Supply chain relationships in the Polish pork sector

New institutional economics suggests that the development of institutions and the existence of transaction costs are important determinants of the speed and success of the transition from command to market systems. Investigates the development of hog marketing channels in Poland during transition using data from a survey of Polish hog farmers. Given the fragmented structure of hog production and processing and the upheaval of transition, different transition paths can be identified. The supply chain relationships, such as contracting, that encourage improved quality and stimulate further investment are likely to exhibit long‐run transaction cost advantages.