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We present an empirical analysis about the contract choice of retailers in the Hungarian beef sector employing transaction cost economics. The frequency of transactions has negative influences on the duration of contract. Furthermore, large retailers are unlikely to have long term contract. We found some evidence that reputation reduces the probability of long term contract. Our results suggest that asset specificity has no influence on the duration of contract. In terms of specific aspect of contracts we find that price incentives in the form of bonus/penalty payments clauses are more likely to be incorporated in a contract of small firms.

Subject(s): Livestock Production/Industries

Marketing

Issue Date: 2006

Publication Type: Conference Paper/ Presentation

PURL Identifier: http://purl.umn.edu/7746

Total Pages: 9

Series Statement: Seminar Paper

Record appears in: European Association of Agricultural Economists (EAAE) > 99th Seminar, February 8-10, 2006, Bonn, Germany





Autor: Bardos, Krisztina ; Ferto, Imre

Fuente: http://ageconsearch.umn.edu/record/7746?ln=en



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