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Table 1 Research hypotheses investigating the effects of environmental conditions on relational governance and firm economic performance

From: A structural equation modeling analysis of relational governance and economic performance in agri-food supply chains: evidence from the dairy sheep industry in Sardinia (Italy)

HP code Exogenous
variable
  Endogenous
variable
HP description
H1.1 Governance
(+)
Milk price More formal types of governance are associated with better economic performance of farms, i.e., higher milk prices
H1.2.1 Firm size
(+)
Governance Larger firms are more likely to adopt more formal types of governance in their relation with processors
H1.2.2 Firm size
(+)
Milk price Larger farms are more likely to obtain higher prices for their milk
H1.3.1 Technology
(+)
Governance Breeders using modern technologies are more likely to adopt more formal types of governance in their relation with processors
H1.3.2 Technology
(+)
Milk price Breeders using modern technologies are more likely to obtain higher prices
H1.3.3 Technology
(+)
Firm size Breeders using modern technologies are more likely to run larger farms
H1.4.1 Association
(+)
Governance Breeders appreciating the support of trade association are more likely to adopt less formal types of governance in their relation with processors
H1.4.2 Association
(+)
Milk price Breeders appreciating the support of trade association are more likely to obtain higher prices
H1.4.3 Association
(+)
Firm size Breeders appreciating the support of trade association are more likely to run larger farms
H1.5.1 Credit
(+)
Governance Breeders appreciating the financial support of banks are more likely to adopt more formal types of governance in their relation with processors
H1.5.2 Credit
(+)
Milk price Breeders appreciating the financial support of banks are more likely to obtain higher prices
H1.5.3 Credit
(+)
Firm size Breeders appreciating the financial support of banks are more likely to run larger farms