A conceptual mitigation model for asymmetric information of supply chain in seaweed cultivation

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Wellem A. Teniwut, Kamilius D. Betaubun, Marimin, Taufik Djatna

Abstract. Seaweed cultivation has a better advantage over other fisheries activity in terms of easiness on conducting the production and multiplier effect on coastal community welfare. The effect of seaweed farming on the prosperity of coastal community in Southeast Maluku started to take place in 2008, although in 2012 either number of production and workforce is declining rapidly. By solving this problem, this article also provided with identifying and analyzing the supply chain of seaweed cultivation in Southeast Maluku. Based on this analysis we have found that one of the main reasons of declining seaweed production and the number seaweed farmers was asymmetric information that occurred on seaweed supply chain in Southeast Maluku. The component of asymmetric risk was the quality of the seeds, price, information and technology and the knowledge of actual market of seaweed, especially by seaweed farmers. Therefore, it is essential to make a conceptual model on mitigation of asymmetric information on the supply chain of seaweed production. We proposed a conceptual model based on four perspectives, first was goal, criteria and sub-criteria, actor and the solution to mitigate asymmetric information supply chain on seaweed cultivation. 

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