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Abstract

Through this present piece of work we aim at analysing the integrated system of chicken production in Minas Gerais, in accordance to the Economy in Transaction Costs, seeking especifically to describing the transaction features, administration forms as well as contractual relations. Transactions in the poultry breeding business include a high degree of specificity of actives which undepend on the breeders’ category, whether small or big, besides plenty of uncertainty, quite often , mainly when working in the integrated system via contracts. Such contracts, although they may vary in shape, take certain technical indexes into considerarion, when it comes to rewarding the integrated breeders. The chief advantages in taking part in the integration system are low investiment of one’s own financial resources and low risk. The main disadvantages are the centralization of the power of decision-making , which goes to the industry, as well as the breeders’ low rewarding.

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