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Small is beautiful: firm size, prevention and food safety

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  • Rouvière, Elodie

Abstract

Food safety crises have led governments to increase food firms’ responsibility by asking them to voluntarily implement prevention efforts. In this article, we explore the relationship between food firms’ size and their level of prevention efforts. We show that when cross-contamination between units is unlikely, small firms undertake greater prevention efforts than large firms. But when cross-contamination between units is possible, the effort-size curve is an inverted U-shape. Using these results, we discuss food safety laws in Europe and in the US, which differ in how they deal with the size of food firms’ operations.

Suggested Citation

  • Rouvière, Elodie, 2016. "Small is beautiful: firm size, prevention and food safety," Food Policy, Elsevier, vol. 63(C), pages 12-22.
    • Handle: RePEc:eee:jfpoli:v:63:y:2016:i:c:p:12-22
    DOI: 10.1016/j.foodpol.2016.06.006
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    2. Qiao Liang & Rongrong Bai & Zhi Jin & Linlin Fu, 2023. "Big and strong or small and beautiful: Effects of organization size on the performance of farmer cooperatives in China," Agribusiness, John Wiley & Sons, Ltd., vol. 39(1), pages 196-213, January.

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    More about this item

    Keywords

    Prevention; Firm size; Food safety;
    All these keywords.

    JEL classification:

    • Q18 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Policy; Food Policy; Animal Welfare Policy
    • L15 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Information and Product Quality
    • L5 - Industrial Organization - - Regulation and Industrial Policy

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