Agribusiness : An International Journal

Unterschultz, James; Quagrainie, Kwamena K.; Vincent, Michel

doi: 10.1002/(SICI)1520-6297(199709/10)13:5<457::AID-AGR1>3.0.CO;2-5pmid: N/A

This study evaluates the preferences for beef quality and beef origin in the Québec wholesaler/retailer trade and in those restaurants serving or specializing in higher quality beef cuts. Stated preference survey questions, questions that simulate the purchase decision, were asked of managers and owners of beef wholesalers/retailers and restaurateurs in the Montréal and Québec city areas. If given a choice of Alberta beef or US beef, restaurateurs will choose Alberta beef. Wholesalers/retailers are less sensitive to price than are the restaurateurs. Beef from the United States is not preferred to Alberta beef but US beef is preferred to local Québec beef supplies. © 1997 John Wiley & Sons, Inc.

Chung, Chanjin; Buhr, Brian L.

doi: 10.1002/(SICI)1520-6297(199709/10)13:5<469::AID-AGR2>3.0.CO;2-4pmid: N/A

Introduction of biotechnologically modified soybeans will have significant impacts on the US soybean and associated industries. However, technical trade‐offs of yield and quality attributes make it difficult to determine which modifications offer the highest potential pay‐off and warrant the greatest emphasis in research, development, and, ultimately, market development. In this study, attention is focused on soybeans with modified protein and amino acid compositions where the primary end‐use is livestock feed. A generalized dynamic simulation model combining a linear programming model and an econometric model allows for market interactions between soybean and soy‐product industries, the livestock industry, and other closely related crop sectors. Results suggest all selected new soybeans promise significant welfare gains. © 1997 John Wiley & Sons, Inc.

Katz, Jeffrey P.

doi: 10.1002/(SICI)1520-6297(199709/10)13:5<483::AID-AGR3>3.0.CO;2-2pmid: N/A

This study examines the role owners and managers play in affecting the strategic choices and performance of agribusiness firms, specifically user‐owned agribusiness cooperatives. The results of a nationwide survey indicate that firm ownership plays a key role in determining strategies employed by agribusiness firms. Competitive strategies of cooperatives and investor‐owned firms are identified. The evidence indicates that firm performance is affected by the influence owners have over the strategies available to the firm. © 1997 John Wiley & Sons, Inc.

Preckel, Paul V.; Akridge, Jay T.; Boland, Michael A.

doi: 10.1002/(SICI)1520-6297(199709/10)13:5<497::AID-AGR4>3.0.CO;2-1pmid: N/A

An application of tests of economically rational behavior by fertilizer retailers is presented. Tests are developed to measure efficiency of variable cost minimization, revenue maximization, and profit maximization. These tests include standard linear programming‐based nonparametric efficiency tests and simpler but less conclusive tests which are performed using only simple arithmetic. Results indicate that fertilizer retailers act as variable cost minimizers, but not as revenue and profit maximizers. Additional tests isolate whether inefficiency in cost minimization is due to a perception of variable input fixity. Management can then take steps to focus efforts on input control. © 1997 John Wiley & Sons, Inc.

Herrmann, Robert O.; Warland, Rex H.; Sterngold, Arthur

doi: 10.1002/(SICI)1520-6297(199709/10)13:5<511::AID-AGR5>3.0.CO;2-9pmid: N/A

The 1989 Alar crisis developed in the wake of television news reports on the dangers to children from consuming apples treated with Alar. These hazards received extensive media coverage over the following five months. This study investigated public reaction to the crisis. Awareness of the crisis was more common among older adults, those with more formal education, and those who reported more frequent television news viewing. Those who were aware of the crisis and reduced their use of apples and apple products had a different set of characteristics. Reduced use was more common among females, those 50 and under, and non‐Whites. Reductions were not, however, more common among those who reported frequent television news viewing. © 1997 John Wiley & Sons, Inc.

Fuller, S.; Gillis, M.; Parnell, C.; Ramaiyer, A.; Childers, R.

doi: 10.1002/(SICI)1520-6297(199709/10)13:5<521::AID-AGR6>3.0.CO;2-8pmid: N/A

The Federal Clean Air Act (FCAA) amendments of 1990 strengthened air pollution regulation as it affects stationary sources such as cotton gins. The primary objective of this study is to determine likely success/failure rates for Texas gin plants that would result from introducing air pollution controls. Simulation analysis is carried out with firm financial models. The analysis projects many of the small and mid‐size gin plant firms that operate at relatively low volume levels to be financially unsuccessful ex ante investment in air pollution controls. As expected, the introduction of air pollution control lowers the likelihood of firm success, but, the unfavorable effect of these required investments is less pronounced among larger gin plant firms and plants that operate at high capacity levels. Results suggest the introduction of air pollution controls will accelerate the trend toward fewer and larger gin plant firms, and in order to survive, many Texas firms will find it necessary to merge/consolidate. © 1997 John Wiley & Sons, Inc.

Thompson, Gary D.; Wilson, Paul N.

doi: 10.1002/(SICI)1520-6297(199709/10)13:5<533::AID-AGR7>3.0.CO;2-7pmid: N/A

Primary data collected from grower‐shippers of fresh tomatoes in California, Florida, and Mexico reveal considerable heterogeneity among firms. Many firms which are extending their shipping seasons outside traditional seasons must have access to land in diverse geographic areas through ownership and contracts. Besides attempting to be low‐cost producers, some firms compete by differentiating their products. The extended shelf life tomato from Mexico is one such differentiated product which has garnered higher FOB prices relative to Florida tomatoes. The implications of heterogeneous firms for trade disputes have not been considered in recent deliberations concerning Florida‐ and Mexico‐based tomato growers. © 1997 John Wiley & Sons, Inc.

Ahmadi‐Esfahani, Fredoun Z.; Stanmore, Roland G.

doi: 10.1002/(SICI)1520-6297(199709/10)13:5<549::AID-AGR8>3.0.CO;2-6pmid: N/A

Reforms in Chinese food markets have given consumers greater freedom and choices in their consumption decisions. An LA/AIDS model is applied to wholesale market data for vegetables to measure price sensitivity in an open market. The data set from 1988 to 1994 is divided into two periods to analyze how vegetable consumption is responding to the reforms. Chinese consumers are found to be more price responsive in the latter period, implying that they are taking advantage of the increased competition in the market. © 1997 John Wiley & Sons, Inc.