An Assessment of Market Strategies for Small-scale Produce Growers
Document Type
Article
Journal/Book Title/Conference
International Food and Agribusiness Management Review
Volume
17
Issue
3
Publication Date
2014
First Page
187
Last Page
204
Abstract
This study examines marketing strategies for small-scale producers by comparing the risk and return properties of direct (farmers’ markets) and wholesale marketing channels. Farmers’ market prices for fresh produce were collected at sixteen markets in Utah and Colorado. San Francisco terminal market prices were used to represent wholesale prices. A simulation model combined price, yield, and market risk to construct probability distribution functions showing the likelihood of differing levels of profit for eleven marketing options. The results show that riskaverse producers prefer a combination of channels (40% direct/60% wholesale), while risk neutral producers prefer to market exclusively through farmers’ markets.
Recommended Citation
Kim, Man-Keun; Curtis, Kynda R.; and Yeager, Irvin, "An Assessment of Market Strategies for Small-scale Produce Growers" (2014). Applied Economics Faculty Publications. Paper 1256.
https://digitalcommons.usu.edu/appecon_facpub/1256