Sharing competences in strategic alliances: a case study of the Cosan and Shell biofuel venture

In a competitive world, the way a firm establishes its organizational arrangements may determine the enhancement of its core competences and the possibility of reaching new markets. Firms that find their skills to be applicable in just one type of market encounter constraints in expanding their markets, and through alliances may find a competitive form of value capture. Hybrid forms of organization appear primarily as an alternative to capturing value and managing joint assets when the market and hierarchy modes do not present any yields for the firm's competitiveness. As a result, this form may present other challenging issues, such as the allocation of rights and principal-agent problems. The biofuel market has presented a strong pattern of changes over the last 10 years. New intra-firm arrangements have appeared as a path to participate or survive among global competition. Given the need for capital to achieve better results, there has been a consistent movement of mergers and acquisitions in the Biofuel sector, especially since the 2008 financial crisis. In 2011 there were five major groups in Brazil with a grinding capacity of more than 15 million tons per year: Raízen (joint venture formed by Cosan and Shell), Louis Dreyfus, Tereos Petrobras, ETH, and Bunge. Major oil companies have implemented the strategy of diversification as a hedge against the rising cost of oil. Using the alliance of Cosan and Shell in the Brazilian biofuel market as a case study, this paper analyses the governance mode and challenging issues raised by strategic alliances when firms aim to reach new markets through the sharing of core competences with local firms. The article is based on documentary research and interviews with Cosan's Investor Relations staff, and examines the main questions involving hybrid forms through the lens of the Transaction Cost Economics (TCE), Agency Theory, Resource Based View (RBV), and dynamic capabilities theoretical approaches. One focal point is knowledge "appropriability" and the specific assets originated by the joint venture. Once the alliance is formed, it is expected that competences will be shared and new capabilities will expand the limits of the firm. In the case studied, Cosan and Shell shared a number of strategic assets related to their competences. Raízen was formed with economizing incentives, as well to continue marshalling internal resources to enhance the company's presence in the world energy sector. Therefore, some challenges might be related to the control and monitoring agents' behavior, considering the two-part organism formed by distinctive organizational culture, tacit knowledge, and long-term incentives. The case study analyzed illustrates the hybrid arrangement as a middle form for organizing the transaction: neither in the market nor in the hierarchy mode, but rather a more flexible commitment agreement with a strategic central authority. The corporate governance devices are also a challenge, since the alignment between the parent companies in the joint ventures is far more complex. These characteristics have led to an organism with bilateral dependence, offering favorable conditions for developing dynamic capabilities. However, these conditions might rely on the partners' long-term interest in the joint venture.

Soybean response to starter nitrogen and Bradyrhizobium inoculation on a Cerrado oxisol under no-tillage and conventional tillage systems

In Brazil, Bradyrhizobium inoculation has successfully replaced the use of N fertilizer on soybean [Glycine max (L) Merr.] crops. However, with the expansion of no-tillage cropping systems in the Cerrados region, the idea that it is necessary to use small N rates at the sowing to overcome problems related with N immobilization has become widespread, mainly when soybean is cultivated after a non-legume crop. In this study we examined soybean response to small rates of N fertilizer under no-tillage (NT) and conventional tillage (CT) systems. Four experiments (a completely randomized block with five replicates) were carried out in a red yellow oxisol, during the periods of 1998/1999 and 1999/ 2000, under NT and CT. The treatments consisted of four urea rates (0, 20, 30 and 40 kg ha-1 N). All treatments were inoculated with Bradyrhizobium japonicum strains SEMIA 5080 and SEMIA 5079, in the proportion 1 kg of peat inoculant (1,5 x 10(9) cells g-1) per 50 kg of seeds. In both experiments, soybean was cultivated after corn and the N fertilizer was band applied at sowing. In all experiments, N rates promoted reductions of up to 50 % in the nodule number at 15 days after the emergence. Regardless of the management system, these reductions disappeared at the flowering stage and there was no effect of N rates on either the number and dry weight of nodules or on soybean yields. Therefore, in the Brazilian Cerrados, when an efficient symbiosis is established, it is not necessary to apply starter N rates on soybean, even when cultivated under notillage systems.

The effect of nitrogen and sulphur fertilization on yield and quality of kohlrabi (Brassica oleracea, L.)

In a greenhouse pot experiment with kohlrabi, variety Luna, we explored the joint effect of N (0.6 g N per pot = 6 kg of soil) and S in the soil (25-35-45 mg kg-1 of S) on yields, on N, S and NO3- content in tubers and leaves, and on alterations in the amino acids concentration in the tubers. S fertilisation had no effect on tuber yields. The ranges of N content in tubers and leaves were narrow (between 1.42-1.48 % N and 1.21-1.35 % N, respectively) and the effect of S fertilisation was insignificant. S concentration in the tubers ranged between 0.59 and 0.64 % S. S fertilisation had a more pronounced effect on the S concentration in leaf tissues where it increased from 0.50 to 0.58 or to 0.76 % S under the applied dose. The NO3- content was higher in tubers than in leaves. Increasing the S level in the soil significantly reduced NO3- concentrations in the tubers by 42.2-53.6 % and in the leaves by 8.8-21.7 %. Increasing the S content in the soil reduced the concentration of cysteine + methionine by 16-28 %. The values of valine, tyrosine, aspartic acid and serine were constant. In the S0, S1, and S2 treatments the levels of threonine, isoleucine, leucine, arginine, the sum of essential amino acids and alanine decreased from 37 to 9 %. The histidine concentration increased with increasing S fertilisation. S fertilisation of kohlrabi can be recommended to stabilize the yield and reduce the undesirable NO3- contained in the parts used for consumption.

Effect of fertilizer-N application and seed coating with rhizobial inoculants on soybean yield in eastern Paraguay

Nitrogen removal in soybean grains at harvest may exceed biological N2 fixation, particularly if grain yields are as high as typically achieved on "Terra Rossa" soils of Eastern Paraguay. Applying N fertilizer or coating seeds with rhizobial inoculants that enhance nodulation may represent a way of balancing the N budget. However, the effects of such treatments appear to be highly site-specific. The objective of this study was to examine the effects of N application (N) and rhizobial inoculation (I) on nodulation, N accumulation and soybean yields in Eastern Paraguay. Field experiments were conducted in two consecutive soybean seasons. Dry conditions in the first year delayed sowing and reduced plant number m-2 and pod number plant-1. Grain yields were generally below 2 t ha-1 but the +N+I treatment increased yields by about 75%. In the second year favorable conditions resulted in yields of around 4 t ha-1 and the treatments had no effect. Nitrogen accumulation was higher in the first year and could therefore not explain the observed yield differences between years and treatment combinations. The positive effect of the +N+I treatment in year one was associated with a more rapid root growth which could have reduced susceptibility to intermittent drought stress. Nodule biomass decreased between flowering and pod setting stages in the +I treatment whereas further increases in nodule biomass in the -I treatment may have led to competition for assimilates between nodules and developing pods. Based on these preliminary results we conclude that N application and seed inoculation can offer short-term benefits in unfavorable years without negative effects on yield in favorable years.

Relationships between grain yield and accumulation of biomass, nitrogen and phosphorus in common bean cultivars

Shoot biomass is considered a relevant component for crop yield, but relationships between biological productivity and grain yield in legume crops are usually difficult to establish. Two field experiments were carried out to investigate the relationships between grain yield, biomass production and N and P accumulation at reproductive stages of common bean (Phaseolus vulgaris) cultivars. Nine and 18 cultivars were grown on 16 m² plots in 1998 and 1999, respectively, with four replications. Crop biomass was sampled at four growth stages (flowering R6, pod setting R7, beginning of pod filling R8, and mid-pod filling R8.5), grain yield was measured at maturity, and N and P concentrations were determined in plant tissues. In both years, bean cultivars differed in grain yield, in root mass at R6 and R7 stages, and in shoot mass at R6 and R8.5, whereas at R7 and R8 differences in shoot mass were significant in 1998 only. In both years, grain yield did not correlate with shoot mass at R6 and R7 and with root mass at R6. Grain yield correlated with shoot mass at R8 in 1999 but not in 1998, with shoot mass at R8.5 and with root mass at R7 in both years. Path coefficient analysis indicated that shoot mass at R8.5 had a direct effect on grain yield in both years, that root mass at R7 had a direct effect on grain yield in 1998, and that in 1999 the amounts of N and P in shoots at R8.5 had indirect effects on grain yield via shoot mass at R8.5. A combined analysis of both experiments revealed that biomass accumulation, N and P in shoots at R6 and R7 as well as root mass at R6 were similar in both years. In 1998 however bean accumulated more root mass at R7 and more biomass and N and P in shoots at R8 and R8.5, resulting in a 57 % higher grain yield in 1998. This indicates that grain yield of different common bean cultivars is not intrinsically associated with vegetative vigor at flowering and that mechanisms during pod filling can strongly influence the final crop yield. The establishment of a profuse root system during pod setting, associated with the continuous N and P acquisition during early pod filling, seems to be relevant for higher grain yields of common bean.

Tannery and coal mining waste disposal on soil

Tannery residues and coal mine waste are heavily polluting sources in Brazil, mainly in the Southern States of Rio Grande do Sul and Santa Catarina. In order to study the effects of residues of chrome leather tanning (sludge and leather shavings) and coal waste on soybean and maize crops, a field experiment is in progress since 1996, at the Federal University of Rio Grande do Sul Experimental Station, county of Eldorado do Sul, Brazil. The residues were applied twice (growing seasons 1996/97 and 1999/00). The amounts of tannery residues were applied according to their neutralizing value, at rates of up to 86.8 t ha-1, supplying from 671 to 1.342 kg ha-1 Cr(III); coal waste was applied at a total rate of 164 t ha-1. Crop yield and dry matter production were evaluated, as well as the nutrients (N, P, K, Ca, Mg, Cu and Zn) and Cr contents. Crop yields with tannery sludge application were similar to those obtained with N and lime supplied with mineral amendments. Plant Cr absorption did not increase significantly with the residue application. Tannery sludge can be used also to neutralize the high acidity developed in the soil by coal mine waste.

Crop sequences in no-tillage system: effects on soil fertility and soybean, maize and rice yield

Decomposing crop residues in no-tillage system can alter soil chemical properties, which may consequently influence the productivity of succession crops. The objective of this study was to evaluate soil chemical properties and soybean, maize and rice yield, grown in the summer, after winter crops in a no-tillage system. The experiment was carried out in Jaboticabal, SP, Brazil (21 ° 15 ' 22 '' S; 48 ° 18 ' 58 '' W) on a Red Latosol (Oxisol), in a completely randomized block design, in strip plots with three replications. The treatments consisted of four summer crop sequences (maize monocrop, soybean monocrop, soybean/maize rotation and rice/bean/cotton rotation) combined with seven winter crops (maize, sunflower, oilseed radish, pearl millet, pigeon pea, grain sorghum and sunn hemp). The experiment began in September 2002. After the winter crops in the 2005/2006 growing season and before the sowing of summer crops in the 2006/2007 season, soil samples were collected in the layers 0-2.5; 2.5-5.0; 5-10; 10-20; and 20-30 cm. Organic matter, pH, P, K+, Ca2+, Mg2+, and H + Al were determined in each soil sample. In the summer soybean/maize rotation and in maize the organic matter contents and P levels were lower, in the layers 0-10 cm and 0-20 cm, respectively. Summer rice/bean/cotton rotation increased soil K levels at 0-10 cm depth when sunn hemp and oilseed radish had previously been grown in the winter, and in the 0-2.5 cm layer for millet. Sunn hemp, millet, oilseed radish and sorghum grown in the winter increased organic matter contents in the soil down to 30 cm. Higher P levels were found at the depths 0-2.5 cm and 0-5 cm, respectively, when sunn hemp and oilseed radish were grown in the winter. Highest grain yields for soybean in monoculture were obtained in succession to winter oilseed radish and sunn hemp and in rotation with maize, after oilseed radish, sunn hemp and millet. Maize yields were highest in succession to winter oilseed radish, millet and pigeon pea. Rice yields were lowest when grown after sorghum.

Correction of soil acidity in the subsurface of an oxisol with sandy loam texture under no-tillage

In Rio Grande do Sul State (RS), Southern Brazil, aluminum saturation in many areas under no-till system is high and base saturation low in the 0.10-0.20 m layer (subsurface), which may reduce the grain yield of annual crops. The objective of this study was to evaluate if the occurrence of high aluminum saturation and low base saturation in the subsurface, under a no-till system, represents a restrictive environment for crop production, as well as to evaluate forms of lime incorporation for soil acidity correction in the subsurface. For this purpose, an experiment was carried out with soybean (2005/2006), corn (2006/2007), wheat (2007) and soybean (2007/2008) crops, in a Rhodic Hapludox (USDA, 1999) with sandy loam texture, under no-till for four years in the county of Tupanciretã (RS). The six treatments were: no-tillage with and without lime, plowing with and without lime, and chiseling with and without lime. The values of pH-H2O, aluminum saturation and base saturation were evaluated 24 months after treatment application in the layers 0-0.05; 0.05-0.10; 0.10-0.15; 0.15-0.20 and 0.20-0.30 m. The yields of soybean (2005/2006), corn (2006/2007), wheat (2007) and soybean (2007/2008) were evaluated. Soil acidity in the subsurface did not affect crop yield when the acidity in the layer from 0-0.10 m was at levels for which lime application is not recommended, according to CQFSRS/SC (2004). Lime incorporation through plowing was the most efficient way of correcting acidity at deeper levels.

Microbial alterations of the soil influenced by induced compaction

Compaction is one of the most destructive factors of soil quality, however the effects on the microbial community and enzyme activity have not been investigated in detail so far. The objective of this study was to evaluate the effects of soil compaction caused by the traffic of agricultural machines on the soil microbial community and its enzyme activity. Six compaction levels were induced by tractors with different weights driving over a Eutrustox soil and the final density was measured. Soil samples were collected after corn from the layers 0-0.10 and 0.10-0.20 m. The compaction effect on all studied properties was evident. Total bacteria counts were reduced significantly (by 22-30 %) and by 38-41 % of nitrifying bacteria in the soil with highest bulk density compared to the control. On the other hand, fungi populations increased 55-86 % and denitrifying bacteria 49-53 %. Dehydrogenase activity decreased 20-34 %, urease 44-46 % and phosphatase 26-28 %. The organic matter content and soil pH decreased more in the 0-0.10 than in the 0.10-0.20 m layer and possibly influenced the reduction of the microbial counts, except denitrifying bacteria, and all enzyme activities, except urease. Results indicated that soil compaction influences the community of aerobic microorganisms and their activity. This effect can alter nutrient cycling and reduce crop yields.

Response of irrigated wheat cultivars to different nitrogen rates and sources

High wheat yields require good N fertilization management. The objective of this study was to evaluate the effects of different N applications at sowing using Entec (N source with nitrification inhibitor) and urea (traditional N source) at covering, on four wheat cultivars. The experiment was conducted in a randomized block design in a factorial scheme, with four replications, at the Experimental Station of the Faculdade de Engenharia de Ilha Solteira - UNESP, on a dystrophic, epi-eutrophic alic Red Latosol with loamy texture, formerly under savannah vegetation. Four N rates (0, 60, 120, and 180 kg ha-1) were tested, applied at sowing in the case of Entec and top-dressed 40 days after plant emergence in the case of urea, and the four wheat cultivars E 21, E 22, E 42, and IAC 370. The yield of the wheat cultivars E 21 and E 42 was highest. Plant height and lodging index of cultivar E 22 were greatest, with consequently lowest grain yield. There was no significant difference between Entec (applied at sowing) and urea (top-dressed) in terms of grain yield and yield components. Nevertheless, urea resulted in a higher N leaf content, and Entec in a larger number of undeveloped spikelets. High nitrogen rates influenced the hectoliter mass negatively, affecting wheat grain quality. Grain yield increased under N rates of up to 82 kg ha-1 N, through Entec applied at sowing or top-dressed urea.

Environmental and agricultural benefits of a management system designed for sandy loam soils of the humid tropics

A sustainable management of soils with low natural fertility on family farms in the humid tropics is a great challenge and overcoming it would be an enormous benefit for the environment and the farmers. The objective of this study was to assess the environmental and agronomic benefits of alley cropping, based on the evaluation of C sequestration, soil quality indicators, and corn yields. Combinations of four legumes were used in alley cropping systems in the following treatments: Clitoria fairchildiana + Cajanus cajan; Acacia mangium + Cajanus cajan; Leucaena leucocephala + Cajanus cajan; Clitoria fairchildiana + Leucaena leucocephala; Leucaena leucocephala + Acacia mangium and a control. Corn was used as a cash crop. The C content was determined in the different compartments of soil organic matter, CEC, available P, base saturation, percentage of water saturation, the period of the root hospitality factor below the critical level and corn yield. It was concluded that alley cropping could substitute the slash and burn system in the humid tropics. The main environmental benefit of alley cropping is the maintenance of a dynamic equilibrium between C input and output that could sustain up to 10 Mg ha-1 of C in the litter layer, decreasing atmospheric CO2 levels. Alley cropping is also beneficial from the agricultural point of view, because it increases base saturation and decreases physical resistance to root penetration in the soil layer 0 - 10 cm, which ensures the increase and sustainability of corn yield.

Spatial variability of soil chemical properties after coffee tree removal

Assessing the spatial variability of soil chemical properties has become an important aspect of soil management strategies with a view to higher crop yields with minimal environmental degradation. This study was carried out at the Centro Experimental of the Instituto Agronomico, in Campinas, São Paulo, Brazil. The aim was to characterize the spatial variability of chemical properties of a Rhodic Hapludox on a recently bulldozer-cleaned area after over 30 years of coffee cultivation. Soil samples were collected in a 20 x 20 m grid with 36 sampling points across a 1 ha area in the layers 0.0-0.2 and 0.2-0.4 m to measure the following chemical properties: pH, organic matter, K+, P, Ca2+, Mg2+, potential acidity, NH4-N, and NO3-N. Descriptive statistics were applied to assess the central tendency and dispersion moments. Geostatistical methods were applied to evaluate and to model the spatial variability of variables by calculating semivariograms and kriging interpolation. Spatial dependence patterns defined by spherical model adjusted semivariograms were made for all cited soil properties. Moderate to strong degrees of spatial dependence were found between 31 and 60 m. It was still possible to map soil spatial variability properties in the layers 0-20 cm and 20-40 cm after plant removal with bulldozers.

Cobalt and molybdenum concentrated suspension for soybean seed treatment

The concentrated suspension (CS), the basis of Mo trioxide, allows high Mo concentrations and is therefore a technical advance for seed treatment, since it allows the recommendation of the Mo at lower dosage than with the liquid solution formulations (LS). The purpose of this research was to evaluate the efficiency and doses of fertilizer with Mo and Co in concentrated suspension in comparison with liquid solution as well as fertilizers associated with phytohormones, applied in seed treatments, and their effect on soybean yield. Two experiments were carried out in the growing seasons of 2004/2005 and 2005/2006 at the Universidade Federal de Uberlandia (UFU).The first was conducted in an experimental area on the Fazenda Capim Branco, with six treatments and four replications: (1) Mo and Co (CS) - 22 g ha-1 + 1.08 g ha-1; (2) Mo and Co (CS) - 22 g ha-1 + + 1.08 g ha-1 + phytohormone -200 mL ha-1; 3) Mo and Co (LS), 20.7 g ha-1 + 4.13 g ha-1; 4) Mo and Co (LS), 20.7 g ha-1 + 4.13 g ha-1 + phytohormone -200 mL ha-1; (5) + control phytohormone-200 mL ha-1; and (6) control (free of Mo and Co in the seed treatment). The phytohormone consisted of: auxin (11 mg L-1) and cytokynin (0.031 mg L-1). The soybean cultivar Monsoy 8004 was used and a fertilization of 400 kg ha-1 of 02-20-20 NPK fertilizer was applied at sowing. Based on the results of the first experiment, the second was conducted on the Fazenda Floresta do Lobo, in Uberlândia, MG, evaluated in a randomized block design with nine treatments and four replications. The treatments consisted of Mo and Co (g ha-1) doses applied to soybean seeds, as CS formulation (15, 25, 35, 45, 60 and 0.74; 1.23; 1.72; 2.21; 2.95) and LS- (15; 20; 25 and 3.18; 4.25; 5.31), respectively, and the control (free of Mo and Co in the seed treatment). The variety Monarch was used, fertilized with 300 kg ha-1 of NPK fertilizer (03-32-06) at sowing; and 78 kg ha-1 (K2O) in topdressing 30 days after soybean emergence. The Mo and Co doses in the seed treatment with LS and CS resulted in higher soybean yields than in the control, from 20 g ha-1 Mo and 4.25 g ha-1 Co in liquid solution and 35 g ha-1Mo and 1.72 g ha-1 Co in the concentrated suspension.

Spatial and temporal variability of crop yield and some Rhodic Hapludox properties under no-tillage

Soil properties are closely related with crop production and spite of the measures implemented, spatial variation has been repeatedly observed and described. Identifying and describing spatial variations of soil properties and their effects on crop yield can be a powerful decision-making tool in specific land management systems. The objective of this research was to characterize the spatial and temporal variations in crop yield and chemical and physical properties of a Rhodic Hapludox soil under no-tillage. The studied area of 3.42 ha had been cultivated since 1985 under no-tillage crop rotation in summer and winter. Yield and soil property were sampled in a regular 10 x 10 m grid, with 302 sample points. Yields of several crops were analyzed (soybean, maize, triticale, hyacinth bean and castor bean) as well as soil chemical (pH, Soil Organic Matter (SOM), P, Ca2+, Mg2+, H + Al, B, Fe, Mn, Zn, CEC, sum of bases (SB), and base saturation (V %)) and soil physical properties (saturated hydraulic conductivity, texture, density, total porosity, and mechanical penetration resistance). Data were analyzed using geostatistical analysis procedures and maps based on interpolation by kriging. Great variation in crop yields was observed in the years evaluated. The yield values in the Northern region of the study area were high in some years. Crop yields and some physical and soil chemical properties were spatially correlated.

Flooded rice yield as affected by levels of water salinity in different stages of its cycle

Losses of productivity of flooded rice in the State of Rio Grande do Sul, Brazil, may occur in the Coastal Plains and in the Southern region due to the use of saline water from coastal rivers, ponds and the Laguna dos Patos lagoon, and the sensibility of the plants are variable according to its stage of development. The purpose of this research was to evaluate the production of rice grains and its components, spikelet sterility and the phenological development of rice at different levels of salinity in different periods of its cycle. The experiment was conducted in a greenhouse, in pots filled with 11 dm³ of an Albaqualf. The levels of salinity were 0.3 (control), 0.75, 1.5, 3.0 and 4.5 dS m-1 kept in the water layer by adding a salt solution of sodium chloride, except for the control, in different periods of rice development: tillering initiation to panicle initiation; tillering initiation to full flowering; tillering initiation to physiological maturity; panicle initiation to full flowering; panicle initiation to physiological maturity and full flowering to physiological maturity. The number of panicles per pot, the number of spikelets per panicle, the 1,000-kernel weight, the spikelet sterility, the grain yield and phenology were evaluated. All characteristics were negatively affected, in a quadratic manner, with increased salinity in all periods of rice development. Among the yield components evaluated, the one most closely related to grain yields of rice was the spikelet sterility.