How agricultural cooperatives facilitate sustainable technology adoption in China: resource access or peer influence?

What the paper says

Purpose The purpose of this study is to investigate the mechanisms through which agricultural cooperatives promote sustainable technology adoption among farmers in rural China, addressing a key gap in the existing literature. Design/methodology/approach This study develops a conceptual framework positing four potential mechanisms: improved access to productive resources and information, and peer influence via learning from others and self-perceived leadership. These hypotheses are tested econometrically using household survey data collected from Western China. A series of robustness checks and mediation analyses are conducted to verify the findings. Findings Results show that cooperative membership is positively associated with sustainable agricultural technology adoption. Mediation analysis indicates that peer learning and self-perceived leadership significantly influence technology adoption, while access to productive resources and information does not. This suggests that in the context of digital transformation in China, peer effects are more influential than traditional resource access. Research limitations/implications Despite of our multifold contribution, the observational nature of our study likely limits the external validity of our findings, and the cross-sectional data may not capture the dynamic relationship between cooperative membership and sustainable technology adoption. These remaining limitations call for future investigations. Originality/value This study advances understanding of the social mechanisms driving agricultural technology adoption. By identifying peer influence, particularly learning and leadership perception, as critical pathways, the findings highlight areas with potential spillover effects, offering valuable insights for policymakers and development practitioners aiming to more effectively foster technology diffusion through cooperatives.