 |
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Additional Links |
UA library record; WoS full record |
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Impact Factor |
1.8 |
Times cited |
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Open Access |
OpenAccess |
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Notes |
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Approved |
Most recent IF: 1.8 |
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Call Number |
UA @ admin @ c:irua:191514 |
Serial |
7374 |
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Author |
Biely, K.; Van Passel, S. |
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Title |
Market power and sustainability : a new research agenda |
Type |
A1 Journal article |
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Year |
2022 |
Publication |
Discover Sustainability |
Abbreviated Journal |
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Volume |
3 |
Issue |
1 |
Pages |
5-13 |
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Keywords |
A1 Journal article; Engineering sciences. Technology; Engineering Management (ENM) |
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Abstract |
Perfectly operating markets only exist in theory. Market failures are known to not only inhibit the proper functioning of the market, but also affect sustainability and thus a sustainability transition. In this regard, much attention has been paid to externalities or missing markets, even though these are not the only market failures. In this paper, we argue that market power and its relationship with sustainability has been neglected, despite the fact that, back in 1931, Hotelling indicated the connection between the two concepts. However, research that has been dealing with this connection has not been comprehensive and has only looked at one aspect of sustainability and market power. Due to the rising relevance of market power as well as of sustainability concerns, the connection between the two deserves thorough attention. Accordingly, we propose initiating a new interdisciplinary research agenda to comprehensively analyze the complex relationship between market power and sustainability. |
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Wos |
000934090500003 |
Publication Date |
2022-02-08 |
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ISSN |
2662-9984 |
ISBN |
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Additional Links |
UA library record; WoS full record |
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Impact Factor |
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Times cited |
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Open Access |
OpenAccess |
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Approved |
Most recent IF: NA |
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Call Number |
UA @ admin @ c:irua:195360 |
Serial |
7362 |
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Author |
Biely, K.; Mathijs, E.; Van Passel, S. |
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Title |
Causal loop diagrams to systematically analyze market power in the Belgian sugar value chain |
Type |
A1 Journal article |
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Year |
2019 |
Publication |
AIMS Agriculture and Food |
Abbreviated Journal |
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Volume |
4 |
Issue |
3 |
Pages |
711-730 |
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Keywords |
A1 Journal article; Engineering Management (ENM) |
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Abstract |
It has been acknowledged that power is a fundamental aspect that needs to be considered when performing a value chain analysis. The structure of the value chain is indicative of the power distribution along the chain. By employing systems thinking the structure of the value chain can be further investigated and inferences on market power issues can be made. This novel approach connects value chain research with insights from Industrial Organization (IO) literature. Depending on the case, market power may not be measurable by traditional economic tools. Systems thinking offers an alternative tool, allowing the employment of qualitative and quantitative data, overcoming drawbacks of IO methods and providing more depth to value chain analysis. In this paper the valuable contribution of systems thinking to market power analysis is exemplified by the Belgian sugar beet case. The analysis showed that transportability and perishability of sugar beet are key causes of market failure in the Belgian sugar value chain. Systems thinking can support understanding potential future behavior of the market based on the thorough understanding of the current market structure. We illustrate how to integrate factors determining the market structure into causal loop diagrams. This novel approach allows a comprehensive evaluation and thus opens up market power analysis to interdisciplinary research. |
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Wos |
000488251600014 |
Publication Date |
2019-08-09 |
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Series Volume |
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Series Issue |
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Edition |
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ISSN |
2471-2086 |
ISBN |
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Additional Links |
UA library record; WoS full record |
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Impact Factor |
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Times cited |
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Open Access |
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Notes |
; This research was performed within the frame of the EU's HORIZON 2020 project SUFISA with the grant agreement number 635577. The authors want to thank colleagues from the SUFISA project for stimulating and inspiring discussions on this topic. ; |
Approved |
Most recent IF: NA |
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Call Number |
UA @ admin @ c:irua:163833 |
Serial |
6165 |
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Author |
Biely, K.; Maes, D.; Van Passel, S. |
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Title |
Market power extended : from Foucault to Meadows |
Type |
A1 Journal article |
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Year |
2018 |
Publication |
Sustainability |
Abbreviated Journal |
Sustainability-Basel |
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Volume |
10 |
Issue |
8 |
Pages |
2843-23 |
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Keywords |
A1 Journal article; Economics; Engineering sciences. Technology; Engineering Management (ENM) |
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Abstract |
Market power is a complex matter that is approximated with quantitative indicators within economics. However, these indicators may not fully capture market power, or they may fail to identify it, although it may be present. Moreover, a quantitative approach restricts market power as a concept, impeding the ability to discuss its relationship with other concepts, such as sustainability. This paper extends the definition of market power, following Foucaults understanding of power and the associated theoretical discussions of power from different disciplines. We extended Foucaults work by including systems thinking to capture the importance of the prevalent systems paradigm, which is the ultimate initiator of action. Apart from distinguishing different elements of power, we also integrate an instrumental view on the elements of power. The developed frame allows us to understand the dynamic character of power as a force that strives to maintain or ameliorate the position of the paradigm that it serves. Based on this frame, we outline how this extended understanding of power can be used to analyze market power itself, and its relation with sustainability. |
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Wos |
000446767700259 |
Publication Date |
2018-08-10 |
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Series Editor |
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Series Title |
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Abbreviated Series Title |
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Series Volume |
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Series Issue |
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Edition |
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ISSN |
2071-1050 |
ISBN |
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Additional Links |
UA library record; WoS full record; WoS citing articles; WoS full record; WoS citing articles |
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Impact Factor |
1.789 |
Times cited |
1 |
Open Access |
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Notes |
; This research was performed within the frame of the HORIZON 2020 project SUFISA with the grant agreement number 635577. ; |
Approved |
Most recent IF: 1.789 |
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Call Number |
UA @ admin @ c:irua:154139 |
Serial |
6224 |
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Author |
Biely, K.; Maes, D.; Van Passel, S. |
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Title |
The idea of weak sustainability is illegitimate |
Type |
A1 Journal article |
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Year |
2018 |
Publication |
Environment, development and sustainability |
Abbreviated Journal |
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Volume |
20 |
Issue |
1 |
Pages |
223-232 |
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Keywords |
A1 Journal article; Economics; Engineering sciences. Technology; Engineering Management (ENM) |
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Abstract |
Since the introduction of the sustainability challenge, scientists disagree over the interpretation of the term sustainability. Weak and strong sustainability are the two main interpretations of sustainability, which are opposing each other. Some researchers stated that the interpretation of the term depends on the context; others disagree pointing out that it always implies the meaning of continuation. The term sustainability can be used as attribute, which adds a certain characteristic to the noun. If something can be attributed as being sustainable, it can also be unsustainable. The sustainability challenge consists of shifting from the current unsustainable towards a sustainable system. This paper outlines that the weak sustainability term is illegitimate, as it leads to a contradiction with the acknowledged assumption that the current state is unsustainable. This contradiction is revealed through an analysis of the occurrence of decoupling in agriculture: Agricultural land use could be decoupled from agricultural production, but only with the trade-off of massive increases in fertilizer, pesticide, energy and water usage. This paper outlines an inherent inconsistency within the ongoing discussion about the interpretation of sustainability. Through identifying the invalidity of the weak sustainability interpretation the focus can be shifted form the discourse to the sustainability challenge itself. |
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Wos |
000423142700011 |
Publication Date |
2016-10-31 |
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Abbreviated Series Title |
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Series Volume |
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Series Issue |
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Edition |
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ISSN |
1387-585x |
ISBN |
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Additional Links |
UA library record; WoS full record; WoS citing articles |
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Impact Factor |
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Times cited |
1 |
Open Access |
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Notes |
; The authors would like to thank the reviewers for their time and their comments on the draft version. This paper was supported by the Horizon 2020 project SUFISA (Grant Agreement No. 635577). ; |
Approved |
Most recent IF: NA |
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Call Number |
UA @ admin @ c:irua:149043 |
Serial |
6212 |
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