Cooperation in the cereal sector of the South Plains regions

Strén, Bertalan

Keywords: cooperation, competitiveness, cereal sector, region, market

Using a questionnaire, we determined the nature and strength of the relationship binding the actors in the South Plains’ cereal sector. It can be said that in the cereal sector cooperation based on geographical proximity exists in the South Plains. Both ecological characteristics and the market are determining factors in this development.

The majority of business transactions between companies signify a formalised relationship; however the demand has also appeared – presupposing a certain level of trust – for cooperation based on the sharing of experience and knowledge.

The geographical concentration of companies operating in the same sector and competing with each other makes a comparison of their performance possible. In this way, a new, more efficient process spreads quickly among the actors, particularly via the informal (personal) relationships between leading experts. This increases the likelihood of achieving cost benefits and expanding production.

Full article