Valeria Sodano

Differentiation strategies in vertical channels: A case study from the market for fresh produce

Purpose – The purpose of this article is twofold: first, to review the literature in order to assess the opportunities and the possible welfare effects of differentiation strategies in the food market; and second, to analyse the current structure and organisation of the fresh produce market (fruit, vegetable, and salad) in the light of new product procurement, innovation, and differentiation policies carried out by retailers at the global level.Design/methodology/approach – The paper used a single dyadic case study across two countries (Italy and the UK): the primary producer is engaged in “partner” supply to a principal category management intermediary for channel leading multiple retailers.Findings – First, equilibrium in differentiated markets is not stable, and a welfare assessment is difficult. Second, a differentiation strategy in the market for fresh produce might benefit retailers more than in other sectors, which seem to be consistent with the theoretical findings. Third, when retailers engage in...

Challenges in Italian wine routes: managing stakeholder networks

Purpose The aim of this article is to analyse how wine and tourism operators understand the concept of a wine route, to determine the impact that definition can have on the extent to which stakeholders working within distinct, but related sectors (namely wine production, tourism, food and hospitality) collaborate with each other and share knowledge. Design/methodology/approach By adopting the theoretical lens of “boundary objects” (understood as tangible or intangible entities that allow the sharing of meaning to different groups and facilitate collaboration), this article uses a qualitative approach, based on semi-structured interviews of 20 informants working in three different wine routes in Italy. Analysis of data is carried out to highlight the similarities and differences between the wine and tourism (including identified associated service) industries. Findings Wine routes can be considered boundary objects that, if clearly defined by local stakeholders, can facilitate knowledge sharing and collaboration. Problems in collaboration could be explained by an initial mis-definition by stakeholders of what a wine route and its remit are. Research limitations/implications As the theoretical lens of “boundary objects” was applied for the first time to wine routes and tourism, further research is necessary to validate its application. Practical implications It is suggested that managers of wine routes involve all stakeholders in discussions to achieve a common understanding on what a wine route is, and its role in the promotion of “place” (geographical context of the wine route). Only if this is done successfully, is it possible to achieve collaboration. Originality/value This article uses the concept of “boundary objects” (a concept traditionally applied to the study of innovation) to the analysis of wine routes and provides further theoretical and managerial insights concerning networking between wine and tourism sectors, taking a supply-side perspective.

Consumer acceptance of food nanotechnology in Italy.

Purpose – The purpose of this paper is to investigate attitudes of Italian consumers towards a set of applications of nanotechnology in the food domain. The chief goal is to identify the main factors influencing the willingness to buy nanofoods (WTBN), distinguishing between factors related to the products, in terms of perceived risks and benefits and psychological factors. Design/methodology/approach – A questionnaire was administered to a sample of about 300 people to gather information about the willingness to buy six nanofoods (namely: creamier ice cream with the same fat content; salt and sugar that do not form lumps with moisture; fruit juices enriched with bioactive molecules; bread enriched with Omega-3; plastic bottles for beer; antimicrobial food packaging for meat) and psychological characteristics, measured by several attitudinal scales. In order to study the influence of the attitudinal factors on the WTBN a simultaneous equations model was estimated, defining both its structural and reduced ...

Competition Policy and Food Sector in the European Union

The article reviews the enforcement of the EU competition policy in the food sector in order to evaluate its actual ability to promote a fair and efficient food supply. Competition policy is scrutinized stemming from the different perspectives offered by 3 antitrust schools, namely, the Harvard, the Chicago, and the post-Chicago Schools. The main finding of the article is that with reforms carried out in the 1990s, EU competition policy has followed the shift that occurred in the United States since the late 1970s from the traditionalist Harvard School to the Chicago and post-Chicago Schools of antitrust. The general effect of this shift has been a significant drop in antitrust enforcement and merger control activity. As a consequence, currently competition policy is not able to tackle the wide range of social and economic problems associated with the overwhelming power of large agrofood corporations.

The food system, climate change and CSR: from business to government case

Findings: It is argued that interventions to tackle climate change are political rather than economic and depend on power relationships among different actors, such as states and large corporations, involved in their implementation. The main conclusion of the article is that a renovated agenda to tackle climate change ought to be based on the two pillars of soft regulation-voluntary CSR and binding state regulation. In this new scenario corporate and antitrust laws should be used to correct the growing imbalance between corporate rights and corporate responsibility, with binding regulations supporting voluntary CSR. Originality: Application of CSR has been left to corporations who have pursued their own piecemeal agenda; and the predominant creed of neoliberalism has been ineffectual in governance. This article questions its effectiveness and proposes an original and potentially sustainable alternative.

Explaining price variability in the Italian market for high quality wines.

Explaining price variability in the Italian market for high quality wines (di Adele Coppola, Valeria Sodano, Fabio Verneau) - ABSTRACT: In the last 20 years the Italian wine market exhibited a dramatic change. While total consumption has been falling there has been a continuos rise in the demand for high quality product. The paper analyses the price-quality relationships in the market for the Italian high quality wines, in order to better understand current strategies of product differentiation in the wine market. We estimated a regression model with price as dependent variable and a set of quality attributes and reputation indicators as independent variables. The empirical findings show that the higher prices are associated both with higher quality and reputation and that consumer perception of quality is affected by subjective rather than objective quality attributes.

Food nanotechnologies and policy challenges

Over the last twenty years, nanotechnology has slowly entered the agrifood sector. Meanwhile, testimonies of possible risks associated with the new nanomaterials were collected. This article investigates the reasons for the delay in regulatory intervention with respect to nanotechnology in the agrifood sector. Findings show that the unregulated introduction of nanomaterials into the food system is the result of the current neoliberal food policy, and the power struggles that govern the economic, social and political dynamics of the global supply chain. It is therefore necessary to put at the center of the regulatory debate the question concerning technology. Specifically, how technology influences power relationships within society should be studied. In other words, attention should be shifted from efficiency issues to power issues. New technologies should be assessed from a political perspective rather than an economic or ethical perspective.

Politics of Nanotechnologies in Food and Agriculture

The chapter discusses the reasons for the delay in the regulatory intervention concerning nanotechnologies used in the agriculture and food sectors. The main finding is that unregulated introduction of nanoinnovation into the food system is due to the current neoliberal food policy and to the power struggles that characterize the economic, social and political dynamics within the global supply chain. Therefore, it is necessary to put the ‘question concerning technology’ at the center of the regulatory debate in order to implement a regulatory system able to face nanorisks. Which means looking at the way in which technology controls power relationships within society. Attention should be shifted from efficiency to power issues, and new technologies should be assessed from a political rather than an economic or ethical perspective.

The New Division of Labor in the Globalized Economy: Women’s Challenges and Opportunities

The way in which the new international division of labor (NIDL) in the globalized economy affects gender inequalities has not been sufficiently explored yet. The body of literature on commodity chains that has attempted to assess the welfare effects of the NIDL, especially in less developed countries, has paid sparse attention to gender issues. Globalization has entailed the deverticalization of commodity supply chains and the emergence of highly concentrated financial groups and transnational companies linked to a network of firms operating as affiliates and suppliers, namely the global commodity chains. The NIDL could worsen gender inequality, due to the particular organizational strategies in global commodity chains that privilege power, instead of trust and market exchange, as the major form of governance and means for resource allocation. Because women represent the poorest swathe of the world’s population, they suffer the most from the growing wealth inequality and the concentration of power produced by the NIDL. Moreover, because of the traditional sexual division of labor and because of their low status in society, women are the most harshly exploited subjects in the system. The general conclusion of the paper is that in the NIDL the main means of resource allocation are not competitive markets, as often suggested by the GCV literature and mainstream economics, but are instead power relations that ultimately stem from the patriarchal culture of violence and domination.

Consumer's attitudes, vertical differentiation, and labelling regulation in the food industry new GM-products vs. traditional regional products

Consumers attitudes, vertical differentiation, and labelling regulation in the food industry new GM-products vs. traditional regional products (di Adele Coppola, Maria Teresa Gorgitano, Valeria Sodano, Fabio Verneau) - ABSTRACT: The paper discusses results of a simulated marked research evaluating consumer’s preferences toward GM and NGM food products in the South of Italy. Three experimental scenarios with different hypotheses of price ratio and product attributes of GM and NGM products were run. Consumers’ choices were related to information and risk attitude. We find that consumers tend to prefer NGM products to GM products, without any statistical relationship with their information level and risk attitude. When the NGM product is compared with an enhanced GM product, most consumers still prefer NGM product. GM product consumption does rather depend on consumers’ risk perception. The results demonstrate that there is room in the market for vertical differentiation policies based on the wholesomeness of traditional production methods.