Aggregator Business as an Intermediary in Agriculture: A Literature Review

Janita Sembiring Meliala, Musa Hubeis, Siti Jahroh, Agus Maulana

2018

Abstract

This paper reviews the literature on the basic concepts of aggregator business in Indonesia’s agricultural sector. An aggregator business is essentially an intermediary that utilises information communication technology (ICT). Intermediaries in the Indonesian agricultural sector are known as Tengkulak, Pengepul, and Bandar all of which carry a negative image. The length of the supply chain associated with intermediaries results in a decrease in farmers‘ profits. This research reviews the relevant publications, including articles published in referenced books and journals, along with definitions of intermediary and business aggregators in business disruption. The phenomenon of disruption initiated the birth of a new business intermediary model, namely the business aggregator.This research was conducted in 12 business aggregators based in Indonesia using in-depth interviews with their owners and with a deputy assistant team from the coordinating ministry for the economy to get an alternative business aggregator model as an intermediary.There are six alternative aggregator business models comprising information sources (clearinghouses), connector (spark-plug), communities (village-preneur), food hubs, and upstream efficiency. This aggregator business will cut the supply chain and increase farmers‘ profits.

Paper Citation

in Harvard Style

Sembiring Meliala J., Hubeis M., Jahroh S. and Maulana A. (2018). Aggregator Business as an Intermediary in Agriculture: A Literature Review.In Proceedings of the 4th Sriwijaya Economics, Accounting, and Business Conference - Volume 1: SEABC, ISBN 978-989-758-387-2, pages 56-64. DOI: 10.5220/0008436800560064

in Bibtex Style

@conference{seabc18,
author={Janita Sembiring Meliala and Musa Hubeis and Siti Jahroh and Agus Maulana},
title={Aggregator Business as an Intermediary in Agriculture: A Literature Review},
booktitle={Proceedings of the 4th Sriwijaya Economics, Accounting, and Business Conference - Volume 1: SEABC,},
year={2018},
pages={56-64},
publisher={SciTePress},
organization={INSTICC},
doi={10.5220/0008436800560064},
isbn={978-989-758-387-2},
}

in EndNote Style

TY - CONF

JO - Proceedings of the 4th Sriwijaya Economics, Accounting, and Business Conference - Volume 1: SEABC,
TI - Aggregator Business as an Intermediary in Agriculture: A Literature Review
SN - 978-989-758-387-2
AU - Sembiring Meliala J.
AU - Hubeis M.
AU - Jahroh S.
AU - Maulana A.
PY - 2018
SP - 56
EP - 64
DO - 10.5220/0008436800560064