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Understanding Ornamental Plant Market Shares to Rewholesaler, Retailer, and Landscaper Channels

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  • Hinson, Roger A.
  • Paudel, Krishna P.
  • Velastegui, Marco

Abstract

Market channel alternatives that include garden centers, landscapers, mass merchandisers, and rewholesalers have contributed to the growth of ornamental crops sales in the United States. The impact of growers’ business characteristics on shares of sales to these channels by firm size was estimated using the two-limit Tobit model. Important explanatory variables were regions of the United States, sales of plant groups, kinds of contract sales, and channel diversity. There were important differences in behavior by grower size. Overall, the results indicate a stronger than expected role for the rewholesaler channel as a preferred channel for ornamental plant sales.

Suggested Citation

  • Hinson, Roger A. & Paudel, Krishna P. & Velastegui, Marco, 2012. "Understanding Ornamental Plant Market Shares to Rewholesaler, Retailer, and Landscaper Channels," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 44(2), pages 1-17, May.
    • Handle: RePEc:ags:joaaec:123782
    DOI: 10.22004/ag.econ.123782
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    References listed on IDEAS

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    1. Papke, Leslie E & Wooldridge, Jeffrey M, 1996. "Econometric Methods for Fractional Response Variables with an Application to 401(K) Plan Participation Rates," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 11(6), pages 619-632, Nov.-Dec..
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    1. Pandit, Mahesh & Paudel, Krishna P. & Hinson, Roger A., 2013. "Market Channel Analysis of Ornamental Plants using Clustering Procedures," 2013 Annual Meeting, February 2-5, 2013, Orlando, Florida 143067, Southern Agricultural Economics Association.
    2. Pandit, Mahesh & Paudel, Krishna P. & Hinson, Roger A., 2012. "Intensity of Integrated Pest Management (IPM) Practices Adoption by U.S. Nursery Crop Producers," 2012 Annual Meeting, August 12-14, 2012, Seattle, Washington 124942, Agricultural and Applied Economics Association.
    3. Xu, Wan & Khachatryan, Hayk, 2015. "The Role of Integrated Pest Management Practices in the U.S. Nursery Industry: A Bayesian Hierarchical Poisson Approach," 2015 Annual Meeting, January 31-February 3, 2015, Atlanta, Georgia 196808, Southern Agricultural Economics Association.
    4. Jin, Lu & Wohlgenant, Michael K. & Safley, Charles D., 2013. "Impact of Income and Different Generation Cohorts on Nursery Products and Landscaping Project Spending," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 45(1), pages 1-13, February.
    5. Pandit, Mahesh & Paudel, Krishna P. & Hinson, Roger A., 2013. "Irrigation Water Sources And Irrigation Application Methods Used By U.S. Nursery Producers," 2013 Annual Meeting, February 2-5, 2013, Orlando, Florida 143058, Southern Agricultural Economics Association.
    6. Xuan Wei & Hayk Khachatryan & Alan Hodges & Charlie Hall & Marco Palma & Ariana Torres & Robin Brumfield, 2023. "Exploring market choices in the US ornamental horticulture industry," Agribusiness, John Wiley & Sons, Ltd., vol. 39(1), pages 65-109, January.

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    Keywords

    Marketing;

    JEL classification:

    • M31 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Marketing and Advertising - - - Marketing
    • L14 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Transactional Relationships; Contracts and Reputation

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