SUPPLY MANAGEMENT PROGRAM ALTERNATIVES FOR THE TART CHERRY INDUSTRY

Two interrelated supply problems facing the tart cherry industry are long-run cyclical patterns in industry productive capacity and substantial annual supply fluctuations. Following the termination of a federal marketing order in effect for 14 years, the industry has considered a number of other supply management options. None have been adopted on a broad industry basis. Recent proposals involved formation of a multi-state supply management cooperative and use of a state marketing order in Michigan. Annual supply management alternatives include reserve pool, market allocation, and non-harvest. An orchard removal incentive program was proposed to reduce industry productive capacity.Agribusiness,

FOCUS GROUPS AS A USEFUL APPROACH TO AGRIBUSINESS RESEARCH

As the agricultural economics profession increasingly strives to find relevant and useful approaches for addressing a broad array of research questions, particularly in terms of agribusiness research, there will be a growing need to adopt a wide set of research methods and methodologies. Historical research strategies typically emphasized by agricultural economists have focused primarily on surveys, archival/secondary data and econometrics. However, these approaches are, at times, limited in their applicability and scope relative to some of the research questions that have the greatest priority for agribusiness researchers and their clientele. Some of the research methods now being more widely used by agribusiness-oriented agricultural economists are more qualitative, as is already evident with a growing acceptance of case studies within the profession. This paper discusses an additional qualitative approach that has substantial potential for agribusiness research focus groups.Agribusiness, Research Methods/ Statistical Methods,

SHOULD IMPORTS FREE-RIDE OR HELP PAY-- DECISIONS ABOUT GENERIC PROMOTION PROGRAMS FOR AGRICULTURAL COMMODITIES

Many U.S. agricultural commodity industries are currently considering if and how they might implement a mandatory national generic promotion program. As U.S. industries consider how to finance these programs, one of the key decisions they face is the choice to include or exempt imported products from promotional assessment fees. Free-riders, unwilling riders, exclusion costs, economies of scale, market share, seasonality of production, storage constraints, and the role of government are reviewed within the context of this choice. The paper concludes that perceptions of fairness and ownership of decision processes, commonly held objectives, and effective communication links are key factors affecting decisions about the structures of generic commodity promotion programs.Marketing,

STRATEGIC PLANNING FOR IMPROVED COMPETITIVENESS BY REGIONAL COMMODITY INDUSTRIES

Agribusiness,

APPLE INDUSTRY STRATEGIC PLANNING AND INTEGRATION WITH UNIVERSITY RESEARCH

Agribusiness,

CUSTOMER PREFERENCES FOR MICHIGAN APPLES: A CASE EXAMPLE OF A MARKET RESEARCH PROGRAM FOR A COMMODITY INDUSTRY

A series of market-research studies on Michigan apples are discussed in this paper. They provide a case example of a continuing program of market research to aid this industry. These include studies on changing preferences, needs, perceptions, practices and buying behavior for major customer segments of this industry, including consumers and grocery retailers, as well as mid-chain customer segments such as shippers and processors. While this market research program includes several component studies, the overall integration of the information from the various component studies is especially important for the development of the industry's marketing strategies. The component studies which comprise the overall market research program to date include the following interrelated phases: 1. An initial survey of apple shippers as key mid-chain firms - emphasizing overview information on customer needs and preferences as well as priorities for needed market research information. 2. A consumer focus group study. 3. A large-sample consumer telephone survey on consumer preferences, behavior and attitudes. 4. Consumer taste tests emphasizing fruit firmness and taste. 5. Consumer visual test regarding purchase preferences for fruit size and color. 6. A survey of consumers using an in-store taste and sampling program. 7. A follow-up survey of shippers that concentrated on apple varieties preferred for current and future markets. 8. A similar survey of apple processors on apple varieties preferred for processed apple markets. 9. A survey of grocery trade customers on their needs and preferences for fresh apples. 10. Integrative analyses comparing and contrasting preference information obtained from the studies listed in 1-9. The market research was done as part of broad-scope industry efforts to analyze, target and develop major strategic directions intended to position the industry for high performance and success in the future. These identified strategic directions have the goal of improving the industry's overall performance, including effectively meeting the needs of their consumer and trade customers in order to improve industry's competitiveness and economic viability. The specific types of information, priority questions and customer targets for each of the component market-research studies were developed in close cooperation with industry leaders and major industry organizations such as the industry's generic promotional commission. The industry has used the information from these market-research studies to develop their evolving strategies to most effectively serve their customer needs and hence to compete in the changing markets for their industry.Consumer/Household Economics,

SUPPLY CHAIN MANAGEMENT: IMPROVING VERTICAL COORDINATION IN FRUIT INDUSTRIES

Agribusiness,

IMPROVING VERTICAL COORDINATION OF AGRICULTURAL INDUSTRIES THROUGH SUPPLY CHAIN MANAGEMENT

Supply chain management is an important topic related to improving efficiency, vertical coordination, overall performance and competitiveness in food industries. Considerable attention has been given to supply chain management as an approach for improving vertical coordination and market performance in both the trade literature and by food economists. Much of this has been primarily from the perspective of grocery retailer-wholesalers, food manufacturers and their suppliers. Supply chain management is also very relevant, with substantial opportunities for improved efficiency and performance, if the perspective is from an agricultural commodity industry. The goal for a commodity industry in this regard is to find ways to enhance their responsiveness to their customers, and ultimately their competitiveness. This can be accomplished when two or more vertical segments together pursue innovative approaches to doing business with emphasis on the vertical linkages that mutually benefit all parties.Industrial Organization,

Strategic Planning Approaches and Concepts: Potentials for Improving Commodity Subsector Performance

Subsector, or industry strategic planning is a potentially useful tool that can be designed to enhance the overall performance and competitiveness of a commodity industry across the industry's inter-dependent vertical segments. Industry strategic planning provides a framework for industry stakeholders to consider future strategic directions and to facilitate needed adjustments and progress on certain issues of common interest. Industry strategic planning is particularly well suited for facilitating efforts by regional and national commodity industries to enhance their competitiveness in today's business setting, including global markets -- a major objective of industries throughout the world. The paper discusses possible relationships between strategic management objectives and the desirability of subsector coordination and performance. It concludes by presenting ten planning components modified to fit the context of a commodity subsector that need to be considered by those involved in the strategic planning process.Agribusiness, Crop Production/Industries, Food Consumption/Nutrition/Food Safety, Production Economics,

A FRAMEWORK FOR EFFECTIVE INDUSTRY STRATEGIC PLANNING

As agricultural commodity industries strategically plan for their future, they need to consider the systemic and synergistic effects of such factors as changing government regulations, demand expansion or contraction, globalized markets, increased competitive pressures, and greater customer quality requirements. This article discusses a framework developed to help industries strategically plan within the context of these dynamic factors. This framework, based upon relevant theory and an accumulation of experiences with this type of strategic planning, provides one possible approach for addressing the strategic needs of an entire industry. In this way, a commodity industry as a whole can identify and address key industrywide strategic issues to maintain and enhance its competitiveness, profitability, or at the very least, its survival in increasingly global markets.framework, industry, strategic planning, Agribusiness,