THE IMPACT OF TRANSPORTATION COSTS ON ECONOMIC PERFORMANCES IN CROP PRODUCTION
DOI:
https://doi.org/10.5937/ekoPolj2003683SKeywords:
transportation costs, management accounting, gross margin, agribusiness, competitivenessAbstract
Transport activity has significant implications for the other sectors activities, including agriculture and agribusiness. Transportation costs represent a significant determinant of total operating costs, and therefore the selling price, which affects the competitiveness of products and the achieved business results. The aim of the paper is to point out the importance of respecting the financial effects of transport in the decision-making process of agribusiness management. The following methods have been used in the research: desk research, survey, direct costing method of calculation, sensitivity analysis and methods of descriptive statistics. Based on survey data conducted on farm of Central Serbia for the period 2016-2018, the paper analyzes the interdependence of transportation costs and gross margins in order to find out the factors that determine the decisions on production optimization as well as the business results of farm operations.
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References
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2. Andrić, J. (1998). Costs and Calculations in Agricultural production, Savremena administracija, Beograd.
3. Betancor, O., Carmona, M., Macario, R., & Nash, C. (2005). Operating cost, In: Nash, C., & Matthews, B. (eds.), Measuring the Marginal Social Cost of Transport, Elsevier, 85-125.
4. Bokor, Z. (2010). Cost drivers in transport and logistic. Transportation Engineering, 38(1), 13-17. doi: https://doi.org/10.3311/pp.tr.2010-1.03
5. Božić, V., Aćimović, S., & Miljušković, V. (2017). The Economics of Traffic, Ekonomski fakultet, Beograd.
6. Chivu, L., Ciutacu, C., & Georgescu, L. (2015). Household income in Romania. A challenge to economic and social cohesion. Procedia Economics and Finance, 22, 398-401. doi: https://doi.org/10.1016/S2212-5671(15)00310-X
7. Daylan, B., & Ciliz, N. (2016). Life cycle assessment and environmental life cycle costing analysis of lignocellulosic bioethanol as an alternative transportation fuel. Renewable Energy, 89, 578-587. doi: https://doi.org/10.1016/j.renene.2015.11.059
8. Djuričin, D., Kaličanin, Đ., Lončar, D., & Vuksanović-Herceg, I. (2018). Management and strategy, Ekonomski fakultet, Beograd.
9. Elbert, R., Muller, J., & Rentschler, J. (2020). Tactical network planning and design in multimodal transportation – A systemic literature review. Research in Transportation Business & Management, 35, 1-21. doi: https://doi.org/10.1016/j.rtbm.2020.100462
10. Fan, T., Pan, Q., Pan, F., Zhou, W., & Chen, J. (2020). Intelligent logistic integration of internal and external transportation with separation mode. Logistic and Transportation Review, 133, 1-16. doi: https://doi.org/10.1016/j.tre.2019.10.011
11. Gogić, P. (2014). Theory of costs with calculations in production and processing of agricultural products, Poljoprivredni fakultet, Beograd.
12. Gonzales-Lopez, E., Rodriguez-Fernandez, M.A., & Mendana-Cuervo, C. (2000). The Logistic Decision Making in Management Accounting with Genetic Algoritms and Fuzzy Sets. Mathware and Computing, 7, 229-241.
13. Glenk, K., Shrestha, S., Topp, C., Sanchez, B., Iglesias, A., Dibari, C., & Merante, P. (2017). A farm level approach to explore farm gross margin effects of soil organic carbon management. Agricultural Systems, 151, 33-46. doi: https://doi.org/10.1016/j.agsy.2016.11.002
14. Gronland, S. E. (2011). Cost models for transportation and logistics, Institute of transport economics, Oslo.
15. He, P., & Li, J. (2019). The two-echelon multi-trip vehicle routing problem with dynamic satellites for crop harvesting and transportation. Applied Soft Computing Journal, 77, 387-398. doi: https://doi.org/10.1016/j.asoc.2019.01.040
16. Krakowiak-Bal, A., & Sokora, J. (2016). The Logistic Cost Analysis in Agribusiness - Case Study of Food Sector Company. Infrastruktura i ekologija terenow eiejskich, 4(3), 1535-1545. doi: http://dx.medra.org/10.14597/infraeco.2016.4.3.114
17. Li, J., Qin, H., Shen, H., & Tsui, K. (2019). The unilateral transportation problem. Logistic and Transportation Review, 132, 1-29. doi: https://doi.org/10.1016/j.tre.2019.10.004
18. Lun, Y., Lai, K., & Cheng, T. (2010). Shipping and Logistics Management, Springer Verlag London Limited.
19. Malinić, S., & Janković, M. (2011). Integrated cost management in distribution chain - strategic approach and management accounting information supports, Računovodstvo, 55(7-8), 11-24.
20. Nielsen, L., Mitchell, F., & Norreklit, H. (2015). Management accounting and decision making: Two case studies of outsourcing. Acounting Forum, 39, 64-82. doi: https://doi.org/10.1016/j.accfor.2014.10.005
21. Salehi, M., Jalalian, M., & Vali Siar, M. (2017). Green transportation scheduling with speed control: trade-off between total transportation cost and carbon emission. Computers & Industrial Engineering, 113, 392-404. doi: https://doi.org/10.1016/j.cie.2017.09.020
22. Savić, B., Milojević, I., & Petrović, V. (2019). Cost optimization in agribusiness based on life cycle costing. Economics of agriculture, 3(66), 823 – 834. doi: https://doi.org/10.5937/ekoPolj1903823S
23. Savić, B., Vasiljević, Z., & Milojević, I. (2020). Costing system as an instrument for enhancing environmental performance of entities in agribusiness. Journal of Business Economics and Management, 3-4(68), 294–302. doi: https://doi.org/10.5937/EKOPRE2004294S
24. Sekerez, V. (2007). Concept of Cost Management through Supply Chain, In: Chalenges of Business and Financial Reporting for the Purpose of Enterprise and Bank management, XXXVIII Simpozijum Saveza računovođa i revizora Srbije, Zlatibor, 24-26. maj, 65-80. .
25. Shi, Y., Arthanari, T., Liu, X., & Yang, B. (2019). Sustainable transportation management: Integrated modeling and support. Journal of Cleaner Production, 212, 1381-1395. doi: https://doi.org/10.1016/j.jclepro.2018.11.209
26. Stepien, M., Legowik-Swiacik, S., Skibinska, W., & Turek, I. (2016). Identification and Measurement of Logistic Cost Parameters in the Company. Transportation Research Procedia, 16, 490-497.
27. Škerlič, S., Muha, R., & Logožar, K.A. (2016). Decision-Making Model for Controling Logistic Costs. Tehnički vjesnik, 23(1), 145-156. doi: https://doi.org/10.17559/TV-20141015121023
28. The Institute of Company Secretaries of India, (2014). Cost and Management Accounting, M.P. Printers, New Delhi.
29. Tasić, J. (2018). Geographical and economic performance of organic agriculture and its impact on the gastronomy tourism in Serbia. Oditor – Časopis za menadžment, finansije i pravo, 4(1), 38-51. doi: https://doi.org/10.5937/Oditor1801038T
30. Voortman, C. (2004). Global Logistics management, Juta & Co Ltd, Cape Town.
31. Xie, F., Butt, M., Li, Z., & Zhu, L. (2017). An upper bound on the minimal total cost of the transportation problem with varying demands and supplies. Omega, 68, 105-118. doi: https://doi.org/10.1016/j.omega.2016.06.007
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Published
2020-09-29
How to Cite
Savić, B., Petrović, M., & Vasiljević, Z. (2020). THE IMPACT OF TRANSPORTATION COSTS ON ECONOMIC PERFORMANCES IN CROP PRODUCTION. Ekonomika Poljoprivrede, 67(3), 683–697. https://doi.org/10.5937/ekoPolj2003683S
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