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Agricultural Producer Cooperatives as Strategic Alliances

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  • Gall, Roslynne G.
  • Schroder, Bill

Abstract

In this paper we examine the linkages between four bodies of business-to-business relationship theory (transaction cost analysis, the resource-based theory of the firm (RBV), social network theory and theories of trust and cooperation) to the design and governance of agricultural cooperatives. Defining a cooperative broadly as any type of alliance formed by producers for their mutual benefit, we base the discussion on three types of cooperative; traditional, "new generation" and learning networks. Our main focus is on cooperatives as an alliance between members, but we also discuss alliances between cooperatives We find that there is a gap in the literature relating to the analysis of alliances with more than two members (such as cooperatives), so the linkages between the theories and cooperative types must be seen as being somewhat tentative. We hypothesise that the RBV, social network theory and trust and cooperation theories are in fact, applicable to multiple-member alliances, but their relevance is likely to become less as the number of members increase.

Suggested Citation

  • Gall, Roslynne G. & Schroder, Bill, 2006. "Agricultural Producer Cooperatives as Strategic Alliances," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 9(4), pages 1-19.
    • Handle: RePEc:ags:ifaamr:8141
    DOI: 10.22004/ag.econ.8141
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    References listed on IDEAS

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    Cited by:

    1. Hinton, Jennifer B. & Cornell, Sarah E., 2022. "Profit as a means or an end? A conceptual framework for an ecological economics approach to sustainable business," Working Paper Series 03/2022, Post-Growth Economics Network (PEN).
    2. Valérie Barraud-Didier & Marie-Christine Henninger & Asâad El Akremi, 2012. "The Relationship Between Members' Trust and Participation in Governance of Cooperatives : The Role of Organizational Commitment," Post-Print halshs-00695926, HAL.
    3. Chao-Chien Chen & Hsiu-Ping Yueh & Chaoyun Liang, 2016. "Strategic Management of Agribusiness: Determinants and Trends," Journal of Entrepreneurship, Management and Innovation, Fundacja Upowszechniająca Wiedzę i Naukę "Cognitione", vol. 12(4), pages 69-97.
    4. Mugera, Amin W., 2012. "Sustained Competitive Advantage in Agribusiness: Applying the Resource-Based Theory to Human Resources," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 15(4), pages 1-22, November.
    5. Barraud-Didier, Valérie & Henninger, Marie-Christine & El Akremi, Assâad, 2012. "The Relationship Between Members’ Trust and Participation in the Governance of Cooperatives: The Role of Organizational Commitment," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 15(1), pages 1-24, February.
    6. May, Daniel E., 2012. "Non-Economic Drivers Influencing Farmers' Incentives to Cooperate: Do they Remain Robust through Policy Changes?," Journal of Rural Cooperation, Hebrew University, Center for Agricultural Economic Research, vol. 40(2), pages 1-23.
    7. Figueiredo, Vítor & Franco, Mário, 2018. "Wine cooperatives as a form of social entrepreneurship: Empirical evidence about their impact on society," Land Use Policy, Elsevier, vol. 79(C), pages 812-821.

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