This chapter discusses how traders in Laos emerge as market integrators in the hand-weaving industry. It presents a profile of the Lao handloom industry, the marketing process and contractual arrangements in the weaving sector, case studies of master weavers, and case studies retailers. It argues that community relations facilitate market integration by deterring agents’ opportunism. This also ensures efficient transactions for the relational contracting system when combined with measures such as process-based trust and governance over the products.
Keywords: traders, market integrators, Laos, hand weaving industry, contractual arrangements, community relations