Origin labelled products, reputation and heterogeneity of firms

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Analysis of reputation through "quality premia" models enhances the ability of explanation that the reputation concept has in the case of typical products. The commonly accepted meaning of reputation as simply "renown" becomes inadequate, and the information mechanism it generates becomes associated with a set of (firm) product-specific investments sustained by the firms in the supply chain of the typical product. Within this framework, we can improve analysis of the process of establishment, development and exploitation of the typical product in the context of the great transformation of the agro-food system and of the growing differentiation of the firms and interpret problems caused by the processes of reputation by means of protection of designation of origin of the product.

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