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Cited by 110Economics of Agriculture and Food MarketsMerger and Competition AnalysisGlobal trade, sustainability, and social impact

Market power and rents in global supply chains

Swinnen, Johan F.M., Vandeplas, Anneleen·2010·Agricultural Economics
DOI 10.1111/j.1574-0862.2010.00493.x
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Abstract

Market power and competition policy in food supply chains has emerged as an important economic issue in economics, and a highly sensitive item on the policy agenda. Consolidation is taking place in the food industry, both in high‐income countries and in emerging economies, but the impact of concentration in global food chains on efficiency and rent distribution is more nuanced and complex than often claimed. We review the literature and extend it by developing a model which explicitly takes into account market imperfections and contract enforcement problems in supply chains. Increased competition benefits farms by improving contract conditions, but contract enforcement becomes more complicated.

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  • Increased concentration can lead to efficiency gains from scale economies and other complex factors that can benefit consumers and in some cases producers in the agrifood sector.

    “At the same time, some studies in the economics literature point out that increased con­ centration can lead to efficiency gains from scale economies and other complex factors that can benefit consumers -and in some cases pro­ ducers -in the agrifood sector (e.g., Swinnen and Vandeplas 2010; M ´ erel and Sexton 2017).”

    From Corporate concentration and power matter for agency in food systems (2025) · cites this paper as Swinnen and Vandeplas 2010

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Authors
Swinnen, J. F. M., & Vandeplas, A.
Affiliations
KU Leuven (BE)
ORCID
Venue
Agricultural Economics
Publisher
Wiley
Published
2010-11
Volume
41
Issue
s1
Pages
109-120
ISSN
  • 0169-5150 (ISSN-L)
  • 1574-0862
DOI
10.1111/j.1574-0862.2010.00493.x
OpenAlex
W2155976876
Cited by
110
References
86
Citations by year
2026: 3 · 2025: 6 · 2024: 4 · 2023: 10 · 2022: 6 · 2021: 6 · 2020: 8 · 2019: 6 · 2018: 3 · 2017: 4 · 2016: 10 · 2015: 11 · 2014: 7 · 2013: 9 · 2012: 8
FWCI
17.38
Type
journal article
Language
en
Open access
closed
Licence
onlinelibrary.wiley.com/termsAndConditions#vor (vor, 8 d)
Locations
  • Agricultural Economics (publishedVersion)
  • Lirias (KU Leuven) (submittedVersion)
Topics
  • Social Sciences › Economics, Econometrics and Finance › Economics and Econometrics › Economics of Agriculture and Food Markets
  • Social Sciences › Economics, Econometrics and Finance › Economics and Econometrics › Merger and Competition Analysis
  • Social Sciences › Business, Management and Accounting › Strategy and Management › Global trade, sustainability, and social impact
Keywords
market power, rent, global food supply chains, competition policy, market concentration, consolidation, contract enforcement, market imperfections, rent distribution, supply chain efficiency

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