The Key Role of Banks in the Lifecycle of Bordeaux Wine Cooperatives

• Autores: Julien Cadot, Adeline Alonso-Ugaglia
• Localización: Journal of Wine Economics, ISSN-e 1931-437X, Vol. 13, Nº. 3, 2018, págs. 309-327
• Idioma: inglés
• Enlaces
  • Texto Completo Ejemplar
• Resumen

  • In this article, we investigate a possible conflict between two core objectives of cooperatives, members’ income, and continuity, by examining the link between debt and the price paid to producers for Bordeaux wine cooperatives, according to their downstream strategies: (1) the traditional strategy, which is to sell wine in bulk to négociants; (2) joining a federation of coop- eratives which blends and puts the wine in the retail market; and (3) vertical integration. We show that downstream strategies are related to different lending regimes, making the relationship between banks and cooperatives a key issue for the lifecycle of cooperatives.