The first generation of agricultural crops developed using biotechnology have offered the primary producers of the crops agronomic benefits. Some consumers have resisted accepting this technology because of concerns with food and environmental safety, and ethical issues that arise from the processes that are involved in developing these products. The second and third generation of agricultural biotechnology are being developed to offer products with direct benefits to consumers. The focus of this thesis is the second generation, which have added health benefits. Specifically, the obstacles to commercialization of functional foods derived through biotechnology are examined. The three factors which have the potential to set back commercial introduction of functional foods derived through biotechnology are government regulatory uncertainty, consumer aversion and brand risk, and gaining access to intellectual property. The regulations governing functional foods are examined to show the regulatory ambiguity that exists in Canada. Comparisons are drawn to other nations. Literature that focuses on consumer aversion to agricultural biotechnology is reviewed, along with consumer preference studies with regards to genetically modified (GM) foods with and without health benefits. Transaction cost economics literature is used to analyse the problems related to gaining access to intellectual property and the resulting supply chain implications. Three separate theoretical models are developed to examine each of the three factors separately. Government regulatory uncertainty is incorporated into an expected profit model to show the effects of increased uncertainty on the expected profit from a new technology. A heterogeneous consumer preference model is used to show the effects of changing consumer preferences on the market share of the firm introducing the GM functional food to the market. Simulation analysis using this model shows the effects of changing variables on the market shares of three products in the market. Finally a stylized model of the vertical market shows the effects of increased transaction costs incurred in gaining access to intellectual property on the rent that is available for distribution throughout the supply chain. The results show that these factors could be an obstacle to commercial development of functional foods derived through biotechnology. When the three factors are combined, the rent available for distribution is important for the success of the supply chain. Multiple bilateral monopoly negotiations cause this rent to be less than optimal. Increased levels of government regulatory uncertainty, consumer aversion and brand risk, and costs gaining of access to intellectual property decrease the expected rent available for distribution. This could be a problem facing developers of functional foods derived through biotechnology.

Canada has been recognized as the largest exporter of flax seed in the world. Currently, very little flax straw is further processed, despite its potential as a value added product, with only about 7-10% of Canadian flax seed producers harvesting residual flax straw rather than burning the straw. A traditional use of flax straw has been for the production of fibre for the linen industry. Interest in flax fibre has been rekindled with the impetus to seek out bioproducts that replace non-renewal resources and provide value-added opportunities for agricultural producers. Flax fibre also has a range of potential uses in automotive parts, geotextiles, insulation material, etc. Despite this potential, the Canadian flax fibre sector remains largely underdeveloped, with fledgling supply chains and lack of investment in the necessary processing capacity. This paper develops a framework for analysing the relational exchanges at different stage of the supply chain to determine if the paucity in investment is the result of prohibitively high exchange costs. A number of distinct stages in the flax fibre supply chain can be identified: farmers producing flax seed and/or straw; processors who extract the natural fibre from the straw; and manufacturers who use the fibre in their products. The paper develops a framework that draws together insights from Transaction Cost Economics, Agency Theory and Bargaining Theory. The role of institutions in facilitating quality measurement and providing participants with information is also considered. The theoretical framework identifies asset specificity, agency measurement costs, bargaining power and under-developed institutions as key factors in the development of the flax fibre sector. From the theoretical framework, a set of propositions is developed that examine the anticipated effect of these factors on vertical coordination in the sector. The theoretical propositions are explored through a series of semi-structured interviews with parties at each stage of the supply chain (producers, fibre processors, final manufacturers), as well as with industry experts. Information from the interviews is used to identify the transaction characteristics and the institutional framework characterizing the flax fibre sector in Canada. This is analysed through a comparative case study approach with the flax fibre sector in Europe, and the wool fibre sector in New Zealand as an example of a fully developed and long-standing fibre sector. By also noting the different vertical coordination strategies that are present in these supply chains, a connection is drawn between the presence of certain transaction characteristics and the corresponding cost-minimizing exchange relationships. The case studies are used to investigate the propositions developed from the theoretical framework regarding the impact of transaction characteristics on the optimal vertical coordination strategy and the impediments to development and investment in the sector. The propositions developed in the framework are verified to a great extent by the comparative case study. The uncertainty in the exchange environment regarding the future direction of the flax fibre industry and the high measurement costs due to the absent quality and grading regime in the Canadian flax fibre set the two industries apart from each other. Both of these dimensions impact the exchange costs of a transaction and subsequently, the extent to which the parties are closely coordinated. The case studies verify that using a framework to analyze transactions provides additional insights because of the joint consideration of several features of the transaction.

Nowadays firms must develop inventory policies that enable them to cope with the changing marketplace. Determining proper inventory locations can help decrease costs related to inventory holding and transportation. Moreover, this allows firms to respond in a timely manner to customers’ requirements. As a result profit margins can be enhanced as well as the competitiveness of a firm. However, the decision of where to locate inventory in a supply chain is difficult since many companies are managed independently. The present research is developed as a case study where product classification, customer and supplier segmentation schemes are reviewed in order to determine appropriate inventory locations along the supply chain. The thesis is written upon literature and empirical research, where most of the data was collected through personal interviews and observations at the supply chain management offices of a distributor for sealing material parts in Europe. Our conclusion shows that product classification has an important impact on inventory location decisions. Also, we conclude that products should be classified based on both physical characteristics and demand factors, as well as according to customers’ requirements. Another factor to be considered when deciding on inventory location is supply risks, due to issues related to raw material availability and capacity. Nonetheless, the selection of classification variables is challenging as it is hard to determine which factors are more relevant than others as this varies depending on each firms’ needs. In addition, we find that supply chain strategies are not realistic due to the constant changes in the business environment and the inability of a firm to manage whole supply chains. Furthermore, a high level of communication among supply chain partners is fundamental, especially when a centralized inventory policy and a postponement strategy are in place.

Corporate Social Responsibility increases in importance, especially in the context of Supply-Chain Management. This is anchored in the rising competitiveness between entire supply-chains, as a competitive shift from individual companies to supply-chains as entities is taking place. Hence, the entire supply-chain becomes more critical in the creation of a competitive advantage. Corporate Social Responsibility has the potential to create legitimacy in the eyes of stakeholders and thus, also may contribute to the creation of this competitive advantage for entire supply-chains. Therefore, changing societal demands and stakeholder pressure stimulate the necessity for supply-chains to integrate Corporate Social Responsibility and thus, the three dimensions of the Triple-Bottom-Line (People, Planet, Profit) approach (as opposed to the traditional economic paradigm) into their operations.   With regards to this necessity it becomes worthwhile to explore how individual actors within supply-chains perceive pressure and whether the shift from inter-firm competition to inter-supply-chain competition is accompanied by a similar shift in stakeholder pressure (based on the Triple-Bottom-Line) from individual companies to entire supply-chains. A set of four interrelated theories, namely ‘business as open systems’, ‘social contract theory’, ‘stakeholder theory’ and ‘legitimacy theory’, is used to approach this topic. Then, the perceived pressure is investigated by means of a series of qualitative interviews with representatives of seven companies within the clothing industry, located at different positions of supply-chains. These positions include Suppliers of Raw Material, Manufacturer, Logistics and Retailers. Findings show that primary stakeholders, especially employees and customers, are perceived to be the most influential sources of CSR-related pressure. This pressure includes a wide range of demands, covering all three dimensions of the Triple-Bottom-Line. The assumption that supply-chains as entities perceive stakeholder pressure is not yet supported by these findings. What can be identified is a noticeable ‘trickle-up’ effect, meaning that pressure flows upstream from retailers to suppliers of raw materials. The shift in stakeholder pressure onto chains as entities is not identified due to the sample available to the authors. Further research should investigate this shift by means of examining single supply-chains instead of various companies from different chains.

Problem – Companies and supply chains, such as those in the grocery industry, continuously face stricter requirements in the form of customer satisfaction, quality, profit margins, as well as information sharing in order to stay competitive. One specific technology that may be used in dealing with increasing competitive demands is the radio frequency identification (RFID) technology. A wide body of research recognizes the positive impacts from RFID, yet even so, doubts and uncertainty have been present among different supply chain members in industries striving to put the RFID technology to use. Nevertheless, many actors in the Norwegian grocery industry are replacing traditional wood pallets with plastic pallets, and these pallets are integrated with RFID tags. Purpose – The purpose of this thesis is to investigate how plastic pallets with integrated RFID tags can contribute to improve supply chain efficiency in the grocery industry. Also, the managerial perception on the pallets and their accompanying technology will be compared to the existing literature, to identify if the managerial opinion supports the literature, and if not, where the gaps exist. Method – The thesis combines an exploratory and an explanatory qualitative study of the managerial perception of RFID pallets in the Norwegian grocery industry, and investigates whether the perception supports the literature. The empirical material is gathered through telephone interviews with logistics and warehouse managers in the various companies. Conclusions – Physical implications: The managerial perceptions’ support towards the addressed implications of the reviewed literature is mixed. RFID pallets improve automatic operation processes through reduction in downtime and eases physical handling of pallets. Additionally, sorting of pallets becomes less labor demanding. Regarding holding of goods, the managerial perceptions do not seem to view RFID pallets as an important factor for efficiency improvement. Information related/RFID aspects’ implications: The managerial perceptions in these concerns were based on plans and thoughts, since the technology had not been put to use. There is a difference in producers’ and wholesalers’ perception of whether efficiency in receiving of goods can be improved through utilizing RFID pallets. Concerning dispatching of shipments, the managerial perceptions support the literature in that information-related activities can be automated, and thus improve efficiency and reduce risk of human errors. In regards to information sharing, the managerial perception supports the literature, but highlights that the information’s nature determines whether sharing is considered. Further research could include the retail store level to get a more complete supply chain picture, and also apply the research methods to a larger area in order to investigate the transferability to other industries and countries.

Linnaeus University, School of Management and Economics, 5FE00E, Spring 2010 Author: Hana Hulthén Tutor: Helena Forslund Title: Information integration between retailers and manufacturers in Swedish food retail supply chains; The manufacturers’ perspective.  Background: According to study conducted by Brege in 2007, in Swedish food retail supply chains there is lack of external integration between retailers/wholesalers and manufacturers. This fact indicates that there are gaps in information integration between them which have consequences mainly for the manufacturers. Purpose: The purpose of this study is to describe gaps, from the manufacturers´ perspective, in the information integration between Swedish retailers/wholesalers and manufacturers, and analyze what are the consequences of these gaps for manufacturers as well as propose how these gaps can be alleviated. Method: Multiple - case study as research method has been applied. Specifically, three case companies, Swedish meat manufacturers, have been selected. Three one-hour long focused interviews combined with open-ended interviews have been conducted with two sales managers and one sales representative. The empirical evidence has been analyzed by using cross-case analysis method and pattern-matching method.   Results, conclusion: Firstly, Swedish meat manufacturers do not have access to real-time demand or POS data on store level. Instead, they receive orders from retailers based on updated demand forecast. As manufacturers do not have perfect demand information it leads to information asymmetry between retailers and manufacturers. As a consequence of inaccurate demand signal processing a Bullwhip effect can occur. Implementation of integrated information systems using EDI for exchange of POS data could solve the gap. However, small-scaled manufacturers have neither enough resources nor incentives to invest in an expensive business-to-business system. Furthermore, manufacturers with restricted production flexibility cannot utilize provided information on very detailed level; such as POS data. Thus, in these cases implementation of integrated information systems seems not to be reasonable. Secondly, it has been found that information integration between retailers and manufacturers has been significantly improved the last three or four years. The Swedish retailers are willing to provide information to manufacturers. Future Work: The result of this thesis is based only on findings from meat manufacturers. Other sectors could be also included as well as opinion of retailers and wholesalers to identify common problems related to information integration in Swedish food retail supply chains.

The purpose of this essay is to analyze the economic factors behind the supply of children engaged in child prostitution in Thailand. Children are recruited to the sex industry either by parents, adults in their immediacy or choose it themselves. There are several factors that contribute to pushing children towards prostitution. Many of these factors such as credit constraints and mortality are related to poverty, the most quoted of economic factors behind the supply of child prostitution. Associated to poverty is the high discount rate which means that people prioritize present over future consumption. In combination with a lack of alternatives, this makes people engage in risky activities such as prostitution. This also seems to be the case in Thailand.   To analyze the different alternatives faced by children in Thailand, a calculation of present value of life time wages of the alternative activities a child faces was computed. The computation of present value of life time wages of alternative activities of children in the face of different discount rates is in line with economic theory and shows that education confers the highest reward unless the discount rate is extremely high. If education is unavailable, as it is for unregistered children in Thailand, or discount rates are very high, as it can be for very poor families, prostitution will be the occupation with the highest returns. 

Med större krav på effektivisering och pressade kostnader har VMI på senare tid blivit en allt mer tillämpad metod för att samordna aktiviteterna i försörjningskedjan. Mycket forskning har gjorts kring ämnet VMI och dess fördelar. Däremot har inte mycket skrivits om initiativtagande och hur dessa samarbeten uppstår. Syftet med uppsatsen är att undersöka företag som tillämpar VMI. Detta för att ta reda på vem, kunden eller leverantören, som tar initiativet till samarbetet och varför. Utifrån detta vill vi även identifiera konsekvenser kopplade till vem som tog initiativet. Genom vår undersökning har vi kommit fram till att kunden så väl som leverantören kan vara initiativtagare. Detta för att det finns vinster att göras för båda parter. Vi har kunnat identifiera att den främsta anledningen till initiativtagande är de fördelar som ses för det egna företaget. En annan bidragande faktor är även att företagen vill skapa långsiktiga relationer. Vi har genom vår studie inte kunnat identifiera några konsekvenser i samarbetet som är direkt kopplade till vem som tar initiativet. Däremot har vi sett indikationer på att den part som tar initiativet är den som ofta bäst lyckas påverka villkoren för samarbetet.

Women are increasingly being recognised internationally as essential actors in successful water supply management. Despite this, women are nevertheless still being excluded from water management activities which have proved to frequently result in water project failure. This has great consequences for water supply and water distribution capacity and efficiency. Women‟s exclusion often stems from traditional and deeply rooted gender differences where women, compared to men, are not given the same rights and opportunities. Therefore, in particular focuses in this study are cultural barriers and socio-economic obstacles and challenges that may hinder female participation. Although Ghana is considered to have rich water resources, the production, distribution and use of water is not efficient, sufficient, or sustainable. This impedes the country‟s socio-economic development. Most affected are women and children as they are often directly linked to the water source through their role as water collectors. In relation to this, the study investigates the importance of women‟s participation in water management within the Republic of Ghana. Furthermore, the study examines the efficiency and adequacy of measures and actions implemented to improve female participation in water supply management.  For data collection, a case study approach was adopted including an in-depth literature review, interviews with essential actors in Ghana and document analysis of Ghana‟s National Water Policy and National Gender and Children Policy. Interviews and documents were analysed with a content analysis and a comparative analysis approach.  The study found that women in Ghana, despite acknowledging their important role in Ghanaian water „society‟, experience great limitations in their participation in water management. Traditional norms and practices constitute a major obstacle together with a strongly male-dominated society that often prevents women from participating in the public sphere. The study indicates that there is a need to reform the legal system and the procedures of enforcement to encourage female participation in the water management. Furthermore, the Government of Ghana ought to improve financial, human, and material support within its agencies and associates to facilitate and enable female involvement. Moreover, there is a great need to improve women‟s rights to, and attendance in, education. Additionally, raising the awareness of gender and women‟s issues in general is crucial in order to initiate changes of traditional norms and practices and consequently improve their participation in the water management. By reforming Ghanaian women‟s situation, their role and status will be strengthened, not only within water management, but as well in the wider society.

<p>The goal of this dissertation is to provide a coherent and computationally feasible basis for the analysis of the dynamics of both housing supply and demand from a microeconomics perspective. The dissertation includes two papers which incorporate unique micro data with new methodological approaches to examine housing market dynamics. The first paper models the development decisions of land owners as a dynamic discrete choice problem to recover the primitives of housing supply. The second paper develops a new methodology for dynamically estimating the demand for durable goods, such as housing, when the choice set is large.</p><p>In the first paper, using the new data set discussed above, I develop and estimate the first dynamic microeconometric model of supply. Parcel owners maximize the discounted sum of expected per-period profits by choosing the optimal time and nature of construction. In addition to current profits, the owners of land also take into account their expectations about future returns to development, balancing expected future prices against expected future costs. This forward looking behavior is crucial in explaining observed aggregate patterns of construction. Finally, the outcomes generated by the parcel owners' profit maximizing behavior, in addition to observable sales prices, allow me to identify the parameters of the per-period profit function at a fine level of geography.</p><p>By modeling the optimal behavior of land owners directly, I can capture important aspects of profits that explain both market volatility and geographic differences in construction rates. In particular, the model captures both the role of expectations and of more abstract costs (such as regulation) in determining the timing and volatility of supply in way that would not be possible using aggregate data. The model returns estimates of the various components of profits: prices, variable costs, and the fixed costs of building, which incorporate both physical and regulatory costs.</p><p>Estimates of the model suggest that changes in the value of the right-to-build are the primary cause of house price appreciation, that the demographic characteristics of existing residents are determinants of the cost environment, and that physical and regulatory costs are pro-cyclical. Finally, using estimates of the profit function, I explain the role of dynamics in determining the timing of supply by distinguishing the effects of expected future cost changes from the effects of expected future price changes. A counterfactual simulation suggest that pro-cyclical costs, combined with forward looking behavior, significantly dampen construction volatility. These results sheds light on one of the empirical puzzles of the housing market - what determines the volatility of housing construction?</p><p>In the second paper, I outline a tractable model of neighborhood choice in a dynamic setting along with a computationally straightforward estimation approach. The approach allows the observed and unobserved features of each neighborhood to evolve in a completely flexible way and uses information on neighborhood choice and the timing of moves to recover semi-parametrically: (i) preferences for housing and neighborhood attributes, (ii) preferences for the performance of the house as a financial asset, and (iii) moving costs. In order to accommodate a number of important features of housing market, this approach extends methods developed in the recent literature on the dynamic demand for durable goods in a number of key ways. The model and estimation approach are applicable to the study of a wide set of dynamic phenomena in housing markets and cities. These include, for example, the analysis of the microdynamics of residential segregation and gentrification within metropolitan areas. More generally, the model and estimation approach can be easily extended to study the dynamics of housing and labor markets in a system of cities.</p> / Dissertation