A Review of Supply Chain Prices Analyses with Emphasis on Perishable Markets

Abstract

Prices at different levels of the supply chain are linked through long-run relationships and tend to differ by the marketing costs. However, several aspects intervene in making price dynamics along the supply chain quite complicated and erratic. In particular, several issues on how marketing margins evolve over time and across commodities, as well as how prices are transmitted along the supply chain are still debated. The implications for the understanding of the economy, the management of the firms, and the regulations of the markets are important and pushed scholars to dedicate particular attention to these topics. In particular, how prices evolve in the supply chain of perishable products is an intriguing challenge that has stimulated a hot debate. We review the literature on price analyses, marketing margins, and vertical price transmission with particular emphasis on perishable products (fruits and vegetables) in order to conclude on the open issues worth further investigation.

Lithuanian carrot market: production, foreign trade, and price transmission issues

“…Although the results of the conducted study witness in favour of the symmetry, the nature of the asymmetric price behaviour in vegetable markets is widely discussed [23,24,27]. Even research with a specific focus on carrot market [17,23,24,27] provides an evidence of both symmetric and asymmetric price transmission in the long run. Thus, it is important to mention that the introduction of the more detailed stakeholders' analysis could have an impact on findings in the Lithuanian carrot market.…”

“…This statement is supported by many studies with contradicting results for different countries and supply chains. It should be noted that carrots as an object of price transmission research were selected only in a few studies [4,6,12,15,17,24,27], while the problems of vertical price transmission in the vegetable sector generated an impressively high number of publications (reviews on such studies are provided in [1,3,23,24,26]). The aforementioned studies on carrot price transmission investigate cases of the USA [6,15,27], Italy [24], the United Kingdom [17], Austria [17], Germany [12,17], Ireland [17], and Hungary [4].…”

New Market Information Applications in East Africa: Three Essays on Mapping Trade Flows, Identifying Vulnerability in Food Commodity Networks, and Nowcasting Agricultural Prices in East Africa

“…Santeramo and Gioia (2017) and provide additional literature reviews that cover policyrelevant applications for price transmission research 4. This paper focuses exclusively on physical commodity markets, which especially in low-technology contexts, involves physically exchange of agricultural commodities.…”