Findings on the governance issues and link on firm performance
| Question | Firm code | Excerpts of data on contractual arrangement |
|---|---|---|
| What is the method of organising your inter-firm transaction in SC? Is it based on contract or open market? | Firm 2 | Produce, mainly, vegetable crops price in the spot market is very uncertain, and no longer can we have some days 10 dollars a box, some days 8 dollar or some days 1 dollar a box. We need a contract to ensure the price […] because you know what you will get […] and you know that you have a market to sell (Producer) |
| Firm 3 | We prefer to sell our products at auction. The contract is nothing. If I had an attractive contract, I might treat its contract. The contract may blow you by the cost of production; better follow how the market goes up. Even though the contract for lamb or sheep was not too bad, I found it not profitable. That’s why this year I did not do the contract for lamb because the market was zero when they offer the contract (Producer) | |
| Firm 4 | These days there are lots of businesses who are smart enough and always been on contract. Our business relationships also always work on contract, because there are many issues for which we don’t want to go down. If you have a contract in written and is understood by both parties, then you should know what issues are there for all (Wholesaler/Retailer) | |
| Firm 6 | We have contracts with our main suppliers. We have a contract regarding deliveries which should be signed up. Also, having a contract with our distributors that there is a minimum quantity to take an order from us to located delivery (Processor) | |
| Firm 7 | We make a trading term relationship with a business deal; we have terms of trade with them – say this is the things that I am going to invest, and that’s the thing we want from you. We will advertise the product and do that sort of stuff and if you agree on it, set the trading terms, and then just supply the products (Firm 7, Processor) | |
| Firm 8 | We build the relationship based on contract. We issue a letter or contract of what we require, how we require; we will work with them in freight or transport side, we offer them our services for sales or they may want to do it by themselves depending on the cost (Retailer) |
| Question | Firm code | Excerpts of data on contractual arrangement |
|---|---|---|
| What is the method of organising your inter-firm transaction in SC? Is it based on contract or open market? | Firm 2 | Produce, mainly, vegetable crops price in the spot market is very uncertain, and no longer can we have some days 10 dollars a box, some days 8 dollar or some days 1 dollar a box. We need a contract to ensure the price […] because you know what you will get […] and you know that you have a market to sell (Producer) |
| Firm 3 | We prefer to sell our products at auction. The contract is nothing. If I had an attractive contract, I might treat its contract. The contract may blow you by the cost of production; better follow how the market goes up. Even though the contract for lamb or sheep was not too bad, I found it not profitable. That’s why this year I did not do the contract for lamb because the market was zero when they offer the contract (Producer) | |
| Firm 4 | These days there are lots of businesses who are smart enough and always been on contract. Our business relationships also always work on contract, because there are many issues for which we don’t want to go down. If you have a contract in written and is understood by both parties, then you should know what issues are there for all (Wholesaler/Retailer) | |
| Firm 6 | We have contracts with our main suppliers. We have a contract regarding deliveries which should be signed up. Also, having a contract with our distributors that there is a minimum quantity to take an order from us to located delivery (Processor) | |
| Firm 7 | We make a trading term relationship with a business deal; we have terms of trade with them – say this is the things that I am going to invest, and that’s the thing we want from you. We will advertise the product and do that sort of stuff and if you agree on it, set the trading terms, and then just supply the products (Firm 7, Processor) | |
| Firm 8 | We build the relationship based on contract. We issue a letter or contract of what we require, how we require; we will work with them in freight or transport side, we offer them our services for sales or they may want to do it by themselves depending on the cost (Retailer) |
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