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Formulation of SCP-Based Coconut Sugar Marketing Model Through Analysis of Marketing Patterns in Central Java Province, Indonesia

Year 2023, Volume: 20 Issue: 4, 765 - 772, 25.12.2023
https://doi.org/10.33462/jotaf.1150532

Abstract

This study aims to analyze the marketing pattern of coconut sugar products, describe the stakeholders involved in the marketing of coconut sugar, and develop a structure, conduct, performance (SCP) based marketing model for coconut sugar. This research method is a quantitative descriptive method. The research location was determined purposively in the coconut sugar production center of Central Java Province (Banyumas, Purbalingga, and Cilacap Regencies). The research respondents were 60 people consisting of coconut sugar makers who were members of the Joint Business Group (KUB) and 60 people, 10 collectors traders, 2 wholesalers, and 4 institutional exporters. Data were analyzed descriptively. Data analysis for the basic structure by measuring market share size and concentration (CR4). The basis of conduct is through analysis of sales and purchasing processes, payment systems, and institutional cooperation. The basis of performance is obtained from the analysis of the margins of the trading system and the level of prices received by farmers. The results showed that there are two marketing channels for coconut sugar. A tight oligopsony is formed based on the CR4 (Concentration Ratio for the Big Four) value, while the Herfindahl index value shows that the market formed is an oligopoly. Market behavior occurs when the payment system is made in cash at the level of collectors and non-cash at the level of wholesalers. In market performance, the largest marketing margin is in the marketing channel pattern 1 of Rp. 8415.4/kg, the lowest in the channel 2 pattern of Rp. 6500/kg. The highest Farmer share value is in the marketing channel pattern 2 as 74%, and the lowest is in the channel 1 pattern at 66.3%.

References

  • Amir, I. T., Indah, P. N. and Widayanti, S. (2018). Spices Coffee: Innovation Strategy to Increase Quality on Powder Coffee Farmers. Journal of Physics: Conference Series, 953(1): 1-9.
  • Bagchi, N. S., Mishra, P., Behera, B. and Ratna Reddy, V. (2022). Collectivization of smallholder farmers, strategic competition, and market performance: Experiences from two selected villages of West Bengal, India. Agribusiness, 38(3): 710–733.
  • Darma, S., Hakim, Y. P., Erwin Kurniawan, A., Darma, D. C. and Suparjo, S. (2022). Understanding market behavior on corn commodity: phenomenon at year end. Asian Journal of Agriculture and Rural Development, 12(2): 53–64.
  • Djamali, R. A., Betaubun, P. and Maulany, G. J. (2018). Key factors on development of agricultural and fishery agroindustry classification in merauke regency. International Journal of Mechanical Engineering and Technology, 9(10): 295–303.
  • Konyali, S. (2019). The Sugar consumption tendencies of university students: The case of Tekirdağ Namık Kemal University. Journal of Tekirdag Agricultural Faculty, 16(2): 163–172.
  • Leite, J. G. D., Langa, F. and Leal, M. R. L. (2017). Sugarcane outgrower schemes in Mozambique: Findings from the field. International Sugar Journal, 119(1427): 896-900.
  • Martin, S. (2012). Market structure and market performance: review of ındustrial organization, 40(2): 87–108.
  • Nurhadi, B., Sukri, N., Sugandi, W. K., Widanti, A. P., Restiani, R., Noflianrini, Z., Rezaharsamto, B. and Herudiyanto, M. (2018). Comparison of crystallized coconut sugar produced by traditional method and amorphous coconut sugar formed by two drying methods: Vacuum drying and spray drying. International Journal of Food Properties, 21(1): 2339–2354.
  • Nwoba, A. C., Boso, N. and Robson, M. J. (2021). Corporate sustainability strategies in institutional adversity: Antecedent, outcome, and contingency effects. Business Strategy and the Environment, 30(2): 787–807.
  • Restianto, Y. E., Dinanti, A. and Naufalin, L. R. (2021). Enhancing Organic Continuance Intentions of Organic Coconut Sugar Technology. Quality - Access to Success, 22(184): 138–147.
  • Sim, C. S. and Hassan, A. F. S. (2020). Assessment of market competition and financial stability of Takaful market in Saudi Arabia and Malaysia. International Journal of Business Continuity and Risk Management, 10(2–3): 112–132.
  • Suliyanto. (2013). Financing model of coconut sugar micro small and medium entreprises (MSMEs) in Indonesia. International Business Management, 7(5): 410–413.
  • Susilo, S. (2016). Remittance in phenomenology perspective: A study of Indonesian Migran Worker (TKI) in Tulungagung, Indonesia. In Social Sciences (Pakistan), 11(19): 4730–4733.
  • Suyono, Sutanto, A., Dharmawan, B. and Wijayanti, I. K. E. (2020). Struktur dan Perilaku Pasar pada Pemasaran Gula Kelapa Kristal di Kecamatan Kutasari Kabupaten Purbalingga. Pengembangan Sumber Daya Perdesaan Dan Kearifan Lokal Berkelanjutan, X(3): 86–96.
  • Tomek, W. G. and Kaiser, H. M. (2014). Agricultural Product Prices (5th ed.). Cornell University Press. Torun, E. (2014). Determining fruit producers' source of information in Kocaeli and evaluating ıt in terms of agricultural extension. Journal of Tekirdag Agricultural Faculty, 11(2): 59–70.
  • Ukko, J., Saunila, M., Nasiri, M. and Rantala, T. (2022). The importance of sustainability engagement in small businesses supplier collaboration. Sustainable Development, 30(1): 1–9.
  • Van Tilburg, A., Kuiper, W. E. and Swinkels, R. (2008). Market performance of potato auctions in Bhutan. Journal of International Food & Agribusiness Marketing , 20(2): 61–87.
  • Wa Ode Al, Z. (2019). Cashew market behavior with environmental considerations in Southeast Sulawesi. IOP Conference Series: Earth and Environmental Science, 343(1): 1-16.
  • Wang, C. (2010). Analysis on information system construction about vertical integrated marketing channel for agricultural products in China. 2010 International Conference on E-Product E-Service and E-Entertainment (ICEEE 2010). 07-09 November, P.1-4. Henan, China.

Formulation of SCP-Based Coconut Sugar Marketing Model Through Analysis of Marketing Patterns in Central Java Province, Indonesia

Year 2023, Volume: 20 Issue: 4, 765 - 772, 25.12.2023
https://doi.org/10.33462/jotaf.1150532

Abstract

This study aims to analyze the marketing pattern of coconut sugar products, describe the stakeholders involved in the marketing of coconut sugar, and develop a structure, conduct, performance (SCP) based marketing model for coconut sugar. This research method is a quantitative descriptive method. The research location was determined purposively in the coconut sugar production center of Central Java Province (Banyumas, Purbalingga, and Cilacap Regencies). The research respondents were 60 people consisting of coconut sugar makers who were members of the Joint Business Group (KUB) and 60 people, 10 collectors traders, 2 wholesalers, and 4 institutional exporters. Data were analyzed descriptively. Data analysis for the basic structure by measuring market share size and concentration (CR4). The basis of conduct is through analysis of sales and purchasing processes, payment systems, and institutional cooperation. The basis of performance is obtained from the analysis of the margins of the trading system and the level of prices received by farmers. The results showed that there are two marketing channels for coconut sugar. A tight oligopsony is formed based on the CR4 (Concentration Ratio for the Big Four) value, while the Herfindahl index value shows that the market formed is an oligopoly. Market behavior occurs when the payment system is made in cash at the level of collectors and non-cash at the level of wholesalers. In market performance, the largest marketing margin is in the marketing channel pattern 1 of Rp. 8415.4/kg, the lowest in the channel 2 pattern of Rp. 6500/kg. The highest Farmer share value is in the marketing channel pattern 2 as 74%, and the lowest is in the channel 1 pattern at 66.3%.

References

  • Amir, I. T., Indah, P. N. and Widayanti, S. (2018). Spices Coffee: Innovation Strategy to Increase Quality on Powder Coffee Farmers. Journal of Physics: Conference Series, 953(1): 1-9.
  • Bagchi, N. S., Mishra, P., Behera, B. and Ratna Reddy, V. (2022). Collectivization of smallholder farmers, strategic competition, and market performance: Experiences from two selected villages of West Bengal, India. Agribusiness, 38(3): 710–733.
  • Darma, S., Hakim, Y. P., Erwin Kurniawan, A., Darma, D. C. and Suparjo, S. (2022). Understanding market behavior on corn commodity: phenomenon at year end. Asian Journal of Agriculture and Rural Development, 12(2): 53–64.
  • Djamali, R. A., Betaubun, P. and Maulany, G. J. (2018). Key factors on development of agricultural and fishery agroindustry classification in merauke regency. International Journal of Mechanical Engineering and Technology, 9(10): 295–303.
  • Konyali, S. (2019). The Sugar consumption tendencies of university students: The case of Tekirdağ Namık Kemal University. Journal of Tekirdag Agricultural Faculty, 16(2): 163–172.
  • Leite, J. G. D., Langa, F. and Leal, M. R. L. (2017). Sugarcane outgrower schemes in Mozambique: Findings from the field. International Sugar Journal, 119(1427): 896-900.
  • Martin, S. (2012). Market structure and market performance: review of ındustrial organization, 40(2): 87–108.
  • Nurhadi, B., Sukri, N., Sugandi, W. K., Widanti, A. P., Restiani, R., Noflianrini, Z., Rezaharsamto, B. and Herudiyanto, M. (2018). Comparison of crystallized coconut sugar produced by traditional method and amorphous coconut sugar formed by two drying methods: Vacuum drying and spray drying. International Journal of Food Properties, 21(1): 2339–2354.
  • Nwoba, A. C., Boso, N. and Robson, M. J. (2021). Corporate sustainability strategies in institutional adversity: Antecedent, outcome, and contingency effects. Business Strategy and the Environment, 30(2): 787–807.
  • Restianto, Y. E., Dinanti, A. and Naufalin, L. R. (2021). Enhancing Organic Continuance Intentions of Organic Coconut Sugar Technology. Quality - Access to Success, 22(184): 138–147.
  • Sim, C. S. and Hassan, A. F. S. (2020). Assessment of market competition and financial stability of Takaful market in Saudi Arabia and Malaysia. International Journal of Business Continuity and Risk Management, 10(2–3): 112–132.
  • Suliyanto. (2013). Financing model of coconut sugar micro small and medium entreprises (MSMEs) in Indonesia. International Business Management, 7(5): 410–413.
  • Susilo, S. (2016). Remittance in phenomenology perspective: A study of Indonesian Migran Worker (TKI) in Tulungagung, Indonesia. In Social Sciences (Pakistan), 11(19): 4730–4733.
  • Suyono, Sutanto, A., Dharmawan, B. and Wijayanti, I. K. E. (2020). Struktur dan Perilaku Pasar pada Pemasaran Gula Kelapa Kristal di Kecamatan Kutasari Kabupaten Purbalingga. Pengembangan Sumber Daya Perdesaan Dan Kearifan Lokal Berkelanjutan, X(3): 86–96.
  • Tomek, W. G. and Kaiser, H. M. (2014). Agricultural Product Prices (5th ed.). Cornell University Press. Torun, E. (2014). Determining fruit producers' source of information in Kocaeli and evaluating ıt in terms of agricultural extension. Journal of Tekirdag Agricultural Faculty, 11(2): 59–70.
  • Ukko, J., Saunila, M., Nasiri, M. and Rantala, T. (2022). The importance of sustainability engagement in small businesses supplier collaboration. Sustainable Development, 30(1): 1–9.
  • Van Tilburg, A., Kuiper, W. E. and Swinkels, R. (2008). Market performance of potato auctions in Bhutan. Journal of International Food & Agribusiness Marketing , 20(2): 61–87.
  • Wa Ode Al, Z. (2019). Cashew market behavior with environmental considerations in Southeast Sulawesi. IOP Conference Series: Earth and Environmental Science, 343(1): 1-16.
  • Wang, C. (2010). Analysis on information system construction about vertical integrated marketing channel for agricultural products in China. 2010 International Conference on E-Product E-Service and E-Entertainment (ICEEE 2010). 07-09 November, P.1-4. Henan, China.
There are 19 citations in total.

Details

Primary Language English
Subjects Marketing in Agricultural Management
Journal Section Articles
Authors

Pujiharto Pujiharto 0000-0002-5814-4459

Sri Wahyuni This is me 0000-0001-7390-6477

Early Pub Date December 15, 2023
Publication Date December 25, 2023
Submission Date July 29, 2022
Acceptance Date August 24, 2023
Published in Issue Year 2023 Volume: 20 Issue: 4

Cite

APA Pujiharto, P., & Wahyuni, S. (2023). Formulation of SCP-Based Coconut Sugar Marketing Model Through Analysis of Marketing Patterns in Central Java Province, Indonesia. Tekirdağ Ziraat Fakültesi Dergisi, 20(4), 765-772. https://doi.org/10.33462/jotaf.1150532
AMA Pujiharto P, Wahyuni S. Formulation of SCP-Based Coconut Sugar Marketing Model Through Analysis of Marketing Patterns in Central Java Province, Indonesia. JOTAF. December 2023;20(4):765-772. doi:10.33462/jotaf.1150532
Chicago Pujiharto, Pujiharto, and Sri Wahyuni. “Formulation of SCP-Based Coconut Sugar Marketing Model Through Analysis of Marketing Patterns in Central Java Province, Indonesia”. Tekirdağ Ziraat Fakültesi Dergisi 20, no. 4 (December 2023): 765-72. https://doi.org/10.33462/jotaf.1150532.
EndNote Pujiharto P, Wahyuni S (December 1, 2023) Formulation of SCP-Based Coconut Sugar Marketing Model Through Analysis of Marketing Patterns in Central Java Province, Indonesia. Tekirdağ Ziraat Fakültesi Dergisi 20 4 765–772.
IEEE P. Pujiharto and S. Wahyuni, “Formulation of SCP-Based Coconut Sugar Marketing Model Through Analysis of Marketing Patterns in Central Java Province, Indonesia”, JOTAF, vol. 20, no. 4, pp. 765–772, 2023, doi: 10.33462/jotaf.1150532.
ISNAD Pujiharto, Pujiharto - Wahyuni, Sri. “Formulation of SCP-Based Coconut Sugar Marketing Model Through Analysis of Marketing Patterns in Central Java Province, Indonesia”. Tekirdağ Ziraat Fakültesi Dergisi 20/4 (December 2023), 765-772. https://doi.org/10.33462/jotaf.1150532.
JAMA Pujiharto P, Wahyuni S. Formulation of SCP-Based Coconut Sugar Marketing Model Through Analysis of Marketing Patterns in Central Java Province, Indonesia. JOTAF. 2023;20:765–772.
MLA Pujiharto, Pujiharto and Sri Wahyuni. “Formulation of SCP-Based Coconut Sugar Marketing Model Through Analysis of Marketing Patterns in Central Java Province, Indonesia”. Tekirdağ Ziraat Fakültesi Dergisi, vol. 20, no. 4, 2023, pp. 765-72, doi:10.33462/jotaf.1150532.
Vancouver Pujiharto P, Wahyuni S. Formulation of SCP-Based Coconut Sugar Marketing Model Through Analysis of Marketing Patterns in Central Java Province, Indonesia. JOTAF. 2023;20(4):765-72.