IDEAS home Printed from https://ideas.repec.org/p/ags/uersab/33759.html
   My bibliography  Save this paper

Price and Quality of Pork and Broiler Products: What's the Role of Vertical Coordination?

Author

Listed:
  • Martinez, Stephen W.

Abstract

Significant changes in vertical coordination of the U.S. broiler industry many years ago may provide useful insight into the rapid changes occurring in today's pork industry. Under production contracts and vertical integration, the broiler industry developed and grew into the leader in U.S. meat production-outpacing beef and pork. Production efficiencies, quality assurances, and convenience in product offerings have led to falling chicken prices and rising per capita consumption. Incentives for contracting in the pork industry are similar to those in the broiler industry in many ways. The similarities suggest that consumers may also expect plentiful supplies of high-quality pork products at economical prices.

Suggested Citation

  • Martinez, Stephen W., 2000. "Price and Quality of Pork and Broiler Products: What's the Role of Vertical Coordination?," Agricultural Information Bulletins 33759, United States Department of Agriculture, Economic Research Service.
    • Handle: RePEc:ags:uersab:33759
    DOI: 10.22004/ag.econ.33759
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/33759/files/ai007472.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.33759?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. V. James Rhodes, 1995. "The Industrialization of Hog Production," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 17(2), pages 107-118.
    2. Martinez, Stephen W., 1999. "Vertical Coordination in the Pork and Broiler Industries: Implications for Pork and Chicken Products," Agricultural Economic Reports 34031, United States Department of Agriculture, Economic Research Service.
    3. Martin, Laura L., 1997. "Production Contracts, Risk Shifting, and Relative Performance Payments in the Pork Industry," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 29(2), pages 267-278, December.
    4. Lazear, Edward P, 1986. "Salaries and Piece Rates," The Journal of Business, University of Chicago Press, vol. 59(3), pages 405-431, July.
    5. Hayenga, Marvin L. & Martin, Larry & Novenario-Reese, Mary Jane & Seim, David, 1998. "Global Competitiveness of the U.S. Pork Sector," Staff General Research Papers Archive 1211, Iowa State University, Department of Economics.
    6. Hayenga, Marvin L. & Rhodes, V. James & Grimes, Glenn & Lawrence, John D., 1996. "Vertical Coordination in Hog Production," Staff General Research Papers Archive 10561, Iowa State University, Department of Economics.
    7. Hayenga, Marvin L., 1998. "Global Competitiveness of the U.S. Pork Sector," ISU General Staff Papers 199808010700001300, Iowa State University, Department of Economics.
    8. Hurt, Christopher, 1994. "Industrialization in the Pork Industry," Choices: The Magazine of Food, Farm, and Resource Issues, Agricultural and Applied Economics Association, vol. 9(4), pages 1-5.
    9. Martin, Laura L., 1997. "Production Contracts, Risk Shifting, And Relative Performance Payments In The Pork Industry," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 29(2), pages 1-12, December.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Martinez, Stephen W., 2002. "Vertical Coordination Of Marketing Systems: Lessons From The Poultry, Egg, And Pork Industries," Agricultural Economic Reports 34051, United States Department of Agriculture, Economic Research Service.
    2. Nguyen Hung Anh & Wolfgang Bokelmann & Ngo Thi Thuan & Do Thi Nga & Nguyen Van Minh, 2019. "Smallholders’ Preferences for Different Contract Farming Models: Empirical Evidence from Sustainable Certified Coffee Production in Vietnam," Sustainability, MDPI, vol. 11(14), pages 1-26, July.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Martinez, Stephen W., 2002. "Vertical Coordination Of Marketing Systems: Lessons From The Poultry, Egg, And Pork Industries," Agricultural Economic Reports 34051, United States Department of Agriculture, Economic Research Service.
    2. MacDonald, James M. & Perry, Janet E. & Ahearn, Mary Clare & Banker, David E. & Chambers, William & Dimitri, Carolyn & Key, Nigel D. & Nelson, Kenneth E. & Southard, Leland W., 2004. "Contracts, Markets, and Prices: Organizing the Production and Use of Agricultural Commodities," Agricultural Economic Reports 34013, United States Department of Agriculture, Economic Research Service.
    3. McBride, William D. & Key, Nigel D., 2003. "Economic And Structural Relationships In U.S. Hog Production," Agricultural Economic Reports 33971, United States Department of Agriculture, Economic Research Service.
    4. Preckel, Paul V. & Boehlje, Michael & Gray, Allan W. & Kim, Sounghun, 2004. "Vertically Aligned Vs. Open Market Coordination: Dominance Or Co-Existence?," 2004 Annual meeting, August 1-4, Denver, CO 20099, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    5. Adhikari, Bishwa B. & Harsh, Stephen B. & Cheney, Laura Martin, 2003. "Factors Affecting Regional Shifts Of U.S Pork Production," 2003 Annual meeting, July 27-30, Montreal, Canada 22200, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    6. Hueth, Brent & Ligon, Ethan & Dimitri, Carolyn, 2007. "AJAE Appendix: Agricultural Contracts: Data and Research Needs," American Journal of Agricultural Economics APPENDICES, Agricultural and Applied Economics Association, vol. 89(5), pages 1-7, December.
    7. Martinez, Stephen W. & Zering, Kelly D., 2004. "Pork Quality And The Role Of Market Organizaton," Agricultural Economic Reports 33973, United States Department of Agriculture, Economic Research Service.
    8. Unterschultz, James R., 2000. "New Instruments For Co-Ordination And Risk Sharing Within The Canadian Beef Industry," Project Report Series 24046, University of Alberta, Department of Resource Economics and Environmental Sociology.
    9. Key, Nigel D. & McBride, William D., 2008. "Do Production Contracts Raise Farm Productivity? An Instrumental Variables Approach," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 37(2), pages 1-12.
    10. McBride, William D. & Key, Nigel D., 2001. "Factors Affecting Contractor And Grower Success In Hog Contracting," 2001 Annual meeting, August 5-8, Chicago, IL 20552, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    11. Gary L. Benjamin, 1996. "Industrialization in hog production: implications for Midwest agriculture," Assessing the Midwest Economy RE-4, Federal Reserve Bank of Chicago.
    12. Poray, Michael C. & Gray, Allan W. & Boehlje, Michael, 2002. "Evaluation of Alternative Coordination Systems Between Producers and Packers in the Pork Value Chain," Staff Papers 200386, Purdue University, Department of Agricultural Economics.
    13. Davis, Christopher & Dimitri, Carolyn & Nehring, Richard & Collins, LaPorchia & Haley, Mildred & Ha, Kim & Gillespie, Jeffrey, 2022. "U.S. Hog Production: Rising Output and Changing Trends in Productivity Growth," Amber Waves:The Economics of Food, Farming, Natural Resources, and Rural America, United States Department of Agriculture, Economic Research Service, vol. 2022(Economic ), August.
    14. Jaenicke, Edward C. & Shields, Martin & Kelsey, Timothy W., 2007. "Food Processors’ Use of Contracts to Purchase Agricultural Inputs: Evidence from a Pennsylvania Survey," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 36(2), pages 1-17, October.
    15. Key, Nigel D. & McBride, William D., 2001. "Does Contracting Raise Farm Productivity? The Impact Of Production Contracts On Hog Farm Performance," 2001 Annual meeting, August 5-8, Chicago, IL 20721, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    16. Rachael Goodhue & Leo Simon, 2016. "Agricultural contracts, adverse selection, and multiple inputs," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 4(1), pages 1-33, December.
    17. Dubois, Pierre & Vukina, Tomislav, 2009. "Optimal incentives under moral hazard and heterogeneous agents: Evidence from production contracts data," International Journal of Industrial Organization, Elsevier, vol. 27(4), pages 489-500, July.
    18. Jeffrey M. Gillespie & Joan R. Fulton, 2001. "A Markov chain analysis of the size of hog production firms in the United States," Agribusiness, John Wiley & Sons, Ltd., vol. 17(4), pages 557-570.
    19. Brester, Gary W. & Marsh, John M., 2001. "The Effects Of U.S. Meat Packing And Livestock Production Technologies On Marketing Margins And Prices," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 26(2), pages 1-18, December.
    20. Li, Xiaokang & Guo, Hongdong & Li, Lin, 2016. "Contract Farming in China: Perspectives of Smallholders in Vegetable Production," 2016 Annual Meeting, July 31-August 2, Boston, Massachusetts 235573, Agricultural and Applied Economics Association.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:uersab:33759. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: https://edirc.repec.org/data/ersgvus.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.