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Abstract
The nowadays development in agribusiness can be characterised as shifting of power to the
finalising levels and distribution in food commodity chains, which influence as well as form
competitive environment of farm and also food-processing companies. The dependence of
producers (farmers) on finalising stage is increasing, as well as the risk is transferred and the
marked power is enforced in food commodity chains. Those factors are changing proportions,
conditions of approach and share of individual stages of commodity chain on value added
launched in final product. Possible approach to the identification of market power within food
commodity chains is the approach based on price transmission analysis; inelastic price
transmission (especially in case of price growth) can imply the existence of market power at
certain market level of the commodity chain. This approach - with the distinction of dairy
products with low or high value added - is applied on dairy commodity chain in conditions of
the Czech Republic.