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Strategic focus areas and emerging trade arrangements in the South African agricultural industry since the demise of the marketing boards

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  • Doyer, Ockert T.
  • D'Haese, Marijke F.C.
  • Kirsten, Johann F.
  • van Rooyen, C.J.

Abstract

This paper investigates the responses of agribusiness managers to drastic changes in the policy and marketing environment of South African agriculture. The process of deregulation and liberalisation of agricultural markets exposed agribusiness managers to international trends, which required new institutions and relationships. Based on a survey conducted among business managers, we explored emerging growth strategies, strategic focus areas and coordination preferences. Results suggest that managers prefer a growth strategy based on market penetration and market development. Important strategic drivers are value-adding and power drive. Managers expressed their preference for increased coordination and cooperation resulting in relation-based contracts and equity-based alliances.

Suggested Citation

  • Doyer, Ockert T. & D'Haese, Marijke F.C. & Kirsten, Johann F. & van Rooyen, C.J., 2007. "Strategic focus areas and emerging trade arrangements in the South African agricultural industry since the demise of the marketing boards," Agrekon, Agricultural Economics Association of South Africa (AEASA), vol. 46(4), pages 1-20, December.
    • Handle: RePEc:ags:agreko:7052
    DOI: 10.22004/ag.econ.7052
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    References listed on IDEAS

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    1. Johann Kirsten & Julian May & Sheryl Hendriks & Charles L. Machethe & Cecelia Punt & Mike Lyne, 2007. "South Africa," Chapters, in: Fabrizio Bresciani & Alberto Valdés (ed.), Beyond Food Production, chapter 8, Edward Elgar Publishing.
      • Liebenberg, Frikkie & Beintema, Nienke M. & Kirsten, Johann F., 2004. "South Africa," ASTI country briefs 14, International Food Policy Research Institute (IFPRI).
    2. Ortmann, Gerald F., 2000. "Promoting competitiveness in South African agriculture and agribusiness: The role of institutions," Agrekon, Agricultural Economics Association of South Africa (AEASA), vol. 39(4), pages 1-33, March.
    3. Stanton, Julie V., 2000. "The Role Of Agribusiness In Development: Replacing The Diminished Role Of The Government In Raising Rural Incomes," Journal of Agribusiness, Agricultural Economics Association of Georgia, vol. 18(2), pages 1-15.
    4. Linda M. Young & Jill E. Hobbs, 2002. "Vertical Linkages in Agri-Food Supply Chains: Changing Roles for Producers, Commodity Groups, and Government Policy," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 24(2), pages 428-441.
    5. JA Groenewald, 2000. "The Agricultural Marketing Act: A Post ‐ Mortem," South African Journal of Economics, Economic Society of South Africa, vol. 68(3), pages 161-176, September.
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