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The Dark Side of Coffee Market Power in the German Market for Roasted Coffee AgEcon
Koerner, Julia.
Germany is the second important coffee market in the world, just overshadowed by the United States. Coffee is the most famous beverage in Germany - even more popular than beer. On the supply side dominate few roasters. Market structure influences the market outcome and explains the processors' ability to exercise market power. This paper aims at studying the pricing behavior in the German market for roasted coffee. Respectively, it discusses the impact of three different explanations. First, market power may be due to low price elasticity related to a high level of consumption. Second, pricing behavior may be influenced by the industry concentration. And finally, pricing behavior may be change over time due to exogenous shocks. In particular, the degree of...
Tipo: Conference Paper or Presentation Palavras-chave: Market for roasted coffee; Germany; Elasticity of conjectural variation; Market power; Simultaneous equation system; GMM; Industrial Organization.
Ano: 2002 URL: http://purl.umn.edu/24969
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Do retail coffee prices increase faster than they fall? Asymmetric price transmission in France, Germany and the United States AgEcon
Gomez, Miguel I.; Koerner, Julia.
This investigation examines price transmission asymmetries (PTA) between international and retail coffee prices in the US, France and Germany. Differences in price transmission mechanisms provide evidence for disparities in market structure and market performance across countries. Although all processors of roasted coffee purchase green coffee at the same price in the international markets, one finds significant differences in retail prices among these countries. The study develops an Error Correction (EC) representation model to assess PTA of non-stationary models. Finally, it claims that identifying differences in price transmission asymmetry is an approach to compare market structure across countries.
Tipo: Working or Discussion Paper Palavras-chave: Coffee; Markets; Food Consumption/Nutrition/Food Safety; Marketing.
Ano: 2009 URL: http://purl.umn.edu/55930
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