BIBLIOGRAPHY MANAWAG, LAILA L. APRIL...

BIBLIOGRAPHY

MANAWAG, LAILA L. APRIL 2011. Relationship of Actors in the Spot Market
Chain for Chayote.BenguetStateUniversity, La Trinidad, Benguet.

Adviser: Leopoldo N. Tagarino, MRSM (Agribusiness)


ABSTRACT

This study was conducted to identify the similarities and differences in the chain
relationship of chain actors in the spot market for chayote.
A total number of 173 respondents were interviewed wherein majority of the
farmers and trucker-wholesalers were male while on the assembly groups and distribution
groups were female. They are mostly married, Roman Catholic, have higher degree of
education. The different intermediaries engaged in trading operation mostly covers 6-10
years and have none affiliated organization.
The chain actors have similarities in trading relationship in terms of established
trust, dependence on trading negotiations, cooperation in improving and building up
relationship as traders. On the other hand, they have significantly differed as to having
power in trading negotiation, directly dictation of price of chayote and often controlling
of information. They also differ as to commitment on keeping their promises and the
investments for producing and procuring of chayote, and on the relational satisfaction
that buyers treat them equally and fairly in pricing negotiations.
Based from the findings, the chain actors should be affiliated to organizations and
be committed to give what buyers expected in fair or equal in pricing that lessens
conflicts between them.



INTRODUCTION


Rationale


Benguet is one of the provinces in Philippines that produce vegetables. It has 13
municipalities and vegetable production is one of the major livelihoods of people;
considering that the weather is suitable for vegetable production. Chayote is one of the
vegetable commercially grown by most farmers in Benguet, it is considered a major crop
for steep slopes area.

Supply chain management is a cross-function approach including managing the
movement of raw materials into an organization, certain aspects of the internal processing
of materials into finished goods, and the movement of finished goods out of finished
goods out of the organization and toward the end consumer. As organizations strive to
focus on core competencies and becoming more flexible, they reduce their ownership of
raw materials sources and distribution channels. These functions are increasingly being
outsourced to other entries that can perform the activities better of more cost effectively.
The effect is to increase the number of organizations involved in satisfying customer
demand, while reducing management control of daily logistic operations, less control and
less supply chain partners, thus improving inventory, visibility and the velocity of
inventory movement (Wales, 1996).

Statement of the Problem

1. What are the similarities and differences in the chain relationships of the actors
in the spot market for chayote
Objectives of the Study

Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


1. To determinethe similarities and differences in the chain relationships among
the actors in the spot market for chayote:

a. Trust

b. Power

c. Dependence

d. Communication

e. Cooperation

f. Commitment
g. Relational Satisfaction
Importance of the Study
Supply chain exist to overcome the gaps created when supplier are some distant
away from customers. They allow operations that are best done or can only be done at
locations that are away from the customers or source of materials, moving materials
between geographically separate operations. Supply chain allows mis-matches between
supply anddemand. When thereis excess in supply, stocksarebuild-up in the supply chain
(Waters, 2003).

Scope and Delimitation of the Study
The study focuses on the buying-selling of chayote in the spot market. There
were 173 intermediaries involve in marketing of the different selected vegetables such as
30 producers, 35 assemblers or collectors, 60 distributors and 40 retailers.





REVIEW OF LITERATURE


Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011



Supply Chain Management
In recent years, researchers recognized the relevance of supply chain management
for the agri-food sector (Fearne, 1998, Hobs and Young, 2000) due to the perish ability of
products and the need for quality controlled flows of products. This means that the
original good quality products can easily deteriorate as cause by the careless actions
along the supply chain.
People use different names for chains of activities and organization. When they
emphasize the operations, they refer to process; when they emphasized marketing, they
call it logistic channel; when they look at the value added, they call it value chain; when
they say how customer demands are satisfied and they call it demand chain. And when
emphasizing the movement and will use the general term of supply chain. A supply chain
consists of series of activities and organization that materials move through on their
journey from the initial supplier to final customer. In reality, organization does not work
from isolation, but each one acts as a supplier when it delivers the material to its
customers. Every product has its own unique supply chain and these can be both long and
complicated (Waters, 2003).
Supply chain means the process of planning, implementing and controlling
efficiently, cost effective flow and storage of raw materials, in-process inventory,
finished goods and related information from the point-of-origin to the point of final
consumption for the purpose of conforming to customer requirements (Council of
Logistics Management, 1986). Supply chain is a dual flow of products and information. It
is a drive to meet the central needs of the consumer and it stresses the importance of the
relationships between participants in the marketing system. However, the tendency is

Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


often focus solely on the immediate economic aspects when firms are building supply
chains (Champion and Fearne, 2000). Hongze Ma (2005) pointed out that the supply
chain is a network of organizations from suppliers with the purpose to improve the flow
of material and information. Dranbenstott (1999) discusses the increasing move towards
the development of supply chains and describes supply chain structures where all stages
of production, processing and distribution are bond together tightly to ensure reliable and
efficient delivery of high quality products.

Supply Chain and Networks
One of the key factors in the development of successful supply chains’ (SC)
partnerships/alliances is the development of successful relationships between partners in
the supply chain (Bowman, 1997). Recently social capital argument assumes that forms
of collaboration are not only based on economic motivation. Actors are believed to act as
a basis of their functional role in the network; while goal orientation, interest, rules and
power are determining this role (Uzzi, 1997). The actors in the network will search for
alliances, some of them based on trust and loyalty, while others will be based on
opportunism. A key factor is a process that takes place over time in which actors are able
to adjust transactions, accommodate routines, transfer activities to other actors and build
up common recipes, standards and cognitive maps. In the course of this process the
network becomes either sustainable, or stagnates and even collapses. In other words, the
behavior and expectations of actors are constrained by the degree to which relationship
between the actors are embedded in the network structure.
Successful supply chain management requires integration of all aspects of the
supply chain: suppliers, warehouses, factories, distributors, and retail outlets. This

Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


requires cooperation among supply chain partners in planning coordination of activities,
and information sharing, which in turn, requires partners to agree on common goals (goal
sharing). This requires trust and willingness to cooperate to achieve the common goals.
Coordination and information sharing are critical to the effective operation of a supply
chain. Information exchange must be reciprocal. Partner’s shares and forecasts the sales
data, as well as information on inventory quantities, impending shortages, breakdowns,
delays, and other problems that could impact the timely flow of products and services
through the chain. Information has a time value, and the longer it takes to disseminate
information once it materializes, the lower its value. Thus, instead of each organization in
a supply chain making plans based on a combination of actual orders plus forecasts of
demandof its immediatecustomer,bysharing data on end-customer salesandpartner
inventory on a real time basis.


Chain Relationships
There are much written about the development and maintenance of long-term
buyer-seller relationships and the greatest support has emerge for key contracts of
satisfaction and trust (Anderson and Narus, 1990; Anderson and Wietz, 1992; Morgan
and Hunt, 1994).
Migchels (2000) sees the aspects of relationship as central to sustained
competitive advantage, and the current view that organizations conduct transactions
based on autonomous decisions, ignores interdependence with other organizations.
Purchasing divisions often had adversarial relationships with their suppliers particularly
with the agricultural industries. Each buyer and supplier attempts to get bigger share of

Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


the product value by paying the lowest price (buyers to suppliers) or gaining the highest
return possible (supplier to buyers).

The dimension of business to business relation has been identified as cooperation,
trust, power, and dependency (Morgan and Hunt, 1994). There are at least 7 relationship
dimensions to investigate the business-to-business relationships namely: cooperation;
trust; conflict; commitment; dependence; power; communication; relationship
satisfaction.

Trust
Trust can be understood as a faith, reliance, belief or confidence in the goodwill
of other partners, e.i., thatno partner to an exchange will behave opportunistic or exploit
the vulnerabilities of others (Ring and Van de Ven, 1994). Trust has been defined as “the
firm’s belief that another company will perform actions that will result in positive actions
for the firms, as well as not to take unexpected actions that would result negative
outcomes for the firm (Anderson and Narus, 1990). The capability to establish trust
between the partners in a collaborative supply chain becomes a crucial competitive
parameter (Schary and Skjott-Larsen, 2001). For any potential exchange, trust will be
critical if two situational factors are present – risk and incomplete buyer information
(Hawes et al., 1989). Most sales transactions present some degree of risk and uncertainty
to the buyer; without some degree of trust, the perceive risk maybe too great for the
transaction to occur. More specifically, trust becomes important whenever there is a high
level of performance ambiguity, and poor product performance will have significant
adverse impact on the value derived by the buyer (Singh and Sirdeshmukh, 2000). In
such circumstances, trust acts as an information asymmetry and performance ambiguity.

Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


In such relationships, governance mechanism is not necessary and resources can be
devoted to pursue opportunity maximizing behavior beyond the originally intended
exchange. Lack of trust increases transactions cost (O’Keefee, 1994). Mutual trust and
dependence can reduce the desire to exercise power and control over other parties,
increase the flow of information and reduce risk.
Go and Appelman (1999), suggest that where trust exist there is lower uncertainty
speeding up decision making conversing resources that can be put to other uses, like
sharing information or learning.

Power
Power is defined as the ability to influence a relationship partner and dependence
or asymmetrical investment in relationship-assets can lead to the exercise of coercive
power (Matanda and Schrodder, 2004).

Dependence
Dependence is increased when the outcomes available from the relationship are
comparatively better than the outcomes available from alternative relationship. Firms
dealing with the best trader are more independent because the outcomes associated from
dealing with that trader are better than those available from alternative traders. In this
context, dependence is a measure of the overall quality of the outcomes available to the
focal firm from the best alternative exchange relationship (Anderson and Narus, 1990).
According to Heide and John (1988), when the outcomes obtained from the relationship
are important or highly valued; when the outcomes from the relationships are better than
the outcomes available the outcomes available from alternative suppliers; and when

Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


fewer alternative sources of exchange are available to the firm, dependence is said to
increase. With greater dependence comes greater vulnerability, for the more powerful
exchange partner maybe in a position to create more favorable terms of trade for itself
(Heide and John, 1988). This may include asses to markets or capital, farmers are often
more dependent upon their preferred trading partner(s). When a channel member control
resources that another channel needs, various power relations emerge that potentially
enable the party controlling those resources to exert some influence or power (Andaleeb,
1996).

Communication
Naude and Buttle (2000) argue that supply chain relationship quality encompasses
the key relational dimensions of trust, adaptation, communication and cooperation.
Communication is “the formal as well as informal sharing of meaningful and timely
information between firms” (Anderson and Narus, 1990). Frequently and timely
communication is important because it assist in resolving conflicts and aligning
perceptions (Morgan and Hunt, 1994).Communication is a process whereby information
is enclosed in a package and is channeled and imparted by a sender to a receiver via some
medium. The receiver then decodes the message and gives the sender a feedback. All
forms of communication require a sender, a message, and an intended recipient; however
the receiver need not be present or aware of the sender's intent to communicate at the
time of communication in order for the act of communication to occur. Communication
requires that all parties have an area of communicative commonality.

Cooperation

Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


Cooperation refers to situations in which firms work together to achieve mutual
goals (Anderson and Narus, 1990). Because of conflicting behaviors can co-exist (Frazier
and Rody, 1991).Cooperation in exchanging information on production schedules, new
products/processes and value analysis can both reduce product costs and improve
product/processes innovations (Landeros and Monczka, 1989). A major impediment to
chain information can be the lack of willingness various actors to cooperate effectively
and their insufficient knowledge about methods of cooperation which insure “win-win”
outcomes (Van Beeket al. 1998). Often chain members bring “philosophical baggage”
with respect to the nature of markets and the interactions with them. This can be a
problem and slow the process of change management as the change from the traditional
to SCM approach.

Commitment
Commitment according to Morgan and Hunt (1994) who defined commitment as
an exchange partner believing that an ongoing relationship with another is so important
as to warrant maximum efforts at maintaining it; that is, the committed party believes the
relationship endures indefinitely and commitment is central to all of the relational
exchanges between the firm and its various partners.

Relational Satisfaction
Frazier (1983) defined satisfaction as a positive effective state resulting from an
appraisal of all aspects of a firms working relationship with another. Satisfaction is
derived from the result of a satisfaction means the extent to which the relational
dimensions of the partnership meet expectations.

Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


Janzen and de Vlieger (2000) stated that chain success will depend upon the
building of relationships with both internal colleagues and other firms. Similarly,
Bowman (1997) identified one factor in the development successful supply chain
partnerships between partners in the supply chain.

Definition of Terms
Market – the place where the farmers and the traders transact vegetables.
Marketing – is a series of services involve in the moving of product from the
point of production to the point of consumption.
Chain actors – these were the middlemen or traders along the supply chain of
vegetables.
Spot market – this is a wet market, a place where the products are being delivered
and sold.

Conceptual Framework

In this framework(Figure 1), the marketing intermediaries play an important role
in the distribution/flow of vegetables. The chain actor’s relationship were affected or
influenced by the following characteristics: satisfaction, trust, dependence, power,
communication and cooperation.






Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011










Chain
Chain Actors
Relationship

Relationships




Profile

Farmers









Trust


Similarities and




Differences



Power

A ssembler -
Trust

Wholesal





er




Dependence

Dependence




Trucker








Cooperation

Communication








Wholesaler




Power

Commitment










Wholesaler-
Communication

Cooperation

Retailers






Commitment
Relational

Satisfaction
Retailers


Relational

Satisfaction

Figure 1. Conceptual framework




METHODOLOGY


Locale and Time of the Study
The research locations follow the flow of fresh semi-temperate vegetables from
the major source (production) to the major market assemble, collection, and the
distribution markets. However, the research average areas are limited to selected
production and marketing areas. The primary markets (assembly/collection) are

Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


concentrated in La Trinidad, Benguet. Secondary markets (distribution) are the major
vegetables trading centers (commonly called “bagsakan”) in Metro Manila such as
Balintawak, Nepa Q, Novaliches, Kamuning, Dapitan, and Libertad.While the tertiary
markets include the retailers within these trading centers and other retail market outlets.
The study was conducted last November to December, 2010.

Respondents of the Study

The respondents represent the major actors in the fresh vegetables supply chain.
There were 173 intermediaries involve in marketing of chayote such as 30 producers, 35
assemblers or collectors, 60 distributors and 40 retailers.
The production group is composed of Cordillera farmers. The next groups of
despondent are the primary buyers representing the assembly collection group; this
consists of assembler-wholesalers and the financier-assembler-wholesalers. Most of them
are operating in the La Trinidad Vegetable Trading Post, and in privately owned and
managed trading facility. The third groups are the distributors, this consist of the trucker-
wholesalers, wholesalers and wholesaler-retailers. The trucker-wholesaler respondents
are those responsible in the transportation of vegetables to various geographic market
outlets. The wholesalers and wholesaler-retailers, on the other hand, are traders in the
spot market to whom the trucker–wholesalers supply the vegetables. The last groups are
the retailers representing the last link in the marketing process. The retailers sell the
vegetables to final users or consumers.

Data Collection

Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


The data collection was done through personal interview with the different chain
actors, market observation and pre-testing.

Data Gathered
The data gathered were the similarities and differences of relationships among the
chain actors in the spot market in terms of trust, power, dependence, communication,
cooperation, commitment and relational satisfaction.

Data Analysis
The data collected were tabulated in excel and analyzed using SPSS version 16for
the descriptive analysis, frequency count and percentage was used while in the statistical
analysis, Kruskal- Wallis was used.






RESULTS AND DISCUSSION


RespondentsProfile


The respondents profile of chayote according to socio demographic status from
La Trinidad to Manila. It shows/presents the respondents characterized based on their
age, gender, marital status, religious affiliation and educational background.
Age.Majority of the respondents belong to age bracket 21-30 years old, but there
are also some that has an age range from 31-40 years old; it could be noted that there are

Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


also 41-60 years old from the different respondents. The data reveal that anybody
regardless of age could engage into vegetable business.
Gender.Farmer, assembler-wholesaler and trucker-wholesaler are dominated by
male actors while the other groups of respondents are dominated by women. The
difference in gender implies variation as to the function or activities of the respondents.
Marital Status. The production, assembly, trucker-wholesaler, wholesaler-retailer
and retailers are mostly married; however among the wholesaler majority are single,
further more it could be observed that there are separated and widowed respondents, this
means regardless of marital status individuals could engage in business.
Religion.Most of the respondents are Catholic, followed by Protestants and with
the least number belong to other religious affiliation.
Educational Background. Majority of production, assembler, wholesaler-retailer
and retailer are high school graduate, while assembler-wholesaler, trucker-wholesaler and
wholesaler attained college education but it could also be observed that among the
different group of respondents has elementary education. The data therefore revealed that
the respondents were literate.
Table 1. Respondent’s profile

PRODUCTION ASSEMBLY DISTRIBUTION RETAILING
CHARACTERISTICS
Farmer
A-W
F-A-W
T-W
W
W-R
Retailer

N
%
N
%
N
%
N
%
N
%
N
%
N %
AGE














20 and below
0
0
2
11
0
0
0
0
3
21
3
9
0
0
21-30
14
47
6
32
3
19
4
36
5
36 13
37
11 23
31-40
10
33
5
26
7
44
5
45
1
7 12
34
10 21
41-50
5
17
3
16
4
25
1
9
3
21
2
6
18 38
51-60
1
3
3
16
2
13
1
9
2
14
3
9
7 15
60 and below
0
0
0
0
0
0
0
0
0
0
1
3
2
4

Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


TOTAL
30
100 19 100 16 100 11 100 14 100 35 100
48 100
GENDER














Male
27
90 13
68
5
31
7
64
4
29 12
34
9 19
Female
3
10
6
32 11
69
4
36 10
71 23
66
39 81
TOTAL
30
100 19 100 16 100 11 100 14 100 35 100
48 100
MARITAL STATUS












Single
9
30
2
11
1
6
5
45
7
50 16
46
9 19
Married
21
70 17
89 14
88
6
55
6
43 18
51
38 79
Separated
0
0
0
0
1
6
0
0
0
0
0
0
1
2
Widow/er
0
0
0
0
0
0
0
0
1
7
1
3
0
0
TOTAL
30
100 19 100 16 100 11 100 14 100 35 100
48 100
RELIGION














Catholic
22
73 14
74 10
63 11 100 13
93 26
74
41 85
Protestant
8
27
3
16
5
31
0
0
2
14
7
20
5 10
Others
0
0
2
11
1
6
0
0
0
0
1
3
2
4
TOTAL
30
100 19 100 16 100 11 100 14 100 35 100
48 100
EDUCATIONAL BACKGROUND











Elementary
9
30
2
11
4
25
2
18
2
14
5
14
7 15
High School
14
47
9
47
4
25
3
27
5
36 14
40
29 60
College
7
23
8
42
8
50
6
55
7
50 13
37
10 21
Vocational
0
0
0
0
0
0
0
0
0
0
2
6
2
4
TOTAL
30
100 19 100 16 100 11 100 14 100 35 100
48 100
Legend: F= farmer

A-W= assembler-wholesaler; F-A-W= financier-assembler-wholesaler

T-W= trucker-wholesaler; W-R= wholesaler-retailer; W= wholesaler

R= retailer


Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


Number of Years Engage inVegetable Business
Majority of the financier-assembler, wholesaler-retailer and wholesaler are
engage in a business for 1-5 years, while majority of the farmer, assembler-wholesaler
and retailer were engaged in business for 6-10 years. The data further reveals that other
respondents were engaged in vegetable business for 11-15 years.

Organizational Affiliations of Respondents

Most of the respondents were not affiliated to any organization but representative
number of respondents from the different groups indicated their affiliation to
cooperatives. This means that most of the respondents may never appreciate the
importance of organization to their business undertaking.

Table 2. Number of years engaged in vegetable business
NO. OF YEARS
F
A-W
F-A-W
T-W
W
W-R
R

NO. OF YEARS
N
%
N
%
N
%
N
%
N
%
N % N
%
Below 1 year
0
0
1
5
0
0
0
0
6
43
5
14
2
5
1-5 years
9
30
8
42
6
38
4
36
6
43 11 31
1
2
6-10 years
11
37
5
26
2
13
3
27
1
7
8
23 12 28
11-15 years
6
20
3
16
6
38
4
36
0
0
5
14
8
19
16-20 years
2
7
0
0
0
0
0
0
0
0
1
3
4
9
21-25 years
1
3
1
5
1
6
0
0
0
0
1
3
11 26
26-30 years
1
3
1
5
1
6
0
0
1
7
1
3
9
21
31 and above
0
0
0
0
0
0
0
0
0
0
3
9
1
2
TOTAL
30
100 19 100 16 100 11 100 14 100 35 100 48 100
Legend: F= farmer

A-W= assembler-wholesaler; F-A-W= financier-assembler-wholesaler

T-W= trucker-wholesaler; W-R= wholesaler-retailer; W= wholesaler

R= retailer

Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


Table 3. Organizational affiliation of respondents

F
A-W
F-A-W
T-W
W
W-R
R
CHARACTERISTICS N % N % N % N % N % N % N %
Farmer's
Organization
3
10
0
0
0
0
0
0
2
14
0
0
0
0
Cooperative
2
7
2
11
4
25
3
27
1
7
6
17
2
4
Others
0
0
3
16
2
13
3
27
0
0
3
9
5
10
None
25
83 14 74 10 63
5
45 11 79 26 74
41
85
TOTAL
30 100 19 100 16 100 11 100 14 100 35 100 48 100
Legend: F= farmer

A-W= assembler-wholesaler; F-A-W= financier-assembler-wholesaler

T-W= trucker-wholesaler; W-R= wholesaler-retailer; W= wholesaler

R= retailer


Spot Market Chain for Chayote

Figure 2 illustrate the flow of chayote from its point of production to its point of
consumption. It further shows the different chain actors involved in the procurement and
selling of chayote in the spot market.

It is illustrated that most of the chain actors that the source of vegetables they
procure is coming from La Trinidad trading post , whereas most of the vegetables are
being delivered to Balintawak and to Metro Manila by the truckers, but there are more
outlets of wholesaler at Balintawak and more outlet of wholesaler-retailer at Metro
Manila. It further illustrate that some of the vegetables are being delivered/sold to
UrdanetaPangasinan.


Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011



F
F
PTC
LTVTP



A-W
F-A-W
A-W
F-A-W



LTVTP
LTVTP
BALINTAWAK
BALINTAWAK
A-W



F-A-W-R



PTC

LTVTP







T-W


T-W
BALINTAWAK
LTVTP


A-W

W
W
URDANETA, PANG.
BALINTAWAK
BALINTAWAK




F-A-W
W-R

W-R
URDANETA, PANG.
LTVTP
W
METRO MANILA


METRO MANILA



W-R
R
URDANETA, PANG.

LTVTP
R


METRO MANILA
W-R


METRO MANILA
CONSUMERS
URDANETA, PANG.
R
URDANETA, PANG.
CONSUMERS

LTVTP
CONSUMERS

METRO MANILA
LEGEND:


F (Farmer) A-W (Assembler-Wholesaler) F-A-W (Financier- Assembler-Wholesaler)
F-A-W-R (Financier-Assembler-Wholesaler-Retailer) T-W (Trucker-Wholesaler)
W (Wholesaler W-R (Wholesaler-Retailer) R (Retailer)
LTVTP (La Trinidad Vegetable Trading Post) Metro Manila


PTC (Private Trading Center)

Balintawak


Urdaneta, Pangasinan


Figure 2. Spot market chain and location for chayote

Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


Distribution of Respondents
According to Trust

Trust can be understood as a faith, reliance, belief or confidence in the goodwill
of other partners,and the firm’s belief that another company will perform actions that will
result in positive actions for the firms, as well as not to take unexpected actions that
would result negative outcomes for the firm(Anderson and Narus, 1990).
Table 4a showed the different indicators to determine trust between and among
actors in the spot market as to the degree or level of confidence to the buyers/sellers
promises.
Majority of the respondents, assembler-wholesalers (47%), financer-assembler-
wholesalers (31%), trucker-wholesalers (27%) and retailers (40%) moderately agree
while farmers (43%), wholesalers (36%) and wholesaler-retailers (31%) were undecided
to rely on the buyer’s, promises like orders, payments and pricing.
Almost all of the respondents strongly agree of being honest dealing with chayote
buyers, and only farmer’s (43%) moderately agree.
Wholesaler (36%), wholesaler (36%) and retailer (33%) strongly agreed, while
assembler-wholesaler (63%).However the financer-assembler-wholesaler (25%), and
wholesaler-retailer (40%) moderately agreed, while trucker- wholesaler (45%) undecided
in making important decisions based on the buyers suggestions.
Majority of farmers (37%), assembler- wholesalers (58%), financer- assembler-
wholesalers (38%), trucker- wholesalers (27%), and wholesalers (36%) were undecided
in always believing on the information’s shared by the buyer, while the wholesaler-
retailers (37%) and retailers (31%) moderately agree.

Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


Table 4a. Distribution of respondents according to trust
1
2
3
4
5
STATEMENT
AVE.

N % N % N %
N
%
N
%
A. FARMER











1.I have much confidence to rely on
the buyer’s promises (orders,
payments, pricing).
1
3
0
0
4 13 12
40
13
43
4
2. I am always honest dealing with
the buyers of chayote.
1
3
3
10 12 40 13
43
1
3
3
3. I should not hesitate to make
important decisions based on
buyer’ssuggestions.
0
0
7
23 16 53
6
20
1
3
3

4. I always believe on the
information shared by the buyer.
1
3
5
17 10 33 11
37
3
10
3

5. The buyer is fair in negotiating
with me.
1
3
1
3
10 33 12
40
6
20
4

6. The buyer I deal with has a good
reputation.
0
0
1
3
6 20 19
63
4
13
4

7. The buyer and I always consider
the best interest in our business.
0
0
7
23 12 40
9
30
2
7
3
B. ASSEMBLER- WHOLESALER
1.I have much confidence to rely on
the buyer’s promises (orders,
payments, pricing).
0
0
1
5
7 37
9
47
2
11
4
2. I am always honest dealing with
the buyers of chayote.
1
5
0
0
2 11
4
21
12
63
4
3. I should not hesitate to make
important decisions based on
buyer’ssuggestions.
0
0
0
0
4 21 12
63
3
16
4

4. I always believe on the
information shared by the buyer.
0
0
1
5
11 58
5
26
2
11
3

5. The buyer is fair in negotiating
with me.
0
0
1
5
8 42
6
32
4
21
4

6. The buyer I deal with has a good
reputation.
0
0
0
0
4 21 10
53
5
26
4

7. The buyer and I always consider
the best interest in our business.
0
0
0
0
5 26
7
37
7
37
4
Numerical value and descriptive equivalence:
1-strongly disagree
2- disagree
3-undicided
4-moderately agree
5-strongly agree



Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


Table 4a. Continued…


1
2
3
4
5

STATEMENT
N
% N
%
N
%
N
%
N
%
AVE.
C. FINANCIER-ASSEMBLER-WHOLESALER
1.I have much confidence to rely on
the buyer’s promises (orders,
payments, pricing).
1 6 4 25 3 19
5
31
3
19
3
2. I am always honest dealing with
the buyers of chayote.
0 0 3 19 0
0
4
25
9
56
4
3. I should not hesitate to make
important decisions based on











buyer’ssuggestions.
0
0 4 25
4
25
4
25
4
25
4

4. I always believe on the
information shared by the
buyer.
0
0 4 25
6
38
5
31
1
6
3

5. The buyer is fair in
negotiating with me.
1
6 2 13
7
44
4
25
2
13
3

6. The buyer I deal with has a
good reputation.
0
0 2 13
7
44
5
31
2
13
3

7. The buyer and I always
consider the best interest in
our business.
0
0 1
6
2
13
9
56
4
25
4
D. TRUCKER-WHOLESALER
1.I have much confidence to
rely on the buyer’s promises
(orders,
1
9
2
18
2
18
3
27
3
27
3
payments, pricing).
2. I am always honest dealing
with the buyers of chayote.
0
0
0
0
0
0
4
36
7
64
5
3. I should not hesitate to make
important decisions based on
buyer’ssuggestions.
1
9
1
9
5
45
1
9
3
27
3

4. I always believe on the
information shared by the
buyer.
1
9
2
18
3
27
2
18
3
27
3

5. The buyer is fair in
negotiating with me.
0
0
1
9
4
36
2
18
4
36
4

6. The buyer I deal with has a
good reputation.
1
9
1
9
4
36
2
18
3
27
3

7. The buyer and I always
consider the best interest in
our business.
0
0
1
9
2
18
2
18
6
55
4




Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


Table 4a. Continued. . .

1
2
3
4
5

STATEMENT
N
%
N % N %
N
%
N
% AVE.
WHOLESALER
1.I have much confidence to rely on
the buyer’s promises (orders,
payments, pricing).
2
14
1 7
5
36
4
29
2
14
3
2. I am always honest dealing with
the buyers of chayote.
0
0
0 0
3
21
4
29
7
50
4
3. I should not hesitate to make
important decisions based on
2
14
0 0
5
36
2
14
5
36
4
buyer’ssuggestions
4. I always believe on the
information shared by the buyer.
1
7
5 36
5
36
1
7
2
14
3

5. The buyer is fair in negotiating
with me.
0
0
1 7
10 71
1
7
2
14
3

6. The buyer I deal with has a good
reputation.
2
14
0 0
6
43
3
21
3
21
3

7. The buyer and I always consider
the best interest in our business.
2
14
0 0
5
36
4
29
3
21
3
F. WHOLESALER-RETAILER
1.I have much confidence to rely on
the buyer’s promises (orders,
payments, pricing).
1
3 4 11 11 31
10
29
9
26
4
2. I am always honest dealing with
the buyers of chayote.
1
3 0
0
4 11
9
26
21
60
4
3. I should not hesitate to make
important decisions based on
buyer’ssuggestions.
2
6 3
9 14 40
8
23
8
23
3

4. I always believe on the
information shared by the buyer.
3
9 7 20 13 37
8
23
4
11
3

5. The buyer is fair in negotiating
with me.
0
0 4 11 13 37
11
31
7
20
4

6. The buyer I deal with has a good
reputation.
1
3 1
3 11 31
16
46
6
17
4

7. The buyer and I always consider
the best interest in our business.
0
0
2 6
5
14
16
46
11
31
4
G. RETAILER
1.I have much confidence to rely on the
buyer’s promises (orders,
payments, pricing).
1
2
10 21
9
19
19
40 9 19
4
2. I am always honest dealing with the
buyers of chayote.
0
0
2
4
4
8
9
19 33 69
5



Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


Table 4a. Continued. . .


1
2
3
4
5
AVE.
STATEMENT
N
%
N
%
N
%
N
% N %
3. I should not hesitate to make
important decisions based on
buyer’ssuggestions.
0
0
8 17
13 27
11 23 16 33
4

4. I always believe on the information
shared by the buyer.
4
8
9 19
14 29
15 31
6 13
3

5. The buyer is fair in negotiating with
me.
0
0
5 10
19 40
12 25 12 25
4

6. The buyer I deal with has a good
reputation.
4
8
4
8
18 38
10 21 12 25
3

7. The buyer and I always consider
the best interest in our business.
3
6
2
4
10 21
19 40 14 29
4


The trucker-wholesalers (36%) and wholesalers (43%) were undecided, while
farmers (63%), assembler-wholesalers (53%), financier-assembler-wholesalers (44%) and
wholesaler-retailers (46%) and retailers (38%) moderately agree in dealing with a buyer
that has a good reputation.
Farmers (40%), assembler-wholesalers (37%), financier-assembler-wholesalers
(56%), wholesaler-retailers (46%) and retailers (40%) moderately agree, while trucker-
wholesalers (55%) strongly agree and wholesalers (36%) were indecisive in considering
the best interest in the business with the chayote. Moreover based on descriptive statistics
2.73 that the respondents moderately agreed on considering the best interest in the
business these further supported by the test statistics no significance, in more or less they
have common understanding in considering best interest in the business.
Table 4b shows the mean response that majority of the chain actors were
indecisive in the following criteria such as relying in the buyer’s promises, making
decisions based on buyers suggestion, believing on the information’s shared by the

Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


buyer,dealing with a buyer that has a good reputation. However, majority of the
respondents agree on being honest in the transaction and being fair to their partners
(buyer/seller). Moreover, there is a no significant among the chain actors in dealing with
the other actors, in more or less they have common understanding in trust.

Table 4b. Descriptive analysis and test statistics
STATEMENT
MEAN CHI-
DF
ASYMP. SIG.
SQUARE
1.I have much confidence to rely on the
buyer’s promises (orders, payments, pricing).
3.46
3.46
3
.471

2. I am always honest dealing with the buyers
of chayote.
4.37
4.37
3
.330

3. I should not hesitate to make important
decisions based on buyer’s suggestions.
3.58
3.58
3
.363

4. I always believe on the information shared
by the buyer.
3.15
3.15
3
.529

5. The buyer is fair in negotiating with me.
3.53

3.53
3
.783
6. The buyer I deal with has a good reputation.
3.60

3.60
3
.717
7. The buyer and I always consider the best
3.91
interest in our business.
3.91
3
.833
Mean range: 3.15-3.76 = undecided 3.77-4.38= moderately agree











Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


Distribution of Respondents
According to Power
Power is defined as the ability to influence a relationship partner and dependence
or asymmetrical investment in relationship-assets can lead to the exercise of coercive
power(Matanda and Schrodder, 2004).
Table 5a shows that majority of trucker-wholesalers (36%), wholesalers (50%),
wholesaler-retailers (31%) and retailers (35%)strongly disagree in being flexible to
choose buyer anytime, while farmers (40%),assembler-wholesalers (32%) and financier-
assembler-wholesalers (31%)were undecided.
In adhering the buyers demand, farmers (40%) were undecided, while wholesaler-
retailers (34%) and retailers (25%) moderately agree. However assembly group had an
extreme response, Trucker-wholesalers (45%) and wholesalers (36%) strongly agree.
More over based on the mean descriptive statistics at 3.49 it is proven that respondents
were moderately agree,it is further supported by the test statistics which is not
significant, in more or less they have common understanding in adhering the buyers
demand.

In terms of having all the power in the trading negotiation, only financier-
assembler-wholesalers (50%) moderately agree, while the rest of the respondents were
undecided, the average shows and more over based on mean descriptive statistics 3.23
that majority of the respondents were undecided, these further supported by the test
statistics (significant).In more or less they don’t have common understanding as to
having the power in the trading, which implies that chain actors especially the financier-
assembler-wholesaler were trying to dominate or control the trading negotiation.



Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


Table 5a. Distribution of respondents according to power

1
2
3
4
5

STATEMENT
N %
N
%
N
%
N
% N
% AVE.
A.FARMER











1. I am flexible to choose buyers at
any time.
2
7
6
20 12
40
7
23
3
10
3

2. I always adhere to the buyer’s demand.
1
3
5
17 15
50
6
20
3
10
3

3. I have all the power in the trading
negotiation.
2
7 10
33 16
53
2
7
0
0
2

4. Buyer has the best offer (price) relative
to alternatives (other buyers).
0
0
5
17 13
43
12
40
0
0
3

5. Buyer often controls the market
information (demand, price).
0
0
8
27 11
37
9
30
2
7
3

6. Buyer often acts opportunistically.
0
0
3
10 13
43
12
40
2
7
3
B. ASSEMBLER-WHOLESALER

1. I am flexible to choose buyers at any
time.
3
16
5
26
6 32
5
26
0
0
3

2. I always adhere to the buyer’s demand.
0
0
2
11
7 37
7
37
3
16
4

3. I have all the power in the trading
negotiation.
1
5
3
16
10 53
5
26
0
0
3

4. Buyer has the best offer (price) relative
to alternatives (other buyers).
1
5
4
21
6 32
7
37
1
5
3

5. Buyer often controls the market
information (demand, price).
5
26
3
16
4 21
3
16
4
21
3

6. Buyer often acts opportunistically.
1
5
4
21
6 32
6
32
2
11
3
C. FINANCIER-ASSEMBLER-WHOLESALER
1. I am flexible to choose buyers at any
time.
1
6
2
13
5
31
3
19 5
31
4

2. I always adhere to the buyer’s demand. 0
0
1
6
5
31
5
31 5
31
4

3. I have all the power in the trading
0
0
2
13
2
13
8
50 4
25
4
negotiation.

4. Buyer has the best offer (price) relative 1
6
3
19
3
19
5
31 4
25
4
to alternatives (other buyers).

5. Buyer often controls the market
0
0
2
13
9
56
3
19 2
13
3
information (demand, price).

6. Buyer often acts opportunistically.
0
0
1
6
7
44
3 19 5
31
4
Numerical value and descriptive equivalent: 1-strongly disagree 2- disagree 3-undicided
4-moderately agree 5-strongly agree



Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


Table 5a. Continued. . .


1
2
3
4
5

STATEMENT
N
%
N
%
N
% N
%
N
% AVE
.
D. TRUCKER-WHOLESALER


1. I am flexible to choose buyers at any
time.
4
36
3
27
1
9
2
18
1
9
2

2. I always adhere to the buyer’s
1
9
1
9
2
18
2
18
5
45
4
demand.

3. I have all the power in the trading
0
0
1
9
4
36
3
27
3
27
4
negotiation.

4. Buyer has the best offer (price)
2
18
2
18
6
55
1
9
0
0
3
relative to alternatives (other buyers).

5. Buyer often controls the market
2
18
3
27
2
18
2
18
2
18
3
information (demand, price).

6. Buyer often acts opportunistically.
0
0
3
27
3
27
4
36
1
9
3
E. WHOLESALER
1. I am flexible to choose buyers at any
time.
7
50
2
14
1
7
1
7
3 21
2
2. I always adhere to the buyer’s demand.
1
7
1
7
4
29
3
21
5 36
4

3. I have all the power in the trading
1
7
2
14
5
36
3
21
3 21
3
negotiation.

4. Buyer has the best offer (price) relative
4
29
3
21
5
36
0
0
2 14
3
to alternatives (other buyers).

5. Buyer often controls the market
4
29
5
36
4
29
0
0
1
7
2
information (demand, price).
6. Buyer often acts opportunistically.
0
0
2
14
9
64
3
21
0
0
3
F. WHOLESALER-RETAILER
1. I am flexible to choose buyers at any
time.
11
31
4
11
4
11
8
23
8 23 3
2. I always adhere to the buyer’s demand.
4
11
3
9
10
29
12
34
6 17 3

3. I have all the power in the trading
negotiation.
0
0
5
14
12
34
11
31
7 20 4

4. Buyer has the best offer (price) relative
to alternatives (other buyers).
3
9
6
17
19
54
7
20
0
0
3

5. Buyer often controls the market
information (demand, price).
9
26
8
23
10
29
7
20
1
3
3

6. Buyer often acts opportunistically.
2
6
8
23
8
23
14
40
3
9
3





Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


Table 5a. Continued. . .


1
2
3
4
5

STATEMENT
N
%
N
%
N
%
N
%
N
% AVE.
G. RETAILER











1. I am flexible to choose buyers at any
time.
17
35
9
19
6
13
7
15
9
19
3
2. I always adhere to the buyer’s demand.
1
2
8
17 12 25 16
33 11 23
4
3. I have all the power in the trading
negotiation.
3
6
12
25 18 38
7
15
8
17
3
4. Buyer has the best offer (price)
relative to alternatives (other buyers).
8
17
7
15 18 38 11
23
4
8
3
5. Buyer often controls the market
information (demand, price).
13
27
11
23 14 29
6
13
4
8
3
6. Buyer often acts opportunistically
5
10
9
19 14 29 17
35
3
6
3



Majority of the farmers (37%), trucker-wholesalers (27%), wholesaler (36%),
wholesaler-retailer (29%) and retailers (29%) were undecided, if the buyer has the best
offer price other than alternatives (other buyers). However the assembler-wholesaler
(37%) and financier-assembler-wholesaler (31%) moderately agreed, which implies that
only the assembly group were trying look for a buyer that offers the best price other than
other alternatives.
Farmers (43%), financier-assembler-wholesalers (44%), wholesaler-retailers
(29%) and retailers (29%) were indecisive that buyer often controls the market
information as to the demand and price. However trucker-wholesalers (27%),
wholesalers (36%) and assembler-wholesalers (26%) moderately disagree, which implies
that they were trying control more of the market information than the others actors.

Production group, assembly group and wholesalers (64%) were undecided that
buyer often acts opportunistically, while trucker-wholesalers (36%), wholesaler-retailers
(40%) andretailers (35%) moderately agree.It implies that the buyers of trucker-

Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


wholesalers, wholesalers and retailers have more power to act opportunistically. However
the average and descriptive mean statistics at 3.27 shows that majority of the respondents
were undecided, this was further supported by the test statistics (not significant), in more
or less majority of the respondents have common understanding that buyer often acts
opportunistically.
Table 5b shows that majority of the respondents were indecisive,as to being
flexible in choosing a buyer that offers better price and market information was often
controlled by the buyer. However the average also showed that based on the test statistics
there is a highly significant in having the power in the trading, while there’s a
significance that buyer often acts opportunisticallyand buyer that has a best offer relative
to alternatives.

Table 5b. Descriptive analysis and test statistics
STATEMENT
MEAN
CHI-SQUARE
DF
ASYMP. SIG.
1. I am flexible to choose buyers at
2.86
4.548
3
0.208
any time.
2. I always adhere to the buyer’s
demand.
3.49
7.763
3
0.051*

3. I have all the power in the trading
negotiation.
3.23
17.461
3
0.001**

4. Buyer has the best offer (price)
relative to alternatives (other
2.99
9.906
3
0.019*
buyers).

5. Buyer often controls the market
information (demand, price).
2.72
9.362
3
0.025*

6. Buyer often acts opportunistically
3.27
2.567
3
0.463
Mean range: 2.72-3.49 = undecided 3.50-4.27= moderately agree
** Highly significant * Significant



Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


Distribution of Respondents
According to Dependence


Dependence is a measure of the overall quality of the outcomes available to the
focal firm from the best alternative exchange relationship;Dependence is increased when
the outcomes available from the relationship are comparatively better than the outcomes
available fromthe alternative relationship. Firms dealing with the best trader are more
independent because the outcomes associated from dealing with that trader are better than
those available from alternative traders(Anderson and Narus, 1990).
Table 6a shows that majority of the farmers (47%), assembler-wholesalers (42%)
and wholesalers (36%) moderately agree on depending to the quality classifications,
quantity and payment term of chayote by the buyer, while trucker-wholesalers (45%),
wholesaler-retailers (36%) and retailers (31%) strongly agree but the financier-assembler-
wholesalers (31%) had an extreme response. The average and descriptive analysis mean
shows that majority of the respondents moderately agree, this is further supported by the
test statistics which is not significant, which implies that in more or less they have
common understanding as to the quality, quantity and payment term of chayote by the
buyers.

Assembler-wholesalers (42%) and retailers (23%), farmers (44%)were undecided
in depending much from the regular buyers of chayote they procure/produce, while
trucker-wholesalers (45%) strongly agree; financier-assembler-wholesalers (31%) and
wholesalers (29%) had an extreme response.
Production group, assembly group and trucker-wholesalers (45%) were undecided
on depending to the price dictated by the buyer, while wholesalers (21%) had an extreme
response.

Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


Table 6a. Distribution of respondents according to dependence

1
2
3
4
5

STATEMENT





AVE.

N
%
N % N %
N
%
N
%










A. FARMER












1. I (seller) depend on the quality
classification, quantity and
payment term of chayote by the











buyer.
0
0
2
7 12 40
14
47
2
7
4

2. I depend much from the regular
buyers of the chayote I sold.
0
0
3 10 15 44
6
20
6
20
4

3. I depend on the price dictated by
the buyer.
1
2
5 17 13 38
8
27
3
10
3

4. I always adhere to the seller’s
demand.
0
0
11 37 12 35
5
17
2
7
3

5. I depend much from the market
information provided by the
buyers.
0
0
7 23 19 56
3
10
1
3
3
B. ASSEMBLER-WHOLESALER
1. I (seller) depend on the quality
classification, quantity and
payment term of chayote by the











buyer.
1
5
1
5
7 37
8
42
2
11
4

2. I depend much from the regular
buyers of the chayote I sold.
0
0
2 11 7 37
8
42
2
11
4

3. I depend on the price dictated by
the buyer.
3
16 5 26 7 37
2
11
2
11
3

4. I always adhere to the seller’s
demand.
1
5
2 11 9 47
6
32
1
5
3

5. I depend much from the market
information provided by the
buyers.
1
5
5 26 6 32
5
26
2
11
3
Numerical value and descriptive equivalent:
1-strongly disagree
2- disagree
3-undicided
4-moderately agree
5-strongly agree


Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


Table 6a. Continued. . .

1
2
3
4
5

STATEMENT
N
% N % N %
N
%
N
% AVE.
C. FINANCIER-ASSEMBLER-WHOLESALER

1. I (seller) depend on the quality
classification, quantity and
payment term of chayote by the











buyer.
0
0 5 31
3 19
3 19
5 31
4

2. I depend much from the regular
buyers of the chayote I sold.
0
0 4 25
5 31
5 31
2 13
3

3. I depend on the price dictated by
the buyer.
2
12 4 25
6 38
4 25
0
0
3

4. I always adhere to the seller’s
demand.
0
0 4 25
5 31
6 38
1
6
3

5. I depend much from the market
information provided by the
0
0 6 37
7 44
2 13
1
6
3
buyers.
D. TRUCKER-WHOLESALER
1. I (seller) depend on the quality
classification, quantity and
payment term of chayote by the











buyer.
0
0 2 18
1
9
3 27
5 45
4

2. I depend much from the regular
buyers of the chayote I sold.
2
18 0
0
2 18
3 27
4 36
4

3. I depend on the price dictated by
the buyer.
3
27 1
9
5 45
1
9
1
9
3

4. I always adhere to the seller’s
demand.
0
0 3 27
1
9
4 36
3 27
4

5. I depend much from the market
information provided by the
4
36 2 18
2 18
3 27
0
0
2
buyers.
E. WHOLESALER
1. I (seller) depend on the quality
classification, quantity and











payment term of chayote by the
buyer.
0
0 2 14
4 29
5 36
3 21
4

2. I depend much from the regular











buyers of the chayote I sold.

2
14 2 14
4 29
2 14
4 29
3



Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


Table 6a. Continued. . .

1
2
3
4
5

STATEMENT
N
% N % N %
N
%
N
% AVE.
3. I depend on the price dictated by
the buyer.
1
7 6 43
3 21
1
7
3 21
3

4. I always adhere to the seller’s
demand.
2
14 1
7
6 43
1
7
4 29
3

5. I depend much from the market
information provided by the
3
21 5 31
2 14
2 14
2 14
3
buyers.
F. WHOLESALER-RETAILER
1. I (seller) depend on the quality
classification, quantity and











payment term of chayote by
the buyer.
0
0
1
7
3 21
5 35
5 36
4


2. I depend much from the
regular buyers of the chayote I
0
0
2 14
4 29
4 29
4 29 4
sold.


3. I depend on the price dictated
by the buyer.
2 14
5 36
1
7
4 29
2 14 3


4. I always adhere to the seller’s
demand.
1
7
1
7
7 50
4 29
1
7



3
5. I depend much from the
market information provided
1
7
3 21
8 57
0
0
2 14
3
by the buyers.

G. RETAILER
1. I (seller) depend on the quality
classification, quantity and











payment term of chayote by
the buyer.
2
4 10 21 10 21
11 21
15 31
4


2. I depend much from the
regular buyers of the chayote I
2
4 10 21 11 23
15 31
10 21
3
sold.


3. I depend on the price dictated
by the buyer.
9 19 17 35 12 25
5 10
5 10
3


4. I always adhere to the seller’s
demand.
3
6 15 31 13 27
9 19
8 17
3


5. I depend much from the
market information provided
12 25 15 31 10 21
7 15
4
8
3
by the buyers.


Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


Assembler-wholesalers (47%), wholesalers (43%) and wholesaler-retailers (50%)
and were undecided in adhering the sellers demand, while financiers-assemblers-
wholesalers (38%), trucker0wholesalers (36%) moderately agree, whereas retailers (31%)
and farmers (37%) moderately disagree.

Production group, assembly group and wholesaler-retailers (57%) were undecided
on depending much from the market information provided by the buyers, while
wholesalers (31%) and retailers (31%)moderately disagree, and only trucker-wholesalers
(36%) strongly disagree.
The average showed ( Table6b) that majority of the respondents were undecided
as to depending in from the market information provided by the buyers, depending on the
price dictated by the buyer, adhering the sellers demand and depending on the quality
classification quantity and payment term of chayote buyer. This was further supported by
the average and descriptive analysis mean and the test statistics not significant, which
implies that in more or less the respondents have common understanding as to the
criteria’s in determining dependence.

Table 6b. Descriptiveanalysis and test statistics
41

STATEMENT
MEAN CHI-SQUARE DF ASYMP. SIG.
1. I (seller) depend on the quality classification,




quantity and payment term of chayote by the buyer.
3.55
0.754
3
0.86

2. I depend much from the regular buyers of the
chayote I sold.
3.42
0.057
3
0.996

3. I depend on the price dictated by the buyer.
2.75
5.608
3
0.132

4. I always adhere to the seller’s demand.
3.21
4.397
3
0.222

5. I depend much from the market information
provided by the buyers
2.71
5.677
3
0.128
Mean range: 2.71-3.55 = undecided 3.56-4.33 = moderately agree

Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


Distribution of Respondents
According to Communication

Communication is “the formal as well as informal sharing of meaningful and
timely information between firms”. Communication is a process whereby information is
enclosed in a package and is channeled and imparted by a sender to a receiver via some
medium (Morgan and Hunt, 1994).
In Table 7a, majority of the farmers (33%) and assembler-wholesalers (26%) were
undecided that they can directly dictate price, while financier-assembler-wholesalers
(50%), trucker-wholesalers (36%), and wholesaler-retailers (34%) moderately agree, and
wholesalers (25%) and retailers (25%) strongly agreed. Depending on the quality
classification, quantity and payment term of chayote is important criteria in measuring
communication of chain actors as showed in the chi-square ranking at 21.81.
Production group, assembly group and trucker-wholesalers (45%) were undecided
in sharing production and marketing (volume, quality, price) information to buyers, while
wholesaler-retailers (31%) and retailers (25%) moderately agree, and the wholesalers
(36%) strongly agree. The average and more over based on the descriptive mean statistics
at 3.55, shows that majority of the respondents were undecided and was further
supported by the test statistics not significant, which implies that in more or less they
have the same knowledge/common understanding in the sharing of production and
marketing.
Production group, assembly group and wholesaler-retailers (26%) were undecided
in using other people for sharing other information to farmers/sellers, while retailers
(31%) strongly disagree, however trucker-wholesalers (27%) has an extreme response.


Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


Table 7a.Distribution of respondents according to communication
1
2
3
4
5
STATEMENT
AVE.
N
% N
% N %
N
%
N
%
A. FARMER











1. I can directly dictate price.
9
30 7
23 10 33
3
10
1
3
2
2. I usually share production and
marketing (volume. quality, price)











information to buyers.
1
3
7
23 12 40
8
27
2
7
3

3. As buyer, I use other people in
sharing other information to
7
23 3
10 10 33
9
30
1
3
3
farmers/sellers.

4. I always share information about
production,

procurement/marketing targets to











the buyer.
2
7
8
27 14 47
6
20
0
0
3


5. I share the production or











marketing decisions I made with
the buyer.
2
7
9
30 12 40
7
23
0
0
3
B. ASSEMBLER-WHOLESALER
1. I can directly dictate price.
0
0
2
11 9 47
5
26
2
11
3
2. I usually share production and
marketing (volume. quality, price)











information to buyers.
0
0
2
11 10 53
5
26
2
11
3

3. As buyer, I use other people in
sharing other information to











farmers/sellers.
0
0
2
11 10 53
4
21
3
11
3

4. I always share information about
production,











procurement/marketing targets to
the buyer.
1
5
2
11 5 26
10
53
1
5
3

5. I share the production or
marketing decisions I made with











the buyer.
1
5
3
16 8 42
5
26
2
11
3
Numerical value and descriptive equivalent:
1-strongly disagree
2- disagree
3-undicided
4-moderately agree
5-strongly agree




Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


Tables 7a. Continued. . .
1
2
3
4
5
STATEMENT
AVE.
N
% N
% N %
N
%
N
%
C. FINANCIER-ASSEMBLER-WHOLESALER
1. I can directly dictate price.
1
6
1
6
2
13
8
50
3
19
4
2. I usually share production
and marketing (volume.











quality, price) information to
buyers.
0
0
3
19 5
31
4
25
3
19
3


3. As buyer, I use other people
in sharing other information
0
0
4
25 7
44
5
31
3
19
4
to farmers/sellers.


4. I always share information
about production,
procurement/marketing











targets to the buyer.
0
0
1
6
7
44
3
19
3
19
3


5. I share the production or
marketing decisions I made
0
0
3
19 0
0
0
0
3
19
1
with the buyer.














D. TRUCKER-WHOLESALER
1. I can directly dictate price.

1
9
1
9
3
27
4
36
2
18
3
2. I usually share production
and marketing (volume.
quality, price) information to











buyers.
1
9
0
0
5
45
2
18
3
27
4


3. As buyer, I use other people
in sharing other information











to farmers/sellers.
2
18
1
9
2
18
3
27
3
27
3


4. I always share information
about production,
procurement/marketing











targets to the buyer.
1
9
0
0
3
27
4
36
3
27
4


5. I share the production or

marketing decisions I made











with the buyer.
1
9
0
0
4
36
4
36
2
18
4













E. WHOLESALER
46
1. I can directly dictate price.
2
14
2
14
4
29
1
7
5
35
3

2. I usually share production and
marketing (volume. quality,











price) information to buyers.
1
7
1
7
3
21
2
14
5
36
3


Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


Tables 7a. Continued. . .
1
2
3
4
5

STATEMENT
N
% N
% N %
N
%
N
% AVE.
3. As buyer, I use other people in
sharing other information to
farmers/sellers.
2
14
2 14 4 29
1
7
5
36

4. I always share information about
production,
procurement/marketing targets to











the buyer.
2
14 2 14 5
36
0
0
5
36
3

5. I share the production or
marketing decisions I made with
4
29 4 29 2
14
1
7
4
29
3
the buyer.
F. WHOLESALER-RETAILER
1. I can directly dictate price.
0
0
4 11 7
20
12 35 12 34
34
2. I usually share production and
marketing (volume. quality, price)

information to buyers.
1
3
5 14 9
26
11 31
9
26
4
3. As buyer, I use other people in
sharing other information to











farmers/sellers.
8
23 3
9
9
26
8
23
7
20
3

4. I always share information about
production, procurement/marketing











targets to the buyer.
1
3
3
9 13 37
8
23 10 29
4

5. I share the production or marketing











decisions I made with the buyer.
6
17 3
9
9
26
9
26
8
23
3

G. RETAILER











1. I can directly dictate price.
1
2
5 10 15 31
15 31 12 25
4
2. I usually share production and
marketing (volume. quality, price)











information to buyers.
9
19 10 21 7
15
12 25 10 21
3

3. As buyer, I use other people in
sharing other information to











farmers/sellers.
15 31 9 19 9
19
9
19
6
12
3

4. I always share information about
production,
procurement/marketing targets to











the buyer.
11 23 7 15 11 23
15 31
4
8
3

5. I share the production or
marketing decisions I made with
15 31 6 12 8
17
14 29
5
10
3
the buyer.


Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


Farmers (47%), financier-assembler-wholesalers (44%), wholesalers (36%) and
wholesaler-retailers (26%) were undecided, while assembler-wholesalers (53%), trucker-
wholesalers (27%) and retailers (31%) moderately agree in sharing information about
production, procurement/marketing targets to the buyers.
Assembler-wholesalers (42%) and farmers (40%) were undecided while retailers
(29%) strongly agree, and financier-assembler-wholesalers (19%), trucker-wholesalers
(26%), wholesalers (29%) and wholesaler-retailers (26%) had an extreme response.

The average showed(Table 7b) that majority of the respondents were undecided in
using other people in sharing information to farmers/sellers, sharing information to the
buyer such as production and marketing/procurement targets, sharing production and
marketing volume, quality, and price information to buyers and in directly dictating a
price. This is further supported by the descriptive mean statistics all over at 3.44. And as
shown in the test statistics significant, there is a high significant in direct dictation of
price and sharing information about production and marketing targets to the buyers.

Table 7b. Descriptiveanalysis and test statistics
STATEMENT
MEAN
CHI-SQUARE
DF
ASYMP. SIG.
1. I can directly dictate price.
3.44
21.813
3
0.000**
2. I usually share production and
marketing (volume. quality, price)




information to buyers.
3.35
5.826
3
0.120

3. As buyer, I use other people in




sharing other information to farmers.

2.97
8.253
3
0.041*
4. I always share information about




production, procurement/marketing
targets to the buyer.
3.27
11.579
3
0.009**
5. I share the production or marketing
decisions I made with the buyer,
respondents group
3.05
4.995
3
0.172
Mean range: 2.97-3.44 = undecided 3.45-4.12 = moderately agree ** Highly significant * Significant


Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


Distribution of Respondents
According to Cooperation


Cooperation refers to situations in which firms work together to achieve mutual
goals; in exchanging information on production schedules, new products/processes and
value analysis can both reduce product costs and improve product/processes
innovations(Landeros and Monczka, 1989).
Almost the entire respondent strongly agreed and only assembler-wholesalers
(42%) moderatelyagree in working cooperatively with the buyer to improve the chayote
trading operation. But as showed in the average and descriptive mean statistics at 3.75,
and based on the all over mean range that it contradicts that the majority of the
respondents were undecided.

Majority of the farmers (60%), assembler-wholesalers (58%), wholesaler-retailers
(46%) and retailers (44%) moderately agree in buying good quality chayote and as
needed by the buyers, while financier-assembler-wholesalers (50%), trucker-wholesalers
(64%), and wholesalers (36%) strongly agree.

Majority of the farmers (47%), financier-assembler-wholesalers (37%),
wholesaler-retailers (43%), and retailers (40%) moderately agree in building up buyer-
seller relationships (alliances/partnership) with their colleagues, while assembler-
wholesalers (47%), trucker-wholesalers (55%) and wholesalers (43%) strongly agree.
As shown in the average and based in the descriptive statistics mean 3.90, most of the
respondents agreed moderately. This is further supported by the test statistics (not
significant) building up buyer-seller relationships (alliances/partnership) is not important
criteria in measuring cooperation as this can be further explained by 1.000 chi-square.


Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


Table 8a.Distribution of respondents according to cooperation
1
2
3
4
5
STATEMENT
AVE
N
% N % N
%
N
%
N
%
A. FARMER











1.I work cooperatively with the buyer
to improve our chayote trading











operation.
1
3
4 13 3
10
11
37 11 37
4

2. I usually buy good quality chayote
from suppliers and as needed by the











buyers.
1
3
3 10 1
3
18
60
7
23
4

3. I build up buyer-seller
relationships (alliances/partnership)











with my colleagues.
0
0
1
3
7
23
14
47
8
27
4

4. I cooperate with other actors in
pricing and quality determination of











chayote.
2
7
2
7
8
27
11
37
7
23
4
B. ASSEMBLER-WHOLESALER
1.I work cooperatively with the
buyer to improve our chayote











trading operation.
0
0
3 16 1
5
8
42
7 37
4

2. I usually buy good quality
chayote from suppliers and as











needed by the buyers.
0
0
0
0
2
11
11
58
6 32
4

3. I build up buyer-seller
relationships (alliances/partnership)











with my colleagues.
0
0
1
5
4
21
5
26
9 47
4

4. I cooperate with other actors in
pricing and quality determination of

chayote.
0
0
1
5
3
16
10
53
5 26
4
C. FINANCIER-ASSEMBLER-WHOLESALER
1.I work cooperatively with the
buyer to improve our chayote
trading operation.

0
0
1
6
2
13
5
31 8 50
4
2. I usually buy good quality
chayote from suppliers and as
needed by the buyers.

0
0
0
0
2
13
6
38 8 50
4
3. I build up buyer-seller
relationships (alliances/partnership)
with my colleagues.
0
0
0
0
4
25
6
37 6 37
4
Numerical value and descriptive equivalence:
1-strongly disagree 2- disagree 3-undicided
4-moderately agree 5-strongly agree

Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


Table 8a. Continued . . .
1
2
3
4
5
STATEMENT
AVE
N
% N % N
%
N
%
N
%
4. I cooperate with other actors in
pricing and quality determination of
chayote.
0
0
0
0
4
25
6
38 6 38
4
D. TRUCKER-WHOLESALER
1. I work cooperatively with the
buyer to improve our chayote
trading operation.
1
9
1
9
2
18
2
18 5 45
4

2. I usually buy good quality
chayote from suppliers and as
needed by the buyers.
0
0
0
0
2
18
2
18 7 64
4

3. I build up buyer-seller
relationships (alliances/partnership)
with my colleagues.
2 18
0
0
1
9
2
18 6 55
4

4. I cooperate with other actors in
pricing and quality determination of
chayote.
1
9
1
9
1
9
3
27 5 45
4
E. WHOLESALER
1. I work cooperatively with the
52
buyer to improve our chayote

trading operation.
2 14
1
7 3 21
3 21
5 36
4

2. I usually buy good quality
chayote from suppliers and as
needed by the buyers.
0
0
3 21 2 14
4 29
5 36
4

3. I build up buyer-seller
relationships (alliances/partnership)
with my colleagues.
2 14
4 29 1
7
1
7
6 43
3

4. I cooperate with other actors in
pricing and quality determination of
chayote.
1
7
3 21 4 29
2 14
4 27
3
F. WHOLESALER-RETAILER
1. I work cooperatively with the
buyer to improve our chayote
trading operation.
2
5 3
9 5 14
10 29 15 43
4

2. I usually buy good quality
chayote from suppliers and as
needed by the buyers.
0
0 0
0 4 11
16 46 15 43
4

3. I build up buyer-seller
relationships (alliances/partnership)
4 11 0
0 5 14
15 43 11 31
4

4. I cooperate with other actors in
pricing and quality determination of











chayote.
1
3 8 23 6 17
10 29 10 29
4


Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


Table 8a. Continued. . .
1
2
3
4
5
53
STATEMENT
AVE.
N
% N
% N
%
N
% N
%

G. RETAILER











1. I work cooperatively with the
buyer to improve our chayote
trading operation.
9 19
7 15 5
10
11 23 16 33
3

2. I usually buy good quality chayote
from suppliers and as needed by the
buyers.
0
0
1
2 6
13
21 44 20 42
4

3. I build up buyer-seller
relationships (alliances/partnership)
with my colleagues.
4
8
4
8 4
8
19 40 17 35
4

4. I cooperate with other actors in
pricing and quality determination of
chayote.
9 19 10 21 3
6
15 31 11 23
3


Farmers (37%), assembler-wholesalers (53%), and retailers (31%) moderately
agree on cooperating with other actors in pricing and determining the quality of chayote,
while financier-assembler-wholesalers (38%), wholesaler-retailers (29%) has an
extremely respond, and trucker-wholesalers (45%) strongly agree.
Table 7b shows the average that majority of the respondents were undecided in
cooperating with other actors in pricing and in determining the quality of chayote,
working cooperatively with the buyers to improve chayote trading operation, building
up alliances/partnership with respondents colleagues and buying good quality chayote
from suppliers as needed by the buyers or consumers. This is further supported by the all
over mean range at 4.19, more over looking into the test statistics that there is no
significant differences among the respondents therefore this implies that respondents
have common understanding to the different indicators in determining cooperation.




Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


Table 8b. Descriptive analysis and test statistics
Statement
Mean Chi-Square Df Asymp. Sig.
1. I work cooperatively with the buyer to improve our
chayote trading operation.
3.75
5.61
3
0.132


2. I usually buy good quality chayote from suppliers and
as needed by the buyers.
4.19
1.66
3
0.646

3. I build up buyer-seller relationships



(alliances/partnership) with my colleagues.
3.90
1.00
3
0.801


4. I cooperate with other actors in pricing and quality
determination of chayote.
3.59
5.77
3
0.123
Legend: mean range: 3.59-4.19 = undecided 4.20-4.80 = moderately agree


Distribution of Respondents
According to Commitment

Commitment is an exchange partner believing that an ongoing relationship with
another is so important as to warrant maximum efforts at maintaining it; that is, the
committed party believes the relationship endures indefinitely and commitment is central
to all of the relational exchanges between the firm and its various partners.

Majority of financier-assembler-wholesalers (43%), trucker-wholesalers (54%),
wholesalers (64%), wholesaler-retailers (49%), and retailers (35%) strongly agree in
keeping the promises made with the buyer, while farmers (53%) and assembler-
wholesalers (53%) moderately agree. Keeping promises made with the buyer is also an
important criterion in measuring commitment; as this can be further explain by chi-square
at 16.445, second to the highest.

Assembler-wholesalers
(42%),
financier-assembler-wholesalers
(50%),
wholesalers (50%) and retailers (42%) strongly agree making extra effort to meet the
buyers demand requirement, while farmers (43%), trucker-wholesalers (45%) and
wholesaler-retailers (46%) moderately agree

Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


Table 8a.Distribution of respondents according to cooperation

1
2
3
4
5

STATEMENT
N
% N % N
%
N
% N % AVE.
A. FARMER











1. I keep the promises I make with
the buyer.
2
7
2
7
6
20
16 53 4 13
4

2. I make extra effort to meet the
buyer’s demand requirement.
2
7
2
7
4
13
13 43 9 30
4

3. I invest large amount to
produce/procure the chayote.
4
13 10 33 8
27
7
23 1
3
3

4. I always continue trading with the











buyer for a longer period of time.
1
3
0
0 10 33
14 47 5 17
4
B. ASSEMBLER-WHOLESALER
1. I keep the promises I make with
the buyer.
0
0
0
0
5
26
10 53 4 21
4

2. I make extra effort to meet the
buyer’s demand requirement.
0
0
0
0
4
21
7
37 8 42
4

3. I invest large amount to
produce/procure the chayote.
0
0
4
21 2
11
8
42 5 26
4

4. I always continue trading with the
0
0
0
0
2
11
8
42 9 47
4
buyer for a longer period of time.
C. FINANCIER-ASSEMBLER-WHOLESALER
1. I keep the promises I make with
the buyer.
0
0
0
0
3
19
6
38 7 43
4

2. I make extra effort to meet the
buyer’s demand requirement.
0
0
0
0
3
19
5
31 8 50
4

3. I invest large amount to
produce/procure the chayote.
0
0
2
13 8
50
5
31 1
6
3

4. I always continue trading with the
buyer for a longer period of time.
0
0
0
0
3
19
6
38 7 44
4
D. TRUCKER-WHOLESALER

1. I keep the promises I make with
the buyer.
0
0
0
0
0
0
5
45 6 54
5

2. I make extra effort to meet the
buyer’s demand requirement.

0
0
0
0
1
9
5
45 5 45
4
Numerical value and descriptive equivalent:
1-strongly disagree 2- disagree 3-undicided
4-moderately agree 5-strongly agree


Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


Table 9a. Continued . . .


1
2
3
4
5
Ave.
STATEMENT
N
% N % N
%
N
% N %
3. I invest large amount to
produce/procure the chayote.
0
0
1
9
2
18
0
0
8 73
4

4. I always continue trading with the
buyer for a longer period of time.
0
0
0
0
1
9
2
18 8 72
5

E. WHOLESALER
1. I keep the promises I make with
the buyer.
1
7
2 14 1
7
1
7
9 64
4

2. I make extra effort to meet the
buyer’s demand requirement.
0
0
0
0
4
29
3
21 7 50
4

3. I invest large amount to
produce/procure the chayote.
0
0
3 21 3
21
3
21 5 36
4

4. I always continue trading with the











buyer for a longer period of time.
0
0
0
0
4
29
3
21 7 50
4
F. WHOLESALER-RETAILER
1. I keep the promises I make with
the buyer.
1
3
0
0
2
6
15 43 17 49
4
2. I make extra effort to meet the
buyer’s demand requirement.
0
0
0
0
3
9
16 46 16 46
4

3. I invest large amount to
produce/procure the chayote.
0
0
5 14 1
3
15 43 14 40
4

4. I always continue trading with the











buyer for a longer period of time.
0
0
2
6
2
6
12 34 19 54
4

G. RETAILER
1. I keep the promises I make with
the buyer.
2
4
2
4 10 21
17 35 17 35
4

2. I make extra effort to meet the
buyer’s demand requirement.
2
4
3
6 13 27
10 21 20 42
4

3. I invest large amount to
produce/procure the chayote.
2
4
8 17 16 33
17 35 5 10
3

4. I always continue trading with the
buyer for a longer period of time.
1
2
2
4
7
15
20 42 18 38
4



Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011



Trucker-wholesalers (73%)and wholesalers (36%) strongly agree of investing
large amount in producing/procuring chayote, while assembler-wholesalers (42%),
wholesaler-retailers (43%) and retailers (35%) moderately agree, while farmers
(33%)moderately disagree and financier-assembler-wholesalers (50%) were undecided.

Majority of the respondents strongly agreed to continue trading with the buyer for
a longer period of time, while farmers (47%) and retailers (42%) moderately agree.

The average showed(Table 9b) that majority of the respondents were undecided in
investing large amount to produce/procure chayote, making extra effort in meeting the
buyers demand, keeping the promises made with the buyers , continuing trading with the
buyer for a longer period of time. This is further supported by the mean range all over
3.56-4.13 undecided. Moreover looking into the test statisticsthat there is high significant
on keeping the promises made, investing large amount to produce/ procure chayote and
trading with the buyer for a longer period of time.

Table 9b. Descriptive analysiss and test of statistics
STATEMENT
MEAN
CHI-SQUARE
DF ASYMP. SIG.




1. I keep the promises I make with the buyer.
4.03
16.44
3
0.001**

3. I make extra effort to meet the buyer’s
demand requirement.
4.12
5.01
3 0.171

4. I invest large amount to produce/procure the
chayote.
3.56
23.96
3
0.000**

5. I always continue trading with the buyer for a
longer period of time.
4.13
16.43
3
0.001**

Legend: mean range: 3.56-4.13 = undecided 4.14-4.71 = moderately agree
** Highly significant







Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


Distribution of Respondents According
to Relational Satisfaction

Relational Satisfaction is a positive effective state resulting from an appraisal of
all aspects of a firms working relationship with another. Satisfaction is derived from the
result of a satisfaction means the extent to which the relational dimensions of the
partnership meet expectations (Frazier,1983).
Based on the findings in Table 10a shows that majority of the assembler-
wholesalers (37%), trucker-wholesalers (36%), wholesaler-retailers (46%), and retailers
(31%) moderately agree that trading with the preferred buyer is less risky, while farmers
(37%) and financier-assembler-wholesalers (31%) were undecided, and wholesalers
(29%) strongly agree.
Farmers (27%), assembler-wholesalers (63%), trucker-wholesalers (45%),
wholesalers (36%), wholesaler-retailers (34%) and retailers (37%) that the trading
relationship with the buyer is satisfactory, while financier-assembler-wholesalers (44%)
strongly agreed.
Majority of the farmers (63%), assembler-wholesalers (59%), trucker-wholesalers
(55%), wholesalers (43%), wholesaler-retailers (40%) moderately agreed that they are
satisfied trading with the buyer for a longer time, while financier-assembler-wholesalers
(56%) and retailers (38%) strongly agree.
Farmers (73%), assembler-wholesalers (53%), financier-assembler-wholesalers
(56%),trucker-wholesalers (73%) and wholesaler-retailers (49%) moderately agree that
the buyer meet their expectations in the trading, while wholesalers (57%) were
undecided.


Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


Table 10. Distribution of respondents according to relational satisfaction
1
2
3
4
5
STATEMENT
AVE.
N % N % N
%
N % N %
A.FARMER












1. Trading with the preferred buyer is
less risky.
3 10
7 23 11
37
8 27
1
3
3

2. My trading relationship with the
buyer is satisfactory.
0
0
1
3 13
43
15 50
1
3
4

3. I’m satisfied trading with the buyer
for a longer time.
0
0
1
3
7
23
19 63
3 10
4
4. The buyer meets my expectations
in trading with them.
0
0
0
0 13
43
14 47
3 10
4

5. The buyer treats me fairly and
equitably.
0
0
3 10 21
70
5 17
1
3
3

6. I am adequately rewarded trading
with the buyer.
0
0
1
3 12
40
14 47
3 10
4

7. I always have
conflict/misunderstanding with the
buyer.
1
3 11 37 16
53
2
7
0
0
3

8. The relational trust established
with the buyers is very satisfying.
0
0
1
3 16
53
12 40
1
3
3

9. I am happy on the business
alliances with the buyers.
0
0
0
0
9
30
19 63
2
7
4

10. Trading with the buyer is self-











fulfilling.
0
0
2
7
8
27
17 57
3 10
4

B. ASSEMBLER-WHOLESALER
1. Trading with the preferred buyer is
less risky.
1
5
1
5
4
21
7 37
6 31
4

2. My trading relationship with the
buyer is satisfactory.
0
0
0
0
1
5
12 63
6 31
4

3. I’m satisfied trading with the buyer
for a longer time.
0
0
0
0
2
11
11 59
6 31
4

4. The buyer meets my expectations
in trading with them.
0
0
0
0
5
26
10 53
4 21
4
Numerical value and descriptive equivalent:
1-strongly disagree 2- disagree 3-undicided
4-moderately agree 5-strongly agree



Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


Table 10a. Continued . . .
1
2
3
4
5
STATEMENT
Ave.
N
% N % N
%
N
% N %

5. The buyer treats me fairly and
equitably.
0
0
1
5
4
21
12 63
2 10
4

6. I am adequately rewarded trading
with the buyer.
0
0
0
0
6
32
10 53
3 16
4

7. I always have
conflict/misunderstanding with the
buyer.
1
5
6 32
8
42
3 16
1
5
3

8. The relational trust established

with the buyers is very satisfying.
0
0
1
5
6
32
7 37
5 26
4
9. I am happy on the business
alliances with the buyers.
0
0
0
0
2
10
12 63
5 26
4

10. Trading with the buyer is self-











fulfilling.
0
0
0
0
3
16
11 58
5 26
4

C.FINANCIER-ASSEMBLER-WHOLESALER
1. Trading with the preferred buyer is
less risky.
1
6
3 19
5
31
2 12
5 31
3

2. My trading relationship with the
buyer is satisfactory.
0
0
3 19
1
6
5 31
7 44
4

3. I’m satisfied trading with the buyer
for a longer time.
0
0
2 13
1
6
6 37
7 44
4

4. The buyer meets my expectations
in trading with them.
0
0
0
0
3
19
9 56
4 25
4

5. The buyer treats me fairly and
equitably.
0
0
1
6
2
13
8 50
5 31
4

6. I am adequately rewarded trading
with the buyer.
1
6
1
6
3
19
9 57
2 13
4

7. I always have
conflict/misunderstanding with the
buyer.
1
6
2 13
7
44
3 19
3 19
3

8. The relational trust established
with the buyers is very satisfying.
0
0
1
6
8
50
4 25
3 19
4

9. I am happy on the business
alliances with the buyers.
1
6
2 13
3
19
7 44
3 19
4

10. Trading with the buyer is self-











fulfilling.
0
0
0
0
6
38
6 38
4 25
4


Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


Table 10a. Continued . . .
1
2
3
4
5
STATEMENT
Ave.
N
% N % N
%
N
% N %
D. TRUCKER-WHOLESALER
1. Trading with the preferred buyer is
less risky.
1
9
2 18
0
0
4 36
4 36
4

2. My trading relationship with the
buyer is satisfactory.
0
0
0
0
2
18
5 45
4 36
4

3. I’m satisfied trading with the buyer
for a longer time.
0
0
0
0
1
9
6 55
4 36
4
4. The buyer meets my expectations
in trading with them.
0
0
1
9
0
0
8 73
2 18
4

5. The buyer treats me fairly and
equitably.
1
9
0
0
4
36
3 27
3 27
4

6. I am adequately rewarded trading
with the buyer.
2 18
0
0
2
18
5 45
2 18
3
7. I always have
conflict/misunderstanding with the
buyer.
1
9
6 54
4
36
0
0
0
0
2

8. The relational trust established
with the buyers is very satisfying.
0
0
1
9
5
45
4 36
1
9
3

9. I am happy on the business
alliances with the buyers.
0
0
0
0
4
36
6 55
1
9
4

10. Trading with the buyer is self-











fulfilling.
0
0
1
9
4
36
6 55
0
0
3
E. WHOLESALER
1. Trading with the preferred buyer is
less risky.
1
7
3 21
3
21
3 21
4 29
3

2. My trading relationship with the
buyer is satisfactory.
0
0
1
7
4
29
5 36
4 29
4

3. I’m satisfied trading with the buyer
for a longer time.
0
0
1
7
3
21
6 43
4 29
4

4. The buyer meets my expectations
in trading with them.
0
0
0
0
8
57
2 14
4 29
4

5. The buyer treats me fairly and
equitably.
1
7
2 14
6
43
4 29
1
7
3

6. I am adequately rewarded trading
with the buyer.
0
0
0
0
7
50
5 36
2 14
4

7. I always have
conflict/misunderstanding with the
buyer.
2 15
3 21
7
50
1
7
1
7
3

Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


Table10a. Continued . . .

1
2
3
4
5
STATEMENT
AVE.
N % N % N
%
N % N %

8. The relational trust established
with the buyers is very satisfying.
0
0
1
7
6
43
3 21
4 29
4
9. I am happy on the business
alliances with the buyers.
0
0
1
7
5
36
5 36
3 21
4

10. Trading with the buyer is self-











fulfilling.
0
0
0
0
5
36
6 43
3 21
4

F. WHOLESALER-RETAILER
1. Trading with the preferred buyer is
less risky.
1
3
5 14
8
23
16 46
5 14
4

2. My trading relationship with the
buyer is satisfactory.
0
0
0
0 11
31
12 34 12 34
4

3. I’m satisfied trading with the buyer
for a longer time.
0
0
0
0
9
26
14 40 12 34
4

4. The buyer meets my expectations
in trading with them.
0
0
2
6 12
34
17 49
4 11
4
5. The buyer treats me fairly and
equitably.
0
0
1
3 13
37
18 51
3
9
4

6. I am adequately rewarded trading
with the buyer.
0
0
1
3
7
20
22 63
5 14
4

7. I always have
conflict/misunderstanding with the
buyer.
4 11
5 14 16
46
7 20
3
9
3

8. The relational trust established
with the buyers is very satisfying.
0
0
0
0 11
31
16 46
8 23
4

9. I am happy on the business
alliances with the buyers.
0
0
1
3 11
31
17 49
6 17
4

10. Trading with the buyer is self-











fulfilling.
1
3
1
3 11
31
13 37
9 26
4
G. RETAILER

1. Trading with the preferred buyer is
less risky.
2
4
6 13 12
25
15 31 13 27
4

2. My trading relationship with the
buyer is satisfactory.
1
2
5 10
7
15
18 37 17 35
4

3. I’m satisfied trading with the buyer
for a longer time.
1
2
3
6
9
19
17 35 18 38
4

Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


Table10a. Continued . . .

1
2
3
4
5
STATEMENT
AVE.
N % N % N
%
N
% N %

4. The buyer meets my expectations in
trading with them.
0
0
6 12 14
29 16
33 12 25
4

5. The buyer treats me fairly and
equitably.
0
0
2
4 15
31 20
42 11 23
4

6. I am adequately rewarded trading
with the buyer.
2
4
2
4 11
23 20
42 13 27
4

7. I always have
conflict/misunderstanding with the
buyer.
7 15
8 17 16
33 10
21
7 15
3

8. The relational trust established with
the buyers is very satisfying.
0
0
3
6 23
48 11
23 11 23
4

9. I am happy on the business
alliances with the buyers.
1
2
3
6 14
29 19
40 11 23
4

10. Trading with the buyer is self-
fulfilling.
2
4
2
4 17
35 18
38
9 19
4


Farmers (36%) and wholesalers (43%) were undecided that buyer’s treatment is
fair and equal, while assembler-wholesalers (63%), financer-assembler-wholesalers
(50%), trucker-wholesalers (36%), wholesaler-retailers (51%) and retailers (42%)
moderately agree.
Farmers (45%), assembler-wholesalers (53%), financer-assembler-wholesalers
(57%), trucker-wholesalers (45%), wholesaler-retailers (63%), and retailers (42%)
moderately agree that they are adequately rewarded trading with the buyer, while
wholesalers (50%) were undecided.
Farmers (53%), financer-assembler-wholesalers (37%), trucker-wholesalers
(45%), and retailers (48%) were undecided in the relational trust established with buyer,
while assembler-wholesalers (37%) and wholesaler-retailers (46%) moderately agree.

Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


In Table 10b the averages showed that majority of the respondents were
undecided in almost all of the criteria in determining the relational satisfaction especially
in having conflict with the buyer. This is further supported by the mean range all over
4.02 undecided, more over looking into the test statistics that there is a high significant
difference in the buyers treatment such as being fair and equitable, while there is
significant differences in the trading relationship with the buyer is satisfactory and
trading with a buyer for a longer period of time is less risky.

Table 10b. Descriptive analysis and test statistics

66
Statements
Mean Chi-Square
df
Asymp. Sig.

1. Trading with the preferred buyer is less
risky.
3.49
8.85
3
0.031

2. My trading relationship with the buyer is
satisfactory.
3.93
10.77
3
0.013*

3. I’m satisfied trading with the buyer for a
longer time.
4.02
5.53
3
0.137*

5. The buyer treats me fairly and equitably.
3.76
3.89
3
0.273
6. I am adequately rewarded trading with
the buyer.
3.64
20.46
3
0.000**

7. I always have conflict/misunderstanding
with the buyer.
2.90
3.59
3
0.309

8. The relational trust established with the
buyers is very satisfying.
2.90
3.59
3
0.309

9. I am happy on the business alliances with
the buyers.
3.66
4.13
3
0.247

10. Trading with the buyer is self-fulfilling.
3.79
1.73
3
0.630
Mean range: 2.90-4.02 = undecided 4.03-5.15 = moderately agree
** Highly significant * Significant






Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


SUMMARY, CONCLUSIONS AND RECOMMENDATIONS



Summary
This study aims to determine the similarities and differences in the chain
67
relationships of the actors in the spot market for chayote such as trust, power,

dependence, cooperation communication, commitment and relational satisfaction.
The study was conducted following the geographical flow of chayote from the
point of production to the point of consumption. The data was gathered through personal
interview using validated questions.
There were 173 respondents; composed of 30 producers, 35 assemblers, 60
distributors and 40 retailers. Most of the respondents were ranging from 21-30 years old.
Majority of the chain actors were female, married, catholic, educated and don’t belong to
any organizational affiliation.
Majority of the respondent’s ages ranging from 21-30 years old are having
vegetable trading business. Majority of male respondents were farmers (90%), assembler-
wholesalers (68%) and trucker-wholesalers (64%) while female respondents were other
financier-assembler-wholesalers (69%), wholesaler-retailers (66%) and retailers (81%).
The chain actors were mostly married; several of them were separated and widow,
belong to Catholic and have higher degree of education. They respondents mostly
engaged in vegetable business covering 6-10 years and they don’t belong to any
organizational affiliation. The respondents have similarities in terms of trust having
confidence in relying to promises,whereas assembler-wholesalers (47%), retailers (40%)
and farmers (43%); dependenceand cooperation; and they differ in terms of power,
commitment, communication and relational satisfaction.

Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


Conclusions
1. The different chain actors of chayote in the spot market have similarities in term
of trust, where in relying to the buyers promises, dealing honestly with buyers, making
important decision based on the buyers suggestions, believing on the information’s
shared by the buyers, being fair in the negotiation, considering the best interest in the
business and dealing with buyers that have good reputation.
2. The different chain actors of chayote in the spot market have differences in terms
of power, specifically in having the power in the trading negotiation, buyer has the best
offer(price) relative to alternatives(other buyers), buyer often control the market
information (demand and price), buyer often acts opportunistically, and flexibility in
choosing buyer anytime.



3. The different chain actors of chayote in the spot market have similarities in terms
of dependence, where in they depend on the quality classification, quantity, and payment
term of chayote by the regular buyers, price dictated by the buyer, adhering the buyers
demand, and depending much on the information provided by the buyers.
4. The different chain actors of chayote in the spot market have differences in terms
of communication, where in they can directly dictate price, use other people in sharing
information to farmers/buyers, and in sharing information about production,
marketing/procurement target to the buyers.


5. The different chain actors of chayote in the spot market have similarities in terms
of cooperation, where in they work cooperatively in the trading, pricing, and quality
determination of chayote, buying good quality chayote as needed by the buyers and
building up alliances (buyer-seller relationship).

Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


6. The different chain actors of chayote in the spot market have differences in terms
of commitment such as keeping the promises made with the buyers, investing large
amount in procuring/producing chayote, continuing the trading with the buyer for a
longer period of time , and having extra effort to meet the buyers demand.
7. The different chain actors of chayote in the spot market have differences in terms
of relational satisfaction such as trading with the preferred buyer for lesser risk, trading
relationship with the buyer is satisfactory, and fair/equal treatment of the buyer.

Recommendations
Based on the conclusions, the following recommendations were made:
1. The chain actors should avoid exercising coercive power to avoid conflict in the
trading negotiation and to establish mutual trust and dependence to reduce controlling of
the other party and to reduce risk.
2. The chain actors should have a common channel of communication such as in the
dictation of price and using other people in sharing information’s, making the other
parties cooperate in exchanging information as to production schedules, pricing, and
value analysis in reducing cost and improvement of products. All parties must have area
communicative communalities to achieve mutual goals.
3. The chain actors should be committed in the trading of chayote such as keeping
promises, and trading with the buyer for a longer period of time, to warrant maximum
efforts at maintaining it, that is, the committed party believes the relationship, endures
indefinitely and commitmentis central to all of the relational exchangesbetween the firm
and its various partners.


Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011






LITERATURE CITED

ANDALEEB, S. S., 1996. An experimental investigation of satisfaction and commitment

in marketing channels: the role of trust and dependence. Journal of Retailing, 72,

77-93.

ANDERSON, J. C. andJ.A.NARUS. 1990. A model of distributor firm and

Manufacturing firm working relationships. Journal Marketing, 54(1), 42-58.

ANDERSON, E. and B. A. WEITZ. 1992. The use of pledges to build and sustain

commitment in distribution channels. Journal of Marketing Research. 29, 18-34.

BOWMAN, R.J. 1997. The state of the supply chain. Distribution, Vol. 96 No.1, Pp. 28-
36

CHAMPION, S. C. and A. P. FEARNE., 2000. Supply Chain Management: A “First

Principles” Consideration of its Application to Wool Marketing. A Paper

presented at the International Wool Textile Organization Technical Meeting, Nice

France November 2000.
http://www.imperial.ac.uk/agriculturalsiences/cfcr:pdfdoc:champion2001.pdf

COUNCIL OF LOGISTICS MANAGEMENT. 1986. What is it all about?Oak Brook,
Illinois, U.S.A

DRABENSTOTT, M. 1999. Consolidation in U.S. Agriculture Leading to new Rural
Landscape and Public Policy Considerations. Feedstuffs. 71 (May) P. 33

FEARNE, A. 1998.The Evaluation of Partnership in the Meat Supply Chain: Insights
from the British Beef Industry. Supply Chain Management: An International
Journal, Vol. 3 No. 4, Pp. 214-231.

FRAZIER, G. L. 1983.Interorganizational exchange behaviour in marketing channels: a

broadened perspective. Journal of Marketing, 47 (Fall), 68-78.

GO, F.M. and J.APPELMAN 1999. Achieving Competitive Advantage in SME’s by
Building Trust in Interfirm Alliances. Paper presented at the International


Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


HAWES, J. M., K. E. MAST. and J. E. SWAN. 1989. Trust earning perceptions of

sellers and buyers. Journal of Personal Selling and Sales Management, 9 (Spring),

1-8.

HEIDE, J. B. and G. JOHN. 1988. The role of dependence balancing in safe-guarding

transaction-specific assets in conventional channels. Journal of Marketing, 52

(January), 20-35.


HOBS, J. E. and L. M. YOUNG. 2000. Closer Vertical Co-ordination in Agri-food

Supply Chains: A Conceptual Framework and Some Preliminary Evidence.

Supply Chain Management, Vol. 5 No. 3, Pp. 132-142.

HONGZE MA, R. J. 2005. Supply chain management. Logistics, TurkuSchool of
Economics and
Business Administration. Retrieved October08, 2010
http://www.tukkk.fi/markkinointi/log/log1/

JANZEN, R. and J. J. DE VLIEGER. 2000. Social Network Theories as a tool for

Chain Building from the Promise of Profit to the Promise of a Person.In Chain

Management in Agribusiness and the Food Industry, Proceedings of the Fourth

and International Conference (Eds. Trienekens J. H. and Zuurbier P. J. P.) Pp.121-

127 (WageningenPers: Wageningen The Netherlands).

LANDEROS, R. andR. M. MONCZKA,. 1989. Cooperative buyer/seller relationships

and a firms competitive posture. J. purchasing and Material Manage., 25, 9-18.

MATANDA, M. J. and B. SCHRODDER 1987. Business-To Business Relationship By

Categories of Suppliers In The Marketing Channel. Dynamics in Chain and

Networks. Proceedings of the sixth International Conference on Chain and

Network Management in Agribusiness and the Food Industry. 27-28 May 2004.

Editors: Bremmers, H. J., Omta, S. W. F., Treinekens, J. H. and E. F. M. Wubben.

Wageningen Academic Publishers. Pp. 532-537.

MIGCHELS, N.G. 2000. That’s What Friends are for. . . , The development of chain

cooperation. In “Chain Management in Agribusiness and the foods Industry”,

Proceedings of the Fourth Internal Conference. (Eds. Trienekens, J. H. And

Zuurbier,P.J.P.) Pp. 429-441.(WageningenPers: Wageningen, The Netherlands).

MORGAN, R. and S. HUNT. 1994. The Commitment-Trust Theory of Relationship

Marketing. Journal of Marketing, 58 (May) 28-40. In:Matanda, M. J. and B.

Schroder. Business-To Business Relationship By Categories of Suppliers In The

Marketing Channel. Dynamics in Chain and Networks. Proceedings of the sixth

International Conference on Chain and Network Management in Agribusiness and

the Food Industry. 27-28 May 2004. Editors: Bremmers, H. J., Omta, S. W. F.,

Treinekens, J. H. and E. F. M. Wubben. Wageningen Academic Publishers. Pp

532-537. Retrieved November 12, 2010;
http://goliath.ecnext.com/coms2/gi_0199-513871/Factors-affecting-the-level-

Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


of.html

NAUDE, P. and F. BUTTLE. 2000. Assessing Relationship Quality. Industrial

Marketing Management., 29 (4) 351 -363 In:Matandass, M. J. and B. Schrodder.

Business-To Business Relationship By Categories of Suppliers In The Marketing

Channel. Dynamics in Chain and Networks. Proceedings of the sixth International

Conference on Chain and Network Management in Agribusiness and the Food

Industry. 27-28 May 2004. Editors: Bremmers, H. J., Omta, S. W. F., Treinekens,

J. H. and E. F. M. Wubben. Wageningen Academic Publishers. Pp. 532-537.

O’KEEFFE, M. 1994. Vertical Coordination in Agribusiness: A Literature Review.

RIRDC Occasional Paper Series No. 94/1

PIADOSO,M. E. 1999. Problems on the marketing system for fresh vegetables grown in
higlands in the Philippines. Retrieved August 14, 2010 from
http://rms/agsearch.agropedia.affrc.go.jp/contenets/JASI/pdf/society/73-4520. pdf
RING and VAN DE VEN. 1994. Development Processes of Cooperative inter-

organizational Relationships. Academy of Management Review. Vol 19, n 1, pp.

90-116.

SCHARY, P. andT. SKJOTT-LARSEN. 2001. Managing the Global Supply Chain.

CopenhagenBusinessSchool Press, P.542
SINGH, J. and SIRDESHMUKH, D. 2000. Agency and Trust mechanisms an consumer

satisfaction and loyalty judgements. Journal of academy of Marketing Science, 28

(1) 150-167.

UZZI, B. 1997. Social Structure and Competition in Interfirm Networks: the Paradox of

Embeddedness. Administrative Science Quarterly, Vol. 42, Pp. 35-67.

VAN BEEK, P., A.J.M. BEULENS, and H. MEFFERT 1998. Logistic and ICT in

Food Supply Systems. In innovation of Food Production Systems product Quality

and Consumers Acceptance (Eds. Jongen W.M.F. and Meulenberg M.T.G.) Pp .

117-1138. (Wageningen Pers: Wageningen, The Netherlands).

WATERS, D. 2003. Logistics: An Introduction to Supply Chain Management. Palgrave

Macmillan. New York. Pp. 354.

WALES, J. 1996. Supply Chain Management. Retrieved November 23, 2010 from
http://en. Wikipedia. Org/wiki/Supply_chain-mnagement#Defination.org.





Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011






APPENDICES
APPENDIX A
Letter to the Respondents

BenguetStateUniversity
COLLEGE OF AGRICULTURE
La Trinidad, Benguet


November 2010
Sir/ Madam:


The undersigned fourth year student taking up Bachelor of Science in
Agribusiness majoring in Enterprise Management at BenguetStateUniversity is
conducting a research entitled “RELATIONSHIP OF ACTORS IN THE SPOT
MARKET CHAIN FOR CABBAGE”.
In connection to this, I’m soliciting for your full cooperation by answering this
questionnaire honestly and completely. I assure you that your answers will be kept
strictly confidential. Your honest and complete response will make the study successful.
Thank you very much and God bless.


Very truly yours,



LAILA L. MANAWAG
Researcher


Noted:

Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011




LEOPOLDO N. TAGARINO
Adviser




APPENDIX B
Interview Schedule


The research aims to investigate the chayote supply networks. All information
solicited will be treated with confidentiality. Please answer the questions honestly by
putting X mark in the appropriate space provided for. Thank you very much!
Respondent’s Name: __________________________


No. ______
Respondent’s Group:
1. Production Group:
[ ] Farmers





2. Assembly (Collection) Group :[ ] Assembler-Wholesaler [ ] Financier-Assembler-Wholesaler
[ ] Financier-Assembler-Wholesaler-Retailer
3. Distribution Group :
[ ] Trucker-Wholesaler[ ] Wholesaler [ ] Wholesaler-Retailer
4. Retailing Group : [ ] Retailers


A. RESPONDENT’S PROFILE
1. Age: _____
2. Gender: _____ Male _____ Female
3. Marital status: [ ] Single
[ ] Married
[ ] Separated
[ ] Widowed
4. Religion:
[ ] Catholic
[ ] Protestant
[ ] others, specify ________________
5. Educational background: [ ] Elementary [ ] High School [ ] College [ ] Vocational
6. Number of years engages in vegetable farming business: _____
7. Organizational affiliation: [ ] Farmers Association [ ] Cooperatives [ ] Others, specify

B.What are the vegetablesyoufrequentlyproduce/procure and sell in the market?Please checkthe boxes
[ ] Potato [ ] Cabbage [ ] ChineseCabbage [ ] Carrots [ ] Broccoli [ ] Lettuce [ ] Bell Pepper
[ ] Tomato [ ] Celery [ ] Chayote [ ] Cucumber [ ] SnapBeans [ ] Garden Peas

C.SUPPLY NETWORK RELATIONSHIP
Assess the nature of satisfaction with the buyers of your vegetables.
C.1 Trust:Trust can be understood as a faith, reliance, belief or confidence in the goodwill of other partners.
Assess the nature of relational trust with the buyers of your vegetables.






1 2 3 4 5
1. I have much confidence to rely on the buyer’s promisesStrongly Disagree
StronglyAgree
(orders, payments, pricing).

2. I am always honest dealing with the buyers of chayote.
Strongly Disagree
StronglyAgree
3. I should not hesitate to make important decisionsbasedStrongly Disagree
StronglyAgree
on buyer’s suggestions.
4. I always believe on the information shared by the buyer. Strongly Disagree
StronglyAgree
5. The buyer is fair in negotiating with me.

Strongly Disagree
StronglyAgree
6. The buyer I trade with has a good reputation.

Strongly Disagree
StronglyAgree

7. The buyer and I always consider the best interest.
Strongly Disagree
StronglyAgree


Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011



C.2 Power: Power is defined as the ability to influence a relationship partner and dependence or
asymmetrical investment in relationship-assets can lead to the exercise of coercive power. Assess the nature
of relational power with the buyers of your vegetables.
1 2 3 4 5
1. I am flexible to choose buyers at any time.

StronglyDisagree
StronglyAgree
2. I always adhere to the buyer’s demand.

StronglyDisagree
StronglyAgree

3. I have all the power in the trading negotiation

Strongly Disagree
StronglyAgree
4. Buyer has the best offer (price) relative to alternatives
Strongly Disagree
StronglyAgree

5. Buyer often controls the market information.

Strongly Disagree
Strongly Agree

6. Buyer often acts opportunistically.


Strongly Disagree
StronglyAgree


C.3 Dependence:Dependence is increased when the outcomes available from the relationship are
comparatively better than the outcomes available from alternative relationship. Assess the nature of
relational dependence with the buyers of your vegetables.


1 2 3 4 5
1. I (seller) depend on the quality classification, quantity, StronglyDisagree
StronglyAgree
And payment term of chayote by the buyer.
2. I depend much from the regular buyers of the chayote I sold. StronglyDisagree
StronglyAgree
3. I depend on the price dictated by the buyer. StronglyDisagree
StronglyAgree
4. I always adhere to the seller’s demand. Strongly Disagree
StronglyAgree

5. I depend much from the market information providedStrongly Disagree
StronglyAgree
by the buyers.

C.4 Communication: Communication is “the formal as well as informal sharing of meaningful and timely
information between firms”. Assess the nature of communication, between you and the buyer
1 2 3 4 5
1. I can directly dictate price Strongly Disagree
Strongly Agree
2. I usually share information and marketing (volume, Strongly Disagree
Strongly Agree
quality, price) information to buyers.
3. As buyer, I use other people in sharing other information to Strongly Disagree
Strongly Agree
farmers/sellers.
4.I always share information about production, procurement/marketingStrongly Disagree
Strongly Agree
targets to the buyer
5.I share the production or marketing decisions I made with the buyer.Strongly Disagree
Strongly Agree

C.5 Cooperation: Cooperation refers to situations in which firms work together to achieve mutual goals
Assess the level of cooperation between you and the buyer of your vegetables
1 2 3 4 5
1.I work cooperatively with the buyer to improve our Strongly Disagree
Strongly Agree
Chayote trading operation.
2.I usually buy good quality vegetables from suppliers and Strongly Disagree
Strongly Agree
as needed by the buyers.
3.I build up buyer-seller relationships (alliances/partnership)Strongly Disagree
Strongly Agree
with my colleagues.
4.I cooperate with other actors in pricing and quality Strongly Disagree
Strongly Agree
determination of vegetables.

C.6 Commitment: commitment as "an exchange partner believing that an ongoing relationship with
another is so important as to warrant maximum efforts at maintaining it. Assess the level of commitment
between you and the buyer of your vegetables

1. I keep the promises I makewith the buyer.
Strongly Disagree
StronglyAgree

2. I make extra effort to meet the buyer,sdemandrequirement. Strongly Disagree
Strongly Agree
3.I invest large amount to produce/procure the vegetables. StronglyDisagree
StronglyAgree

Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011


4. I always continue trading with the buyer for a longer
Strongly Disagree
Strongly Agree

period of time.

C.7Relationship satisfaction: Satisfaction is derived from the result of a satisfaction means the extent to
which the relational dimensions of the partnership meet expectation.




1 2 3 4 5
1. Trading with the preferred buyer is less risky.

StronglyDisagree
StronglyAgree
2. My trading relationship with the buyer is satisfactory.
StronglyDisagree
StronglyAgree

3. I am satisfied to trading with the buyer for a longer time.

Strongly Disagree
StronglyAgree
4. The buyer meets my expectations in trading with them.
Strongly Disagree
StronglyAgree
5. The buyer treats me fairly and equitably.

Strongly Disagree
StronglyAgree
6. I am adequately rewarded trading with the buyer. Strongly Disagree
StronglyAgree

7. I always have conflict/misunderstanding with the buyer. Strongly Disagree
StronglyAgree
8.The relational trust established with the buyers is very Strongly Disagree
StronglyAgree
Satisfying
9.I am happy on the business alliances with the buyers. Strongly Disagree
StronglyAgree
10.Trading with the buyers is self fulfillingStrongly Disagree
StronglyAgree






































Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011



























































Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011














































59


Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011





Relationship of Actors in the Spot Market Chain for Chayote/ LAILA L.MANAWAG, 2011

Document Outline

  • Relationship of Actors in the Spot MarketChain for Chayote
    • BIBLIOGRAPHY
    • ABSTRACT
    • INTRODUCTION
    • REVIEW OF LITERATURE
    • METHODOLOGY
    • RESULTS AND DISCUSSION
    • SUMMARY, CONCLUSIONS AND RECOMMENDATIONS
    • LITERATURE CITED