CHOICES

CHOICES

A publication of AAEA

A publication of AAEA
Fundamental Forces Affecting Agribusiness Industries

Fundamental Forces Affecting Agribusiness Industries

Theme Overview: Fundamental Forces Affecting Agribusiness Industries, Part II

Kent Olson and Mike Boehlje
Agribusiness industries are facing numerous challenges and opportunities resulting from various fundamental forces. This is the second in a two part series of articles discussing these forces creating change in the agribusiness industries, and how companies and decision-makers are being affected by, and adapting to, them.

Healthy Competition in the Animal Health Industry

Brian L. Buhr, Derald Holtkamp, and Steve Sornsen
Production animal health is driven by innovation through capital intensive research and development. Sophisticated treatments mean these firms increasingly partner throughout the meat supply chain as knowledge providers as well as product suppliers. Societal goals for methods of production will increasingly join innovation as a key driver of the sector.

Fundamental Forces Affecting Livestock Producers

John D. Lawrence and James R. Mintert
Porterís Five Forces, plus technology and drivers of change, are used to analyze the U.S. livestock sector. Key animal agriculture issues are expected to be: 1) consumer demand in domestic vs. international markets; 2) cost competitiveness; 3) product differentiation; and 4) driving forces from regulations, retailer decisions, or activistís movements.

U.S. Meatpacking: Dynamic Forces of Change in a Mature Industry

Brian L. Buhr and Bruce Ginn
Meatpacking is traditionally defined as the process of converting live animals to meat products. Todayís meatpackers operate in every part of the meat chain from animal genetics to complete meals. Porterís Five Forces are used to frame the dynamic forces confronting this mature industry facing global economic and social changes.

Impacts of Product Differentiation on the Crop Input Supply Industry

Mark Krause
Product differentiation is the main form of rivalry in the seed, pesticide, and farm machinery portions of the crop input supply industry. Product differentiation increases market share and profitability of the companies that produce the highest performing crop inputs. Technology and regulation may expand or restrict opportunities to differentiate.