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/lp/emerald-publishing/managing-the-value-of-new-trait-varieties-in-the-canola-supply-chain-pydW0ubxuF
- Publisher
- Emerald Publishing
- Copyright
- Copyright © 2004 Emerald Group Publishing Limited. All rights reserved.
- ISSN
- 1359-8546
- DOI
- 10.1108/13598540410550064
- Publisher site
- See Article on Publisher Site
Abstract
Identifies the drivers, classifies the structures, examines the governance systems and estimates the relative economic costs and benefits of various identity‐preserved production and marketing (IPPM) systems that have evolved in the Canadian canola industry. The systems vary significantly, depending on whether they are managing input‐ or output‐based, traditionally bred or biotechnology‐based traits. Combines transaction costs and principal‐agent theory in a synthesized transaction cost‐agency model that allows for predictions regarding the organizational form of vertical integration based on the degree of asset specificity, task programmability and non‐separability. Transactions for new, proprietary, novel‐trait canola varieties require a more extensive set of institutions than traditional varieties. Identity‐preserved production and marketing systems appear technically feasible for smaller units of production, but it is unclear whether they are economically viable for long‐term or larger‐scale operations. IPPM systems can provide an effective and proven method of controlling risks and liabilities.
Journal
Supply Chain Management: An International Journal – Emerald Publishing
Published: Sep 1, 2004
Keywords: Biotechnology; Food crops; Genetic modification; Production management; Supply chain management; Canada