IDEAS home Printed from https://ideas.repec.org/p/pra/mprapa/117274.html
   My bibliography  Save this paper

The impact of internet use on the performance of agricultural cooperatives in Vietnam

Author

Listed:
  • Nguyen, Trung Thanh
  • Do, Manh Hung
  • Rahut, Dil
  • Nguyen, Viet Hung
  • Chhay, Panharoth

Abstract

Supporting agricultural cooperatives might contribute to the livelihood improvement of many small-scale farmers in developing countries. This research examined the factors affecting the internet use of agricultural cooperatives with a focus on female leadership, its effects on cooperatives’ economic, social, and innovative performance, and the distributional effects of internet use on economic performance. Our analysis relied on the data of 3,512 agricultural cooperatives collected in 2021 from Vietnam. We addressed the endogeneity issue of internet use in impact assessment by employing an instrumental variable approach. Our results showed that female leadership was positively and significantly associated with internet use and that internet use had a positive and significant effect on returns on assets, returns on equity, labour productivity, payment per labourer, contribution to labour union and insurance per labourer, and innovation in products of agricultural cooperatives. In addition, unconditional quantile regressions showed that internet use in agricultural cooperatives exacerbated income inequality. Enhancing female leadership and promoting rural education were recommended to improve agricultural cooperatives’ performance.

Suggested Citation

  • Nguyen, Trung Thanh & Do, Manh Hung & Rahut, Dil & Nguyen, Viet Hung & Chhay, Panharoth, 2023. "The impact of internet use on the performance of agricultural cooperatives in Vietnam," MPRA Paper 117274, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:117274
    as

    Download full text from publisher

    File URL: https://mpra.ub.uni-muenchen.de/117274/1/Working_Paper_2023.pdf
    File Function: original version
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Shiyi Chen & Wanlin Liu & Hong Song, 2020. "Broadband Internet, Firm Performance, And Worker Welfare: Evidence And Mechanism," Economic Inquiry, Western Economic Association International, vol. 58(3), pages 1146-1166, July.
    2. Kleibergen, Frank & Paap, Richard, 2006. "Generalized reduced rank tests using the singular value decomposition," Journal of Econometrics, Elsevier, vol. 133(1), pages 97-126, July.
    3. Kevin Campbell & Antonio Mínguez-Vera, 2008. "Gender Diversity in the Boardroom and Firm Financial Performance," Journal of Business Ethics, Springer, vol. 83(3), pages 435-451, December.
    4. Paunov, Caroline & Rollo, Valentina, 2016. "Has the Internet Fostered Inclusive Innovation in the Developing World?," World Development, Elsevier, vol. 78(C), pages 587-609.
    5. Fang, Xiang & Yen, David C., 2006. "Demographics and behavior of Internet users in China," Technology in Society, Elsevier, vol. 28(3), pages 363-387.
    6. Trung Thanh Nguyen & Manh Hung Do, 2022. "Female rural–urban migrants and online marketplaces in emerging economies: Evidence from Thailand and Vietnam," Asia and the Pacific Policy Studies, Wiley Blackwell, vol. 9(3), pages 317-342, September.
    7. Ahmet Candemir & Sabine Duvaleix & Laure Latruffe, 2021. "Agricultural Cooperatives And Farm Sustainability – A Literature Review," Journal of Economic Surveys, Wiley Blackwell, vol. 35(4), pages 1118-1144, September.
    8. Bertschek, Irene & Cerquera, Daniel & Klein, Gordon J., 2011. "More bits - more bucks? Measuring the impact of broadband internet on firm performance," ZEW Discussion Papers 11-032, ZEW - Leibniz Centre for European Economic Research.
    9. Zhang, Shemei & Sun, Zhanli & Ma, Wanglin & Valentinov, Vladislav, 2020. "The effect of cooperative membership on agricultural technology adoption in Sichuan, China," China Economic Review, Elsevier, vol. 62(C).
    10. Ruby Roy Dholakia & Nir Kshetri, 2004. "Factors Impacting the Adoption of the Internet among SMEs," Small Business Economics, Springer, vol. 23(4), pages 311-322, November.
    11. Briggeman, Brian C. & Whitacre, Brian E., 2010. "Farming and the Internet: Reasons for Non-Use," Agricultural and Resource Economics Review, Cambridge University Press, vol. 39(3), pages 571-584, October.
    12. Adams, Renée B. & Ferreira, Daniel, 2009. "Women in the boardroom and their impact on governance and performance," Journal of Financial Economics, Elsevier, vol. 94(2), pages 291-309, November.
    13. Wang LIJIA & Huo XUEXI, 2014. "Transaction Costs Comparison Between Cooperatives And Conventional Apple Producers: A Case Study Of Northwestern China," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 85(2), pages 233-255, June.
    14. Nguyen, Trung Thanh & Nguyen, Thanh-Tung & Grote, Ulrike, 2022. "Internet use, natural resource extraction and poverty reduction in rural Thailand," Ecological Economics, Elsevier, vol. 196(C).
    15. Périlleux, Anaïs & Szafarz, Ariane, 2015. "Women Leaders and Social Performance: Evidence from Financial Cooperatives in Senegal," World Development, Elsevier, vol. 74(C), pages 437-452.
    16. Hung‐Hao Chang & David R. Just, 2009. "Internet Access and Farm Household Income – Empirical Evidence using a Semi‐parametric Assessment in Taiwan," Journal of Agricultural Economics, Wiley Blackwell, vol. 60(2), pages 348-366, June.
    17. Long Yang & Haiyang Lu & Sangui Wang & Meng Li, 2021. "Mobile Internet Use and Multidimensional Poverty: Evidence from A Household Survey in Rural China," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 158(3), pages 1065-1086, December.
    18. Sergio Firpo & Nicole M. Fortin & Thomas Lemieux, 2009. "Unconditional Quantile Regressions," Econometrica, Econometric Society, vol. 77(3), pages 953-973, May.
    19. Trung Thanh Nguyen & Viet Tuan Tran & Thanh-Tung Nguyen & Ulrike Grote, 2021. "Farming efficiency, cropland rental market and income effect: evidence from panel data for rural Central Vietnam," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 48(1), pages 207-248.
    20. Hernan Galperin & M. Fernanda Viecens, 2017. "Connected for Development? Theory and evidence about the impact of Internet technologies on poverty alleviation," Development Policy Review, Overseas Development Institute, vol. 35(3), pages 315-336, May.
    21. Giacomo Zanello & Chittur S. Srinivasan & Bhavani Shankar, 2014. "Transaction Costs, Information Technologies, and the Choice of Marketplace among Farmers in Northern Ghana," Journal of Development Studies, Taylor & Francis Journals, vol. 50(9), pages 1226-1239, September.
    22. Arthur Lewbel, 2012. "Using Heteroscedasticity to Identify and Estimate Mismeasured and Endogenous Regressor Models," Journal of Business & Economic Statistics, Taylor & Francis Journals, vol. 30(1), pages 67-80.
    23. Tran, Viet T. & Nguyen, Trung Thanh & Tran, Nguyet T.M., 2019. "Gender difference in access to local finance and firm performance: Evidence from a panel survey in Vietnam," Economic Analysis and Policy, Elsevier, vol. 63(C), pages 150-164.
    24. Barrett, Christopher B., 2008. "Smallholder market participation: Concepts and evidence from eastern and southern Africa," Food Policy, Elsevier, vol. 33(4), pages 299-317, August.
    25. Wanglin Ma & Hongyun Zheng & Yueji Zhu & Jianling Qi, 2022. "Effects of cooperative membership on financial performance of banana farmers in China: A heterogeneous analysis," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 93(1), pages 5-27, March.
    26. Nicolai T. Borgen, 2016. "Fixed effects in unconditional quantile regression," Stata Journal, StataCorp LP, vol. 16(2), pages 403-415, June.
    27. Ye Su & Michael L. Cook, 2020. "Advances in agricultural cooperative research since 2007: A review of Chinese Agricultural Economics literature," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 91(4), pages 519-543, December.
    28. DeStefano, Timothy & Kneller, Richard & Timmis, Jonathan, 2018. "Broadband infrastructure, ICT use and firm performance: Evidence for UK firms," Journal of Economic Behavior & Organization, Elsevier, vol. 155(C), pages 110-139.
    29. Wanglin Ma & Xiaobing Wang, 2020. "Internet Use, Sustainable Agricultural Practices and Rural Incomes: Evidence from China," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 64(4), pages 1087-1112, October.
    30. Goldfarb, Avi & Prince, Jeff, 2008. "Internet adoption and usage patterns are different: Implications for the digital divide," Information Economics and Policy, Elsevier, vol. 20(1), pages 2-15, March.
    31. Fernando Lera-Lopez & Margarita Billon & Maria Gil, 2011. "Determinants of Internet use in Spain," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 20(2), pages 127-152.
    32. Mishra, Ashok K. & Park, Timothy A., 2005. "An Empirical Analysis of Internet Use by U.S. Farmers," Agricultural and Resource Economics Review, Cambridge University Press, vol. 34(2), pages 253-264, October.
    33. Caspar Rose, 2007. "Does female board representation influence firm performance? The Danish evidence," Corporate Governance: An International Review, Wiley Blackwell, vol. 15(2), pages 404-413, March.
    Full references (including those not matched with items on IDEAS)

    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. Trung Thanh Nguyen & Manh Hung Do & Dil B. Rahut & Viet Hung Nguyen & Panharoth Chhay, 2023. "Female leadership, internet use, and performance of agricultural cooperatives in Vietnam," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 94(3), pages 877-903, September.
    2. Trung Thanh Nguyen & Manh Hung Do, 2022. "Female rural–urban migrants and online marketplaces in emerging economies: Evidence from Thailand and Vietnam," Asia and the Pacific Policy Studies, Wiley Blackwell, vol. 9(3), pages 317-342, September.
    3. Trung Thanh Nguyen & Manh Hung Do, 2022. "Female migrants and online market participation in rural Southeast Asia," TVSEP Working Papers wp-026, Leibniz Universitaet Hannover, Institute for Environmental Economics and World Trade, Project TVSEP.
    4. Nguyen, Trung Thanh & Nguyen, Thanh-Tung & Grote, Ulrike, 2022. "Internet use, natural resource extraction and poverty reduction in rural Thailand," Ecological Economics, Elsevier, vol. 196(C).
    5. Thanh‐Tung Nguyen & Trung Thanh Nguyen & Ulrike Grote, 2023. "Internet use and agricultural productivity in rural Vietnam," Review of Development Economics, Wiley Blackwell, vol. 27(3), pages 1309-1326, August.
    6. Anaïs Périlleux & Ariane Szafarz, 2022. "Women in the boardroom: a bottom–up approach to the trickle-down effect," Small Business Economics, Springer, vol. 58(4), pages 1783-1800, April.
    7. Manh Hung Do, 2023. "The Role of Savings and Income Diversification in Households’ Resilience Strategies: Evidence from Rural Vietnam," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 168(1), pages 353-388, August.
    8. Phan, Van-Phuc, 2023. "Is the internet penetration pro-poor? Evidence from a panel data analysis," Telecommunications Policy, Elsevier, vol. 47(8).
    9. Do, Manh Hung & Nguyen, Trung Thanh & Grote, Ulrike, 2023. "Land consolidation, rice production, and agricultural transformation: Evidence from household panel data for Vietnam," Economic Analysis and Policy, Elsevier, vol. 77(C), pages 157-173.
    10. Manh Hung Do, 2023. "Saving up and diversifying income for a rainy day: Implications for households' resilience strategies and poverty," TVSEP Working Papers wp-033, Leibniz Universitaet Hannover, Institute for Environmental Economics and World Trade, Project TVSEP.
    11. Manh Hung Do & Trung Thanh Nguyen & Ulrike Grote, 2022. "Is land consolidation policy a solution for rice production and agricultural transformation in Vietnam?," TVSEP Working Papers wp-028, Leibniz Universitaet Hannover, Institute for Environmental Economics and World Trade, Project TVSEP.
    12. Fabio De Matteis & Alessandra Tafuro & Fabrizio Striani & Daniela Preite, 2023. "Totally Publicly-Owned (TPO) Utilities and Financial Performance: What is the role of some aspects of governance?," MANAGEMENT CONTROL, FrancoAngeli Editore, vol. 2023(3), pages 89-111.
    13. Katia Furlotti & Tatiana Mazza & Veronica Tibiletti & Silvia Triani, 2019. "Women in top positions on boards of directors: Gender policies disclosed in Italian sustainability reporting," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 26(1), pages 57-70, January.
    14. Nguyen, Tuan & Nguyen, An & Nguyen, Mau & Truong, Thuyen, 2021. "Is national governance quality a key moderator of the boardroom gender diversity–firm performance relationship? International evidence from a multi-hierarchical analysis," International Review of Economics & Finance, Elsevier, vol. 73(C), pages 370-390.
    15. Aitzaz Ahsan Alias Sarang & Nicolas Aubert & Xavier Hollandts, 2024. "Board gender diversity and the cost of equity: What difference does gender quota legislation make?," International Journal of Finance & Economics, John Wiley & Sons, Ltd., vol. 29(2), pages 2193-2213, April.
    16. Tuan Nguyen, 2017. "Do Female Directors Add Value?," Acta Universitatis Danubius. OEconomica, Danubius University of Galati, issue 13(3), pages 169-177, JUNE.
    17. Bowo Setiyono & Amine Tarazi, 2018. "Does Diversity of Bank Board Members Affect Performance and Risk? Evidence from an Emerging Market," CSR, Sustainability, Ethics & Governance, in: Belén Díaz Díaz & Samuel O. Idowu & Philip Molyneux (ed.), Corporate Governance in Banking and Investor Protection, chapter 0, pages 185-218, Springer.
    18. Pham, Thuy-Dzung T. & Lo, Fang-Yi, 2023. "How does top management team diversity influence firm performance? A causal complexity analysis," Technological Forecasting and Social Change, Elsevier, vol. 186(PB).
    19. Collins Ntim, 2015. "Board diversity and organizational valuation: unravelling the effects of ethnicity and gender," Journal of Management & Governance, Springer;Accademia Italiana di Economia Aziendale (AIDEA), vol. 19(1), pages 167-195, February.
    20. Husam Aldamen & Janice Hollindale & Jennifer L. Ziegelmayer, 2018. "Female audit committee members and their influence on audit fees," Accounting and Finance, Accounting and Finance Association of Australia and New Zealand, vol. 58(1), pages 57-89, March.

    More about this item

    Keywords

    internet use; performance; endogeneity; heterogeneity; instrumental variable;
    All these keywords.

    JEL classification:

    • D60 - Microeconomics - - Welfare Economics - - - General
    • Q1 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture
    • R2 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    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:pra:mprapa:117274. 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: Joachim Winter (email available below). General contact details of provider: https://edirc.repec.org/data/vfmunde.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.