Market Structure of Beef Cattle Business in Payakumbuh West Sumatera

Yuzaria, Dwi; Rias, M. Ikhsan

doi:10.18178/joaat.4.4.324-330

Cited by 4 publications

(3 citation statements)

References 5 publications

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“…Slaughterhouses also faced the same barriers with traders but had problems with marketing activity. This result is similar to a study by Yuzaria & Rias (2017), where the major barriers to entry were high investment and marketing value. However, a study conducted in Kenya showed that the barriers to entry beef cattle market also include lack of information on sources of livestock for trade, price setting of the beef cattle, high capital, and poor trade practices (Onduso et al, 2020).…”

Section: Lorenz Curve In Input Intermediate and Output Markets In East Javasupporting

confidence: 88%

Inter-market Variability of Smallholder Beef Cattle Farming in East Java Indonesia

Sunyigono

Suprapti

Arifiyanti

2021

J AGRIB RURAL DEV RES

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Indonesia has failed to achieve meat self-sufficiency; meanwhile, East Java is among the centers of beef cattle with a relatively high contribution in terms of GDP and employment. Therefore, this study aims to identify and analyze the market structure of the beef cattle commodity chain by considering the concentration ratio, Gini Index, as well as barriers to exit and entry. The study was conducted in Malang Regency and Sapudi Island, with 164 respondents, which consisted of calf suppliers, farmers, traders, and slaughterhouses. Furthermore, the analytical tools used include descriptive, concentration ratio, Gini Coefficient, and analysis of barriers to entry and exit. Based on the results, the market structures in the beef cattle commodity chain in terms of its input market was perfect competition, while the intermediate and output market was oligopoly. These results were confirmed by the concentration ratios of calf suppliers and farmers, which were lower than the ratios of traders and slaughterhouses. Although the market structures were different, their Gini Coefficients are almost similar because a value of 0.2 showed an equitable distribution. Additionally, the barriers to entry into the market were high investment with a large number of import and market problems. Meanwhile, the barriers to exit the market were a large number of potential demands, high investment, and a source of income.

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Section: Lorenz Curve In Input Intermediate and Output Markets In East Javasupporting

confidence: 88%

Inter-market Variability of Smallholder Beef Cattle Farming in East Java Indonesia

Sunyigono

Suprapti

Arifiyanti

2021

J AGRIB RURAL DEV RES

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“…Under the level of medium concentration, new actors of beef cattle were enabled to enter, though they had difficulty in competing with older actors. Contrastingly, the market structure having a higher concentration of oligopoly was highly tough entered by new marketers [37]. This result of the research was following previous research [24,38], arguing that the market concentration of beef cattle was classified as a higher concentration of oligopoly, so that it tends inefficient.…”

Section: Market Structuresupporting

confidence: 72%

“…The concentration was done by measuring the size of company distribution in the industry. To measure it, there were two (2) ways, such as: a) Ratio concentration (Rc) by the following equation [24,25].…”

Section: Analysis Of the Market Structurementioning

confidence: 99%

Market structure and price controller of beef cattle in North Sulawesi

2021

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The purpose of this study is to analyze the market structure and controller of beef cattle prices in North Sulawesi. The location of the research was purposively determined, namely Manado City, Tomohon City, and Regency of Minahasa as the trade center of beef cattle in North Sulawesi. Furthermore, respondents were determined by the snowball sampling, started by obtaining information about breeders of beef cattle as business consumers and, also, the end consumers through the Department of Agriculture and Animal Husbandry in the three research areas. Through the snowball technique, 120 respondents consisted of 10 end-consumers/business consumers of beef cattle, 10 intermediate traders, and 100 breeders of beef cattle. The data, then, were analyzed using the concentration ratio model and Hirscman-Herfindahl Index to measure the market structure and asymmetric price transmission analysis to detect the controllers of beef cattle prices. The result shows that the structure of the beef cattle market in North Sulawesi led to an oligopoly with the highest concentration; while, the controllers of beef cattle prices were the end-consumer as business consumers of live beef cattle.

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