Agricultural cooperatives have strong market positions in agri-food industries, in many countries. In recent decades we have witnessed significant changes in competition, distribution of market power and governance structures of agri-food chains. Between vertical market structures, cooperative principles, and hierarchical governance structures, cooperatives have been continuously adjusting in their strive for competitiveness, innovation, and survival. They have implemented alternative governance structures, employed new financial instruments, and invented novel organizational set-ups. Consequently, some members feel that the traditional cooperative traits are fading.

Agricultural cooperatives have strong market positions in agri-food industries, in many countries. In recent decades we have witnessed significant changes in competition, distribution of market power and governance structures of agri-food chains. Between vertical market structures, cooperative principles, and hierarchical governance structures, cooperatives have been continuously adjusting in their strive for competitiveness, innovation, and survival. They have implemented alternative governance structures, employed new financial instruments, and invented novel organizational set-ups. Consequently, some members feel that the traditional cooperative traits are fading.The competitiveness of agricultural cooperatives is puzzling to many observers, considering that cooperatives, at least in principle, deviate from the profit maximizing drive of the investor-owned firms. Furthermore little is known about the effect of governance structures of today's cooperatives on the agri-food industry.Vertical Markets and Cooperative Hierarchies comprises a selection of sixteen newly written essays that provide clarification to issues pertinent to contemporary cooperatives. Twenty three internationally recognized scholars of agricultural cooperatives, from a variety of disciplines such as industrial organization, finance, sociology, networks, and political theory, contributed theoretical work and empirical observations from different countries. The book is divided into five Parts: I. Cooperatives: between markets and hierarchies; II. Governance; III. Internal organizational issues; IV. Conduct of cooperatives; and V. Cooperative performance. TOC:I. THE COOPERATIVE: BETWEEN MARKET AND HIERARCHY.- 1. Cooperatives: Hierarchies or Hybrids?; C. Ménard.- 2. The Network Form of the Cooperative Organization - An Illustration with the Danish Pork Industry; K. Karantininis.- 3. Networks, Innovation and Performance - Evidence from a Cluster of Wine Cooperatives (Languedoc, South of France); Y. Chiffoleau, F. Dreyfus, R. Stofer & J.-M. Touzard.- II. GOVERNANCE.- 4. Conversions and Other Forms of Exit in U.S. Agricultural Cooperatives; F. Chaddad & M. Cook.- 5. The Structure of Marketing Cooperative - A Members' Perspective; N. Kalogeras, J.M.E. Pennings, G. van Dijk & I.A. van der Lans.- 6. Agency and Leadership in Cooperatives - Endogenizing Organizational Commitment; M. Fulton & K. Giannakas.- III. INTERNAL ORGANIZATION.- 7. Lock-in of Farmers in Agricultural Cooperatives - Reviving the Effect of Exit by Means of Constitutional Amendments; S.V. Svendsen.- 8. Two Vignettes Regarding Boards in Cooperatives versus Corporations; G. Hendrikse.- 9. Regulation, Governance and Capital Structure in Cooperatives; A. Gentzoglanis.- IV. CONDUCT.- 10. Cooperative Forward Integration in Oligopsonistic Markets - A Simulation Analysis of Incentives and Impacts; J. Royer.- 11. European Dairy Cooperative Strategies - Horizontal Integration versus Diversity; L. Harte & J.J. O'Connell.- 12. Sales Distortion in Heterogeneous Cooperatives; P. Bogetoft & H.B. Olesen.- 13. Do Consumers Care about Cooperatives? A Franco-Swedish Comparative Study of Consumer Perceptions; J. Nilsson, P. Ruffio & S. Gouin.- V. PERFORMANCE.- 14. The Horizon Problem Reconsidered; H.B. Olesen.- 15. The Horizon Problem in Agricultural Cooperatives - Only in Theory?; E. Fahlbeck.- 16. Performance of Cooperatives and Investor-Owned Firms - The Case of the Greek Dairy Industry; O. Notta & A. Vlachvei.

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