Cost-Benefit Analysis of Num-Mango Distribution Channels in Vinh Long, Vietnam
Department of Business Administration, FPT University, Can Tho City, Vietnam
Lan Thanh Kim Nguyen
Student in Department of Business Administration, FPT University, Can Tho City, Vietnam.
Thien Chi Ngo
Student in Department of Business Administration, FPT University, Can Tho City, Vietnam.
Dang Vo Gia Le
Student in Department of Business Administration, FPT University, Can Tho City, Vietnam.
Truc Thanh Bao
Student in Department of Business Administration, FPT University, Can Tho City, Vietnam.
Duc Huynh Lam
Student in Department of Business Administration, FPT University, Can Tho City, Vietnam.
Hung Vu Nguyen
Student in Department of Business Administration, FPT University, Can Tho City, Vietnam.
Anh Ngoc Lan Pham
Student in Department of Business Administration, FPT University, Can Tho City, Vietnam.
Abstract
The research analyzes Vinh Long's Num-mango value chain's cost-benefit distribution and marketing efficiency. Stakeholder cost-benefits and marketing efficiency were analyzed using a global value chain methodology. 228 farmer households, 20 collectors, 15 wholesalers, 30 retailers, 6 companies, 8 supermarkets/fruit shops, and 10 supporters (5 transporters, 3 agro-input dealers, 1 central market, and 1 phytosanitary inspection 2 for import and export) were sampling observations. The research found 5 market channels, in which 2 export channels, and 3 domestic channels in the Num-mango value chain. Approximately 95.4% of Num-mango volume is consumed domestically, 20 times more than export volume. In particular, the Bac Lieu center market consumes 66.2% which is the most important market for Nu-mango consumption. The Num-mango value chain generates USD 11,238.3 million in profit and USD 74,351.8 million in revenue. Num-mango farmers are the most vulnerable actors in the chain whole. Num-mango farmers should join in scenario 2 (market channels 1, 3, and 5) to increase their profit. Farmers must carefully examine channel 1 and 3 marketing expenditures. In summary, farmers are the most vulnerable actor of all the market channels in the Num-mango value chain. Farmers are encouraged to participate in case 2 for better profit (market channels 1, 3, and 5). However, when farmers participate in case 2, it is necessary to pay attention to the marketing costs of channels 1 and 3. Managing marketing costs is essential not only to help channels 1 and 3 operate more efficiently but also to help farmers improve their profits significantly. This contributes to the channel's more efficient operation and the more sustainable Num-mango value chain.