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Change of competition regime and regional innovative capacities: Evidence from dairy restructuring in France

Author

Listed:
  • Marie Dervillé

    (LEREPS - Laboratoire d'Etude et de Recherche sur l'Economie, les Politiques et les Systèmes Sociaux - UT Capitole - Université Toulouse Capitole - UT - Université de Toulouse - UT2J - Université Toulouse - Jean Jaurès - UT - Université de Toulouse - Institut d'Études Politiques [IEP] - Toulouse - ENSFEA - École Nationale Supérieure de Formation de l'Enseignement Agricole de Toulouse-Auzeville)

  • Gilles Allaire

    (US ODR - Observatoire des Programmes Communautaires de Développement Rural - INRA - Institut National de la Recherche Agronomique)

Abstract

The aim of this article is to analyze how market actors, and farmers in particular, mobilize collective coordination capacities to face global changes – market price or sectorial policies – within different regional contexts. A multi-scale conceptual framework is proposed to analyze market functioning and transformation over time and space. We extend Commons and Fligstein's work on market institutions to define the notion of competition regime as a combination of four market institutions that legitimizes competition strategies. We also mobilize Ostrom's work on common property rights regimes to show that a competition regime relies on the creation and management of two systems of common-pool resources, namely innovation capacity and reputation-building. This paper then shows the relevance of this framework through the case study of the current restructuring of dairy supply chains in mountainous areas in France. It shows that market liberalization strongly destabilizes the regional competition regimes that were based on the appropriation of social rights inherent to the national public policies. In the hybrid and specific competition regimes, existing territorial coordination devices are not directly threatened and can support the development of new cooperative strategies. In all cases, with the development of a contractual economy, farmers are incited to develop or to strengthen coordination devices to become effective market participants. Through the development of large territorial producers' organizations capable of managing milk supply in volume and quality, they would be able to take part in the management of the supply chains. To do so, the present paper suggests that farmers' organizations need material and immaterial investments and assistance from regional public players to build new local collective capacities. The competition regime framework is an asset for the design of such public supports in accordance with the principle of subsidiarity, taking the regional specificity of the markets' institutions and collective capacities into account.

Suggested Citation

  • Marie Dervillé & Gilles Allaire, 2014. "Change of competition regime and regional innovative capacities: Evidence from dairy restructuring in France," Post-Print hal-01525845, HAL.
    • Handle: RePEc:hal:journl:hal-01525845
    DOI: 10.1016/j.foodpol.2014.09.002
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    Citations

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    Cited by:

    1. You-hua Chen & Zhuang Zhang & Ashok K. Mishra, 2023. "A flexible and efficient hybrid agricultural subsidy design for promoting food security and safety," Palgrave Communications, Palgrave Macmillan, vol. 10(1), pages 1-8, December.
    2. Ding, Huiping & Fu, Yanan & Zheng, Lucy & Yan, Zhu, 2019. "Determinants of the competitive advantage of dairy supply chains: Evidence from the Chinese dairy industry," International Journal of Production Economics, Elsevier, vol. 209(C), pages 360-373.
    3. Thorsøe, Martin & Noe, Egon & Maye, Damian & Vigani, Mauro & Kirwan, James & Chiswell, Hannah & Grivins, Mikelis & Adamsone-Fiskovica, Anda & Tisenkopfs, Talis & Tsakalou, Emi & Aubert, Pierre-Marie &, 2020. "Responding to change: Farming system resilience in a liberalized and volatile European dairy market," Land Use Policy, Elsevier, vol. 99(C).
    4. Claire Dorville & Sylvaine Lemeilleur, 2023. "Institutional change in community-based management for organic labeling: a case study from a Participatory Guarantee System in France," Review of Agricultural, Food and Environmental Studies, Springer, vol. 104(3), pages 377-404, December.
    5. Dervillé, Marie & Manriquez, Diego & Dorin, Bruno & Aubron, Claire & Raboisson, Didier, 2023. "Indian dairy cooperative development: A combination of scaling up and scaling out producing a center-periphery structure," World Development, Elsevier, vol. 170(C).
    6. Anuj Mittal & Caroline C. Krejci & Teri J. Craven, 2018. "Logistics Best Practices for Regional Food Systems: A Review," Sustainability, MDPI, vol. 10(1), pages 1-44, January.
    7. Alpmann, Jan & Bitsch, Vera, 2017. "Dynamics of asymmetric conflict: The case of the German Milk Conflict," Food Policy, Elsevier, vol. 66(C), pages 62-72.
    8. Rodica Chetroiu & Ana Elena Cișmileanu & Elena Cofas & Ionut Laurentiu Petre & Steliana Rodino & Vili Dragomir & Ancuța Marin & Petruța Antoneta Turek-Rahoveanu, 2022. "Assessment of the Relations for Determining the Profitability of Dairy Farms, A Premise of Their Economic Sustainability," Sustainability, MDPI, vol. 14(12), pages 1-17, June.
    9. Lambare, Pierre & Derville, Marie & You, Gerard, 2018. "Quelles conditions d’accès au marché des éleveurs après les quotas laitiers ?‪," Économie rurale, French Society of Rural Economics (SFER Société Française d'Economie Rurale), vol. 364(April-Jun).
    10. Iveta Boskova & Samuel Ahado & Tomas Ratinger, 2020. "The effects of the participation in producer organisations on the performance of dairy farmers in the Czech Republic and future challenges," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 66(8), pages 345-354.
    11. Dervillé, Marie & Wallet, Frederic, 2014. "Institutionalizing short food supply chains for sustainable development: challenging issues," Politica Agricola Internazionale - International Agricultural Policy, Edizioni L'Informatore Agrario, vol. 2014(2).
    12. Guilherme Silva Fracarolli, 2021. "Mapping Online Geographical Indication: Agrifood Products on E-Commerce Shelves of Mercosur and the European Union," Economies, MDPI, vol. 9(2), pages 1-20, May.
    13. Thomas Lamarche & Pascal Grouiez & Martino Nieddu & Jean-Pierre Chanteau & Agnès Labrousse & Sandrine Michel & Julien Vercueil, 2021. "Saisir les processus méso : une approche régulationniste," Post-Print hal-02998010, HAL.
    14. Marie Dervillé, 2023. "Institutional insights into the adaptation capacities of sectoral communities: evidence from the restructuring of the dairy sectors in France and Germany," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 71(1), pages 61-91, August.

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