Governance structure and innovation to create and remunerate value in the specialty beef chain

Amanda Ferreira Guimarães, Sandra Mara de Alencar Schiavi, Jaiane Aparecida Pereira, José Paulo de Souza, Mélise Dantas Machado Bouroullec

Abstract


Objective: To understand how the governance structure between producers and slaughter cooperatives of specialty beef chain in Paraná, Brazil, influence innovation and the remuneration of the value generated.

Methodology: Semi-structured interviews were performed with 17 agents from two cooperatives and producers in the specialty beef chain in Paraná, Brazil.

Originality: This study seeks to fill a gap in the literature by combining innovation and efficiency theories to assess how agents organize themselves enable them to create and remunerate the value generated.

Main results: This study shows that producers and cooperatives organize themselves in a hybrid form involving verbal agreements which enable innovations due to information exchanges between producers. However, possible failures in value distribution stem from the non-remuneration of quality attributes, which may discourage innovations and the performance of the chain.

Managerial contributions: Despite failures, cooperatives promote innovation and are a viable alternative for producers to compete in the market. Incentives can mitigate the risks associated with the observed failures. This study provides insights for private and public actions to encourage the formation of these arrangements and to improve the coordination of innovation subsystems.

Theoretical contributions: Since efficiency theories underestimate innovation, our analysis employed efficiency and innovation theories, contributing to the better understanding of subsystems which depend on innovation to produce specialty products. 


Keywords


Cooperative. Quality. Value distribution.

References


Adu- Acheampong, R. et al. (2017). An innovation platform for institutional change in Ghana’s cocoa sector. Cahiers Agricultures, 26. https://doi.org/10.1051/cagri/2017016

Akerlof, G. (1970). The market for lemons: quality uncertainty and the market mechanism. The Quarterly Journal of Economics, 84(3), 488-500. https://doi.org/10.2307/1879431

Atlas.ti. (2017, março 15) Atlas.ti qualitative data analysis. Recuperado de: http://atlasti.com/product/v7-windows/.

Bánkuti, S. M. S., & Souza, J. P. (2014). Arranjos contratuais e assimetria de poder no SAG suinícola no Oeste Paranaense. Organizações Rurais e Agroindustriais, 16, 92-107.

Bardin, L. (1979). Análise de conteúdo. Lisboa: Edições 70.

Barzel, Y. (2005). Organizational forms and measurement costs. Journal of Institutional and Theoretical Economics, 161, 357-373. 10.1628/093245605774259291

Bridi, A. M., & Constantino, C. (2009). Qualidade e avaliação de carcaças e carnes bovinas. In Congresso Parananense de Estudantes de Zootecnia. Maringá, sn.

Buainain, A. M. & Batalha, M. O. (Ed.). (2007) Cadeia produtiva da carne bovina. Série Agronegócios. vol. 8. – Brasília: IICA: MAPA/SPA, 2007.

Burnasov, A. S., Ilyushkina, M. Y., Kovalev, Y. Y. & Stepanov, A. V. (2015). Upgrading territorial systems in the innovation paradigm of economic geography. European Journal of Geography, 6(1), 6-22.

Caleman, S. M. Q., & Monteiro, G. F. A. (2013). Should I go to court? An assessment of the role of the Judiciary in disputes between cattle raisers and meatpackers in Brazil. Revista de Administração, 48(2), 208-221. https://doi.org/10.5700/rausp1083

Caleman, S. M. D. Q., & Zylbersztajn, D. (2012). Falta de garantias e falhas de coordenação: evidências do sistema agroindustrial da carne bovina. Revista de Economia e Sociologia Rural, 50(2), 223-242. https://doi.org/10.1590/S0103-20032012000200002

Centro de Estudos Avançados em Economia Aplicada. (2021, july 30). PIB do Agronegócio. Recuperado de: http://www.cepea.esalq.usp.br/pib/.

Coase, R. H. (1937). The nature of the firm. Economica, 4 (16), 386-405. https://doi.org/10.1111/j.1468-0335.1937.tb00002.x

Instituto Paranaense de Assistência Técnica e Extensão Rural (2018, novembro 21). Projeto bovinocultura de corte – resumo executivo. Recuperado de: http://www.emater.pr.gov.br/modules/conteudo/conteudo.php?conteudo=63http://www.sistemafaep.org.br/wp-content/uploads/2015/08/BI13141.pdf.

Farina, E. M. M. (2002). Consolidation, multinationalisation, and competition in Brazil: impacts on horticulture and dairy products systems. Development Policy Review, 20(4), 441-457. 10.1111/1467-7679.00182

Freeman, C., & Soete, A. (2008). A economia da inovação industrial. Campinas: Editora Unicamp.

Garbade, P. J. P., Omta, S. W. F., & Fortuin, F. T. J. M. (2015). The interplay of structural and relational governance in innovation alliances. Journal on Chain and Network Science, 15(3), 1-18. 10.3920/jcns2014.x016

Gereffi, G. (2013). Global value chains in a post-Washington Consensus world. Review of International Political Economy, 2013. https://doi.org/10.1080/09692290.2012.756414

Gereffi, G., & Lee, J. (2012). Why the world suddenly cares about global supply chains. Journal of Supply Chain Management, 48(3), 24-32. 10.1111/j.1745-493X.2012.03271.x

Gereffi, G., Humphrey, J. & Sturgeon, T. (2005). The governance of global value chains. Review of Political Economy, 12(1), 78-104. https://dx.doi.org/10.1080/09692290500049805

Giuliani, E., Pietrobelli, C., & Rabellotti, R. (2005). Upgrading in global value chains: lessons from Latin American clusters. World Development, 33(4), 549-573. https://doi.org/10.1016/j.worlddev.2005.01.002

Joskow, P.L. (2004). New institutional economics: a report card. Conference of International Society of New Institutional Economics, Budapest, Hungary. https://dx.doi.org/10.1017/CBO9780511754043.003

Hinnou, L. C., Mongbo, R. L., Kamanda, J., & Sanyang, S. (2018). Innovation platform and governance of local rice value chains in Benin: between game of power and internal democracy? Cogent Food & Agriculture, 4, 2018. https://doi.org/10.1080/23311932.2018.1433346

Ho, K. L. P., Nguyen, C. N., Adhikari, R., Miles, M. P., & Bonney, L. (2018). Exploring market orientation, innovation, and financial performance in agricultural value chains in emerging economies. Journal of Innovation & Knowledge, 3(3), 154-163. https://doi.org/10.1016/j.jik.2017.03.008

Hooks, T., McCarthy, O., Power, C., & Macken-Walsh, Á. (2017). A co-operative business approach in values-based supply chain: a case study of beef co-operative. Journal of Co-operative Organization and Management, 5(2), 65-72. 10.1016/j.jcom.2017.10.001

Kühne, B., Gellynck, X., & Weaver, R. D. (2015) Enhancing innovation capacity through vertical, horizontal, and third-party networks for traditional foods. Agribusiness, 31(3), 294-313. 10.1002/agr.21408

Lambrecht, E., Kühne, B., & Gellynck, X. (2015). Asymmetric relationships in networked agricultural innovation processes. British Food Journal, 117(7), 1810-1825. https://doi.org/10.1108/BFJ-05-2014-0183

Lemos, C. Inovação na era do conhecimento. (1999). In: Lastres, H. M. M. & Albagli, S. (Ed.). Informação e globalização na era do conhecimento. Rio de Janeiro: Campus.

Malorgio, G., Camanzi, L., & Grazia, C. (2012). Supply chain relationships and quality certification schemes: a case study in fisheries. Politica Agricola Internazionale, 1, 63-80. 10.22004/ag.econ.131063

Mancini, M. C., Arfini, F., & Guareschi, M. (2019). Innovation and typicality in localized agri-food systems: the case of PDO Parmigiano Reggiano. British Food Journal, 121(12). https://doi.org/10.1108/BFJ-10-2018-0662

Ménard, C. (2004). The economics of hybrid organizations. Journal of Institutional and Theoretical Economics, 160(3), 345-376. 10.1628/0932456041960605

Nain, M. S. et al. (2019). Maximising farm profitability through entrepreneurship development and farmers’ innovations: feasibility anaçysis and action interventions. Indian Journal of Agricultural Sciences, 89(6),1044-1049.

Nijhoff-Savvaki, R., Trienekens, J. H. J., & Omta, S. W. F. O. (2012). Drivers for innovation in niche pork netchains: a study of United Kingdom, Greece, and Spain. British Food Journal, 114(8), 1106-1127. https://doi.org/10.1108/00070701211252084

Organização para Cooperação e Desenvolvimento Econômico. (1997). Manual de oslo: diretrizes para a coleta e interpretação de dados sobre inovação tecnológica. FINEP, 3 ed.

Oliveira, G. M., Cunha, C. F., Caleman, S. M. Q., & Maia, R. L. G. (2019). Information assymetry: the case of cattle supply transaction in Brazil. British Food Journal. https://doi.org/10.1108/BFJ-01-2019-0041

Pereira, J. A., Schiavi, S. M. A., & Guimarães, A. F. (2019). Capital social nas transações: estudo das relações de troca entre pecuaristas e suas cooperativas de abate no sistema diferenciado da carne bovina no Estado do Paraná. Trabalho apresentado no XLIII Econtro da Anpad, São Paulo, Brasil.

Pietrobelli, C., & Rabellotti, R. (2011). Global value chains meet innovation systems: are there learning opportunities for developing countries? World Development, 39(7), 1261-1269.

Pietrobelli, C., & Staritz, C. (2018). Upgrading, interactive learning, and innovation systems in value chain interventions. The European Journal of Development Research, 30(3), 557-574. 10.1057/s41287-017-0112-5

Polaquini, L. E. M., Souza, J. G., & Gebara, J. J. (2006). Transformações técnico-produtivas e comerciais na pecuária de corte brasileira a partir da década de 90. Revista Brasileira de Zootecnia, 35(1), 321-327. http://dx.doi.org/10.1590/S1516-35982006000100040

Rocha, J. C. M., Neves, M. F., & Lobo, R. B. (2001). Experiências com alianças verticais na coordenação da cadeia produtiva da carne bovina no Brasil. In: Congresso Internacional de Economia e Gestão de Negócios. Ribeirão Preto: FEA-USP.

Rodrigues, J. A., Lauermann, G. J., Moreira, V. R., Ferraresi, A. A., & Souza, A. (2018). Estrutura de Capital e Peculiaridades Regionais nas Cooperativas Agropecuárias do Paraná - Brasil. Revista de Economia e Sociologia Rural, 56(2), 213-224. https://doi.org/10.1590/1234-56781806-94790560202

Saab, M. S. B. L. M.; Neves, M. F., & Cláudio, L. D. G. (2009). O desafio da coordenação e seus impactos sobre a competitividade de cadeias e sistemas agroindustriais. Revista Brasileira de Zootecnia, 38(supl. Especial), 412-422. https://doi.org/10.1590/S1516-35982009001300041

Samper, L. F., Giovanucci, D., & Vieira, L.M. (2017). The powerful role of intangibles in the coffee value chain. Economic Research Working Paper No. 39. World Intelectual Property Organization.

Santini, G. A., Schiavi, S. M. A., & Souza Filho, H. M. (2006). Inovações tecnológicas em cadeias agroindustriais: alguns casos do segmento de processamento de carnes, leite e café no Brasil. Gestão da Produção, Operações e Sistemas, 3, 09-21. https://doi.org/10.15675/gepros.v0i2.85

Schumpeter, J. A. (1997). Teoria do desenvolvimento econômico. São Paulo: Abril Cultural.

Shanoyan, A., Bankuti, S. M. S., & Colares-Santes, L. (2019) Analysis of incentive structures at producer–processor interface of beef supply chain in Brazil. Journal of Agribusiness in Developing and Emerging Economies, 9(2), 159-174. https://doi.org/10.1108/JADEE-10-2017-0104

Sobratee, N., & Bodhanya, S. (2017). How can we envision smallholder positioning in African agribusiness? Harnessing innovation and capabilities. Journal of Business and Retail Management Research, 12(1), 119-32. 10.24052/JBRMR/V12IS01/HCWESPIAAHIAC

Tóth, J. (2015, abril). Value creation and capturing: the case of the Hungarian agri-food SMEs. Trabalho apresentado no 89th Agricultural Economics Society Conference.

Trienekens, J. H. (2011). Agricultural value chains in developing countries: a framework for analysis. International Food and Agribusiness Management Review, 14(2), 51-82. https://dx.doi.org/10.22004/ag.econ.103987

United States Department of Agriculture. (2021, july 30. Foreign Agricultural Services. Recuperado de: https://apps.fas.usda.gov/psdonline/app/index.html#/app/home.

Vinholis, M. N. B., Souza Filho, H. M., Carrer, M. J., & Chaddad, F. R. (2014). Transaction attributes and adoption of hybrid governance in the Brazilian cattle market. Journal on Chain and Network Science, 14(3), 189-199. https://doi.org/10.3920/JCNS2014.0239

Williamson, O. E. (1985). The economic institutions of capitalism. New York: Free Press.

Williamson, O. E. (1991). Comparative economic organization: the analysis of discrete structural alternatives. Administrative Science Quarterly 36(2), 269-296. https://doi.org/10.2307/2393356

Zylbersztajn, D. (2018). Measurement costs and governance: bridging perspectives of transaction cost economics. Caderno de Administração, 26(1).




DOI: https://doi.org/10.5585/riae.v21i1.20530

Refbacks

  • There are currently no refbacks.


Copyright (c) 2022 Revista Ibero-Americana de Estratégia

Creative Commons License
This work is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License.

Revista Iberoamericana de Gestão Estratégica (IJSM)
Revista Ibero-Americana de Estratégia (RIAE)
e-ISSN: 2176-0756
https://periodicos.uninove.br/index.php?journal=riae

Revista Iberoamericana de Gestão Estratégica (IJSM) © 2022 Todos os direitos reservados.

Esta obra está licenciada com Licença
Creative Commons Atribuição-NãoComercial-CompartilhaIgual 4.0 Internacional