Policy Impact Analysis in the Dairy Sector ˗ An Agent-Based Real Options Approach ˗

Agricultural and Food Policy, Livestock Production/Industries,

Internationalization Strategies in the German Dairy Industry and their Influence on the Economic Performance of Firms

Growing  milk  production,  stagnating  domestic  consumption  and  ongoing  liberalization  of  the  worldwide  milk  market  have  led  to  increasing  exports  of  milk  and  milk  products  out  of  Germany.  This  situation  heightens competition amongst German dairies for market share on foreign markets. The German dairy industry, which  comprises of some international corporations and many medium sized companies, including both cooperatives and  privately owned companies, therefore has to find strategies with which to compete successfully on international  markets. This study analyzes the German dairy industry comparing different internationalization strategies and their  influence on the firms’ economic success. 18 German dairy companies have been analyzed. We identified different  internationalization strategies with reference to Perlmutter’s EPRG model. To measure economic success, we  analyzed annual reports from the dairy companies observed over the years 2010 to 2017 and so calculated different  key figures. The influence of different internationalization strategies on economic success is analyzed by a Hausman  Taylor estimation where the EBIT‐margin is the dependent variable in our model, representing economic success.  We found that German dairy industry companies do pursue different internationalisation strategies and that these  have different influences on the companies’ economic success

Internationalization Strategies in the German Dairy Industry and their Influence on the Economic Performance of Firms

Growing  milk  production,  stagnating  domestic  consumption  and  ongoing  liberalization  of  the  worldwide  milk  market  have  led  to  increasing  exports  of  milk  and  milk  products  out  of  Germany.  This  situation  heightens competition amongst German dairies for market share on foreign markets. The German dairy industry, which  comprises of some international corporations and many medium sized companies, including both cooperatives and  privately owned companies, therefore has to find strategies with which to compete successfully on international  markets. This study analyzes the German dairy industry comparing different internationalization strategies and their  influence on the firms’ economic success. 18 German dairy companies have been analyzed. We identified different  internationalization strategies with reference to Perlmutter’s EPRG model. To measure economic success, we  analyzed annual reports from the dairy companies observed over the years 2010 to 2017 and so calculated different  key figures. The influence of different internationalization strategies on economic success is analyzed by a Hausman  Taylor estimation where the EBIT‐margin is the dependent variable in our model, representing economic success.  We found that German dairy industry companies do pursue different internationalisation strategies and that these  have different influences on the companies’ economic success

Modeling the multi-functionality of African savanna landscapes under global change

Various recent publications have indicated that accelerated global change and its negative impacts on terrestrial ecosystems in Southern Africa urgently demand quantitative assessment and modelling of a range of ecosystem services on which rural communities depend. Information is needed on how these Ecosystem Services (ES) can be enhanced through sustainable land management interventions and enabling policies. Yet, it has also been claimed that, to date, the required system analyses, data and tools to quantify important interactions between biophysical and socio-economic components, their resilience and ability to contribute to livelihood needs do not exist. We disagree, but acknowledge that building an appropriate integrative modelling framework for assessing the multi-functionality of savanna landscapes is challenging. Yet, in this Letter-to-the-Editor, we show that a number of suitable modelling components and required data already exist and can be mobilized and integrated with emerging data and tools to provide answers to problem-driven questions posed by stakeholders on land management and policy issues.German Federal Ministry of Education and Researchhttps://onlinelibrary.wiley.com/journal/1099145xhj2022Zoology and Entomolog

Abstracts from the 8th International Conference on cGMP Generators, Effectors and Therapeutic Implications

This work was supported by a restricted research grant of Bayer AG

Investment, disinvestment and policy impact analysis in the dairy sector

Due to strong changes in general economic conditions and increasing market volatility, a higher level of investments and disinvestments in the dairy sector can be observed. Therefore, the simultaneous analysis of firms’ investment and disinvestment decisions under consideration of uncertainty and market interventions is of high relevance. In this paper, a flexible real options market model is applied to the German dairy sector. The model considers disinvestment besides investment options and, moreover, allows the integration and assessment of different market interventions that are relevant to the dairy sector. According to the results, production ceilings and investment subsidies are preferable to price floors because the welfare is less reduced for a given stimulation of the willingness to invest. Moreover, it is shown that not considering disinvestment options, which in reality often exist, can lead to incorrect valuations of investment strategies at firm level and incorrect policy impact analyses at macroeconomic level