|Authors: ||G.A. Woldie, E.A. Nuppenau|
|Keywords: ||asymmetric information, banana, Ethiopia, farm-gate price negotiations, marketing, sequential bargaining model|
This paper empirically investigates farm-gate banana (Musa spp.) price-negotiation under asymmetric information using a bilateral bargaining model.
It makes an attempt to show how memberships in cooperatives affect the bargaining power of smallholders in southern Ethiopia.
A regression analysis reveals that cooperative membership positively and significantly affects the bargaining power of smallholder banana growers.
The result also confirms that access to central-market-price information and past-trade relationship enables farmers to stick to their initially asked price.
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