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This article explores how the quality of institutions influences the strategic choice of agents in the pulp and paper production system based on the forest plantation sector. In order to proceed with the study, we employ the Economic Analysis of Property Rights (Barzel, 1982, 1989, 2002) as foundation, and test the proposition: in federative states where the institutional environment is fragile and therefore the State has a high cost to enforce property rights, private mechanisms stand out in the protection of property rights. According to Dixit (2009, p. 8), "if the government does not pro tect property rights, at least not as well as owners require, many private arrangements arise to satisfy the owners' needs". The analysis of three business cases of companies with plantations in more than one federative unit revealed the broad range of private mechanisms in place to cope with insecure land rights. In addition to countrywide strategies, in the federative units where government fails to be a good property rights steward, we found geographically specific initiatives being used. Another finding was the identification of variables that are able to evaluate the quality of institutions and employed in the companies' decision-making process for the selection of land rights protection strategies. Findings altogether are empirical evidence of how the quality of institutions influences the strategic choice of land rights protection in the forest plantation sector in Brazil. [ABSTRACT FROM AUTHOR]

Drawing inspiration from international institutions and how they influence American organizati ons and their internal arrangements, this paper discusses the emergence of coordination between beef cattle producers and processors as a transition of neoclassic market transactions to a contractual form to participate in international trade. Three case studies from the largest Brazilian processors show the rise of strictly coordinated sub-systems to address new demands that rose from export requirements. The key finding from the case studies is that institutional shocks can drive new architectures in the system because it can generate new ones, described as strictly coordinated sub-systems that demand different organizational and technical support. In addition, the cases provide findings about organizational tolerance and its relationship with different formal institutions, based on an analysis of national and international supply in quality systems. [ABSTRACT FROM AUTHOR]

Coffee production has grown 100% in volume over the past 30 years, accounting for 144 million coffee bags produced in 2015. Brazil responded to 42% of this production, along with Vietnam (19%), Colombia (9%), Indonesia (8%), and Ethiopia (4%) (OIC, 2016). Following this pace, the consumption expanded not only in such traditional markets as the United States (4.2 kg/year), Germany (6.9 kg/year), and France (5.7 kg/year) but also in tea-driven markets, such as Japan, Korea, Russia, and China (CECAFE, 2013). In 2015, Brazil harvested 43.2 million 60-kg bags of green coffee, 32 million of which were of Arabica coffee and 11.2 million of a Conilon species (CONAB, 2016). The planted area in Brazil is 2.3 million hectares, and there are about 287,000 producers, predominantly mini - and small farmers. Having continental dimensions, the country presents a variety of climates, reliefs, altitudes, and latitudes that allow the production of a wide range of types and qualities of coffee (MAPA, 2016). This research aimed to clarify present and future challenges for the Brazilian coffee agrichain, considering the growing demand and also competitiveness between the coffee countries' producers. To capture the vivid perception of the actors in the coffee chain, a qualitative approach was employed. The research was conducted in three phases. In the first phase, 10 coffee specialists were interviewed to identify the coffee sector's main milestones for Brazil over the next 30 years. The findings culminated in eight key success factors for coffee-farming management. Finally, in the second phase, the results of phase two were submitted for analysis by 39 coffee farmers through three discussion panels held in the major producing regions: Sul de Minas (corresponding to 25% of the national production), Cerrado Mineiro (with 10%), and Matas de Minas (with 16%) (MAPA, 2016). The third phase comprised the data analysis, aggregating the patterns by regions and by critical factors. The first outcome was a comparative analysis of the three regions using the lens of the key success factors and, second, the main future challenges faced by each region. The study consolidated new drivers of change that directly impact corporate strategies and public policies, namely: (a) increasing complexity in coffee farming, (b) farm succession, (c) mechanization, (d) increased use of pesticides, (e) climate change, (f) consumer behavior, and (g) risk management in the coffee agrichain. Given these drivers of change, companies in the Brazilian coffee agrichain may move forward with rele vant strategic focus on important issues, leading to: (i) loyalty from the farmer to guarantee high-quality coffee supply, (ii) increase in entry barriers to ensure the maintenance of leadership in world coffee production and exportation, (iii) operational risk minimization for companies as well as coffee farmers, (iv) encourage and participate in the farmers' actions to make coffee activity more environmentally friendly, and finally, (v) designing marketing plans connected with the coffee consumers' habits and desires, current and future. [ABSTRACT FROM AUTHOR]

Agricultural cooperatives are often assumed to be less competitive compared to investor-owned firms due to its higher decision-making costs. We have empirically investigated how cooperatives can minimize both democratic and agency costs given differing levels of member participation. We distinguish between horizontal, vertical, and diagonal conflicts of interests, as well as between both direct and opportunity costs. We found that direct agency cost is a smaller concern for cooperatives compared to the risk of exposure to high opportunity agency costs. We also found that the relation between member participation in the board of directors and democratic costs is more complex than often assumed. Finally, we show the difficulties cooperatives face in minimizing both democratic and agency costs. With a lower level of member participation, direct democratic costs may be reduced, but opportunity agency costs may rise as fewer members monitor management. Therefore, cooperatives should either increase member participation or use additional agency mechanisms (such as audits) to prevent agency problems. [ABSTRACT FROM AUTHOR]

The present study contributes to identifying obstacles to the development of a local biodiesel agro-industrial system (AGS) in the state of Minas Gerais, Brazil. The research questions are: "How do local social characteristics influence the organizational effectiveness of agents involved in the joint production effort?"; and "How can the institutional arrangement of biodiesel production be described?" The method adopted is the case study, focused on family farmers served by the Family Farmers Rural Extension and Technical Assistance Company (EMATER). This state organization introduced castor beans (Ricinus communis L.) to family farmers as an alternative crop to supply a processing plant (Darcy Ribeiro Biodiesel Plant--DRBP) in northern Minas Gerais state, Brazil. These family farmers are not horizontally organized, and sign individual contracts with DRBP. The paper concludes that the primary obstacle to developing the biodiesel AGS with castor beans in Minas Gerais is the lack of horizontal organization among family farmers. [ABSTRACT FROM AUTHOR]

The exhaustion of natural resources is a central problem in the international agenda. The particular case of Amazon forest is at the top on the international environmental debate. Two related problems are keys to be considered in the discussion of sustainable development in this region. First the predatory use of the natural resources of the forest mainly timber and genetic resources. Second the recognition of the existence of a population of around 20 million inhabitants in the region defined as "Legal Amazon Area", aiming the improvement on the living conditions, enhancement of income level and acceleration of development. How to match both objectives is a puzzle faced by the present generation. The region is populated by initiatives of international non-governmental-organizations, most of them carrying good intentions but lacking the necessary knowledge on local formal and informal institutions to find ways to reach sustainable development. The result is the accelerated process of natural resources depletion, and social disorganization. The case of the production of Brazilian Nuts stands as a corollary of the lack of an institutional structure of property rights that does not provide incentives for sustainable development. The opposite effect is being observed as a result of the fragility of observable institutional arrangements. The case provides the counterfactual for the analysis of Ostrom (1990; 2008), where she presents virtuous cases of sustainable exploration of natural resources, mostly based on informal but solid institutions. [ABSTRACT FROM AUTHOR]

Abstract: This paper models retailers’ choices between public and private grades and standards (G&S) and their means of administering them. It focuses on the firm-specific factors influencing the decision. Increasing use of private G&S worldwide, particularly by large, powerful retail chains has implications for competition, participation, and the effectiveness and efficiency of public policy regarding G&S. Drawing from a study of fresh produce markets in São Paulo, Brazil, the paper shows that the importance of the product in the firm’s activities or sales, market power, scale of operations, and investment in brand capital and reputation are key firm-specific factors encouraging the use of private G&S regimes over public. Important contextual determinants are the strategic objective of the standard, the institutional environment, and the characteristics of the product and market. A range of formal and informal, private and public methods for administering G&S was found. The paper discusses policy implications of the results, focusing on issues of substitutability and complementarity between public and private G&S regimes. [Copyright &y& Elsevier]

The present study focuses on contract duration as defined ex post, meaning that the “survival” of contractual relationships is observed over time. Our empirical study employs hazard rate models with time-varying covariates, using data from technology licensing contracts between seed companies and a governmental R&D organization in Brazil, EMBRAPA. We find evidence that rates of contract termination (1) decrease with the level of quasi-rents available in the relationship; (2) decrease as a function of past satisfactory outcomes; (3) increase with the extent of disturbances affecting the technology’s demand; and, other things being equal, (4) increase (rather than decrease) over time. [Copyright &y& Elsevier]

In the presence of positive transaction costs, institutions and the architecture of organizations take on fundamental importance. This paper measures costs of opening firms in the Brazilian garment industry. The measure of costs to start up a new business in the garment industry in Brazil shows a large variation between regions in the same city and between different areas of the country. Nine different procedures were found along with a time span of 64 days and an average cost of 11,3% of the GDP per capita. Also 39% of the firms declared that they operated informally for some time. [ABSTRACT FROM AUTHOR]

The labels and certificates are a response from the retail to consumer's needs for enhanced monitoring of quality and food safety. There are several types of labels found in retail, some are specific to the attribute related to the origin of the product and others attest various intrinsic and extrinsic characteristics. Among labels of products marketed by a supermarket network in Brazil is the Guarantee of Origin (G.O). In order to assess the perception of consumers, 120 customers were interviewed in supermarkets in the region of Campinas and Piracicaba-SP, that had GO products. By means of factor analysis, four important dimensions were identified: food safety; intrinsic quality of product; different production system; and governmental verification. In relation to the origin and sustainability attributes, values such as prestige, credibility and respect were considered relevant. The paper presents contributions in the methodological and theoretical fields, helping a better comprehension of these consumers' perceptions about these attributes. [ABSTRACT FROM AUTHOR]