Agricultural Economics
F. Vajdi Hokm Abad; H. Rafiee; A.H. Chizari; S. Yazdani; S.S. Hosseini
Abstract
In contemporary marketing, maintaining and enhancing customer loyalty toward a company's products or services has become a primary focus. Among the factors influencing customer loyalty is ethical marketing, a field of applied ethics related to the principles governing behavior, advertising, and regulation ...
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In contemporary marketing, maintaining and enhancing customer loyalty toward a company's products or services has become a primary focus. Among the factors influencing customer loyalty is ethical marketing, a field of applied ethics related to the principles governing behavior, advertising, and regulation in marketing. Over the past two decades, ethical consumerism has grown in importance due to increasing social and environmental concerns. This study examines the impact of ethical components on Customer Lifetime Value (CLV) for dairy product consumers in Tehran in 2023. A total of 710 questionnaires were completed, and the GWRFM method was employed to extract the necessary information for calculating CLV. The results revealed a high frequency of clusters with low lifetime value. In the subsequent phase, multinomial logit regression was utilized to analyze the effect of ethical components on CLV, highlighting the significant positive impact of adherence to industry regulations and acceptance of social responsibility. Therefore, it is recommended that stakeholders in the dairy industry assure customers of their compliance with regulations and social responsibility to elevate them to higher-value clusters and foster loyalty. By respecting ethical norms, a substantial portion of consumers of cheese, yogurt, and ayran products may transition toward becoming valuable customers in this sector.
Agricultural Economics
S. Sadafi Abkenar; A.H. Chizari; H. Rafiee; H. Salami
Abstract
Iran Mercantile Exchange is striving to become a regional hub for price discovery of essential commodities and raw materials, providing producers with financial instruments and risk management tools. This study investigates the optimal hedge ratio in future and commodity deposit receipts (spot) contracts ...
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Iran Mercantile Exchange is striving to become a regional hub for price discovery of essential commodities and raw materials, providing producers with financial instruments and risk management tools. This study investigates the optimal hedge ratio in future and commodity deposit receipts (spot) contracts for Round Fandoghi pistachios. Using the BEKK-VAR-TARCH model, the impact of seasonal and daily volatility on returns and hedge ratios was assessed over the period from 19 October 2018 to 18 January 2022. The results showed that volatility on specific days of the week and during different seasons affect speculative and investment decisions in the commodity exchange. Particularly, sharp volatility during certain periods can lead to significant changes in returns and hedge ratios. These findings suggest that investors should update their investment strategies based on seasonal and daily volatilities. Additionally, the importance of utilizing financial instruments suited to market conditions for managing existing risks was confirmed. Ultimately, investors, speculators, and policymakers in the commodity exchange are advised to pay special attention to temporal changes and existing volatilities when composing their investment portfolios and adjusting hedge strategies. Furthermore, the use of futures contracts and derivative instruments is recommended as risk management approaches. This study contributes to a better understanding of volatility behavior and offers strategies for improved risk management in the Round Fandoghi pistachio market.
Agricultural Economics
A.H. Chizari; M. Dehghani
Abstract
The prices accepted by consumers in the market are influenced by the characteristics of the goods, based on consumer behavior. Each of these features contributes to the price agreed upon by both consumers and suppliers. The packaging of a product plays a crucial role in attracting consumers and protecting ...
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The prices accepted by consumers in the market are influenced by the characteristics of the goods, based on consumer behavior. Each of these features contributes to the price agreed upon by both consumers and suppliers. The packaging of a product plays a crucial role in attracting consumers and protecting the product from damage. High-quality and visually appealing packaging can create a positive perception among consumers, potentially resulting in a higher price point. Additionally, specialized packaging techniques designed to preserve freshness and extend the shelf life of oil can also impact the price. This study investigates the impact of quality and packaging on the price of sunflower oil in Iran. The primary objective was accomplished using the hedonic pricing method. Given the qualitative and ordinal nature of the dependent variable, the ordinal logit model was employed. The sample size was determined through a two-stage cluster sampling approach, which involved collecting 350 questionnaires from consumers in Tehran city. Statistical analysis was conducted using Shazam and Stata software. Numerous factors influence the consumption of sunflower oil at various levels. However, in general, factors such as increasing age, higher income levels, the presence of diseases, and dietary considerations contribute to a decrease in its consumption. On the other hand, factors like improving product quality, enhancing the quality of oil packaging, increasing consumer loyalty towards edible oil, and rising online sales of this product contribute to an increase in its demand.
Agricultural Economics
A.H. Chizari; K. Vazirian
Abstract
Efficient Asset allocation and investment portfolio selection are among the most critical and challenging issues in investment management and a continuous concern for investors. When investors invest in the capital market, they expect their portfolio to perform well. Therefore, this study determines ...
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Efficient Asset allocation and investment portfolio selection are among the most critical and challenging issues in investment management and a continuous concern for investors. When investors invest in the capital market, they expect their portfolio to perform well. Therefore, this study determines the optimal stock portfolio of agricultural companies in the Tehran Stock Exchange (TSE). Thirty-two most important agriculture companies in the (TSE), with monthly data from 2014-2020, were selected from Iran's two most essential agriculture industries, the food and beverage industries, and the sugar industry. Two portfolios for the food and beverage industry and sugar industry goals: minimizing portfolio variance and maximizing portfolio return using the Markowitz model with two different scenarios and applying two minimum investment constraints of 1% and optimized maximum investment of 20% without considering these two constraints. The efficiency, variance, and Sharp ratios are also calculated. The results showed that both food and beverage industry portfolios and the sugar industry portfolios became more efficient when optimized to maximize portfolio returns. The result also indicates the food and beverage industry was more efficient than the portfolio of the sugar industry. In this portfolio, the amount of investment for the shares of Salmin Company was 86.7% and for Mehram Company was 13.3%.
Z. Shokoohi; A.H. Chizari; M. Amiri
Abstract
Introduction: Economic theories and empirical results show that the economic performance and the resulting social welfare are influenced by the market mechanism, and the gap of the market structure from the competitive market implies the failure of the market and in this situation allocation of resources ...
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Introduction: Economic theories and empirical results show that the economic performance and the resulting social welfare are influenced by the market mechanism, and the gap of the market structure from the competitive market implies the failure of the market and in this situation allocation of resources will be inefficient. In other words, there is a causal relationship between the existence of market power and the lost prosperity of the economy. Thus, the market structure affects market incentives and decision making process on market outcomes. Also, the analysis of the situation of market competition can affect the process of adopting supportive policies and its results. In market structure studies, economists have traditionally defined industry horizontally i.e. by including firms that make similar products. While non-competitive behavior in the market is not necessarily related to horizontal behavior and the horizontal structure only represents just a part of the market power. In fact what is known as market power is the result of combination of the vertical and horizontal competition in different levels of the markets.
Milk is one of the agricultural products that more than 70 percent of it goes into the processing industry. The average per capita consumption of milk in Iran is about 90 kg, while the average global consumption is 156 kg and in the European countries is 300 kg. Also, the statistics of dairy factories collected by the Statistical Center of Iran show that between 2004 and 2011 more than 65% of the total amount of raw milk was absorbed by less than 10% of dairy factories. This is a sign of the high concentration of this industry. Meanwhile, the industry is facing a large number of dairy consumers to sell its products with their average per capita consumption in the country much lower than that recommended by the World Health Organization. However, increasing concentration in this industry can affect the bargaining power of the processors and the formation of the price of dairy products. Therefore, the purpose of this study is evaluation of the horizontal and vertical market structure in dairy products market including pasteurized milk, yogurt and cheese.
Materials and Methods: In order to investigate the vertical structure of the market, based on the formation of the price of dairy products, a bilateral monopoly bargaining pattern with axiomatic approach was used. In estimation of the bargaining model we applied EM algorithm to overcome the hidden supply reservation price. The horizontal structure of the market was also evaluated using the Lerner index. Its needed to be explained that the statistics and information required for this study including the production of dairy products, pasteurized milk, yogurt and cheese, the amount and value of consumable inputs including labor, raw milk, milk powder, inventory of capital goods, cost of depreciation, The cost of maintenance and packaging costs for a number of dairy enterprises were collected from the Iranian Statistics Center during the period 1990-2012.
Results and Discussion: the results of this study showed that the horizontal structure of the market for these three products was far from competitive and Producers are able to raise the price of these products above the marginal cost. However, the value of Lerner index in the study period has been decreasing with many fluctuations and this meant improving the competition in the studied years. Also, the results of the bargaining model demonstrated that the bargaining power of processors in pricing these products are more than consumers. Somehow, in average about 70% of dairy trade gains owned by processors and 30% of that is the consumers' share. In all three products, in addition to the price of raw milk, the price of capital input and packaging play a significant role in the agreed price change of dairy products, especially pasteurized milk. So one percent reduction in the price of capital input with current conditions, leads to a decrease in prices of milk, cheese and yoghurt by 0.33, 0.13 and 0.15 percent, respectively.
Conclusions: The results indicate that 70 percent of the welfare loss of the manufacturer is passed on to the consumer as a result of higher costs while only 30 percent increase in welfare as a result of cost reduction Will be given to consumers. As a result, the negotiations on the price formation of these products have been in a way that the government has diverted from its basic goal. The reason for this would be the coincidence of the duties of the government organization responsible for pricing law, consumer protection and producer protection. Therefore, it is necessary to examine the formation of independent governmental or non-governmental organizations in support of consumers and to study the appropriate ways to operate existing laws in order to support consumers.
F. Riahi; A.H. Chizari; A.R. Akbari Bayat
Abstract
Introduction: Transportation has long been a special place in the economy of Iran and has already had a special position in economic, production and services systems. According to the Central Bank of Iran's statistics, about 13.6 percent of the national income of the country is related to the transport ...
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Introduction: Transportation has long been a special place in the economy of Iran and has already had a special position in economic, production and services systems. According to the Central Bank of Iran's statistics, about 13.6 percent of the national income of the country is related to the transport and warehousing sector and about 9 percent of it, belongs to the transport sector. In the past decade, with an average growth of 14.5%, the share of transportation sector has been one of the most important components of economic growth. However, long-standing issues such as the lack of utilization of all fleet capacity and lack of knowledge about optimal distribution routes have caused overhead transportation costs to be off sized by the profits of company’s activities in the distribution sector as well as by manufacturers. Hence, researchers have always sought solutions to improve the transportation routes and eliminate these additional costs.
One of the most important issues in the field of transportation, which is highly considered, is the Vehicle Routing Problem (VRP) issue. The most prominent types of VRP issues is, the carrying goods problem which is limited by the goods delivery time. This issue is very common in carrying perishable goods. The most vital issue in carrying perishable goods such as protein products, is to maintain its quality along the route, which is important in addition to the economic overview in terms of maintaining food safety. Tehran with population around 8293140, is one of the populated city among 25 cities in the world, which has got most important role to study in this issue.
The major part of the protein which is consumed by the citizens of Tehran is poultry meat. In Tehran, about 10% of the physical distribution of poultry meat is made by the grocery section of municipality of Tehran. It is distributed through 141 retail markets, which are supplied by two central warehouses. Accordingly, in the present study, with an examination of the existing transport structure, we will present an optimal pattern for distributing daily chicken meat in Tehran's retail markets.
Materials and Methods: The VRP refers to a set of issues in which a number of vehicles concentrated in one or more locations should go to a set of customers, each with a specific demand, to provide a service. For the VRP issue, a variety of different constraints are presented. But the limited-capacity vehicle routing (CVRP) is a major example of vehicle routing, in which all customers have the same delivery limited area and specified demand. In the above question, the goal is to minimize the linear composition of the number of paths, the length of the routes or the travel time, so that more convenient and less costly customer service can be provided.
In order to solve the transport problem, two parallel world algorithms and a definite algorithm is used. Then, the algorithms are compared. For this purpose, according to the data of the year 92 of the chicken distribution network in Tehran, a model was made by considering two chicken distribution depots as well as 141 poultry meat market.
Results and Discussion: The comparison of the answer to the meta-exploratory algorithm is used, and the answer from the definitive methods indicates that the solutions provided by definite methods are superior to the proposed meta-exploratory algorithm and this excellence has come at the expense of using more time. Increasing the execution time of the meta-exploratory algorithm results in the closeness of the solution of the algorithm to the results of definite algorithms. Also, the results showed that the best answer based on definite algorithms was 40231.6 million Rials, which after 36,000 seconds this answer was obtained and during different times, this answer has dramatically improved. Through the algorithm of parallel universes, although the optimal answer is different from the optimal solution of definitive methods (There is only 5.26% difference in results), at the beginning of the problem solution, almost the optimal answer has been obtained, and the longer solving time has not changed much in cost reduction. In addition, by comparing the results of the existing conditions and the optimal transport model, it can be seen that, transportation costs in existing conditions are 2.33 and 2.14 times more than two definitive routing algorithms and parallel universes.
Conclusions: Considering the evidence and research findings, based on the problem-solving time of VRP and the significance of costs, the Tehran municipality can apply the designed model based on parallel algorithm solving methods to improve the poultry meat transportation network. So if all markets in a comprehensive system declare their demand, then distribution of chicken meet can be optimized. It is recommended to create an intelligent system for recording and tracking market orders, for better implementation of the desired transport pattern.
N. Mihankhah; A.H. Chizari; S. Khalilian
Abstract
Thisstudy estimated the optimal operation model of the multipurpose Latian dam with the purpose of optimal allocation of water. The reservoir is used to supply water requirements of agricultural lands of Varamin plain and Tehran's municipal water. For achieving the mentioned goal, allocation priority ...
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Thisstudy estimated the optimal operation model of the multipurpose Latian dam with the purpose of optimal allocation of water. The reservoir is used to supply water requirements of agricultural lands of Varamin plain and Tehran's municipal water. For achieving the mentioned goal, allocation priority among different water use competitors including irrigation, drinking water and hydropower was considered. With consideration to the uncertainty existence in estimating dam's water inflow, dam's operation problem was conducted based on two other techniques including time series model of SARIMA and fuzzy partitioning using Markov transition probability. Finally, using stochastic and deterministic dynamic programming, optimal operational policies for different scenarios (the beginning month, the volume of reservoir’s early water and last month's irrigation) were assessed. The study data is for the years 1976-2010. Results of simulation model with optimal release policy gained from two deterministic and stochastic models revealed that stochastic model based on fuzzy partitioning in compare with deterministic model provides better results for optimal water allocation among different water use competitors including agricultural lands in Varamin plain and drinking water of Tehran city.
A. Rezaee; A.H. Chizari; N. Nakhaei
Abstract
The goal of this study is to investigate government`s protective policies, comparative advantage of production & export of onion during 2000-2006 in Esfahan province. the PAM method is utilized to investigate government`s protective policies, DRC index is utilized to investigate production comparative ...
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The goal of this study is to investigate government`s protective policies, comparative advantage of production & export of onion during 2000-2006 in Esfahan province. the PAM method is utilized to investigate government`s protective policies, DRC index is utilized to investigate production comparative advantage & RCA & RSCA indexes are utilized to compute export comparative advantage. Results show that during all of the studied years, government supported input and output market but the onion’s product didn´t have production comparative advantage during all these years (except 2004). In 2000, 2001, 2005 and 2006 government supported this crop by allocating indirect subsidy to it, whereas in 2002-4 the policy was to impose taxes on this crop. Moreover tax was charged on tradable inputs in 2000 & 2001 and during 2002-6 subsidies has been set to these inputs. The results of RCA and RSCA indicate that Iran has had comparative advantage in onion`s export in 1999-2006 expect 2005.