Business Organization and Coordination in Marketing Specialty Hogs: A Comparative Analysis of Two Firms from Iowa, November 2005

We study business organization and coordination of specialty-market hog production using a comparative analysis of two Iowa pork niche-marketing firms. We describe and analyze each firms management of five key organizational challenges: planning and logistics, quality assurance, process verication and management of �credence attributes,� business structure, and profit sharing. Although each firm is engaged in essentially the same activity, there are substantial differences across the two firms in the way production and marketing are coordinated. These differences are partly explained by the relative size and age of each firm, thus highlighting the importance of organizational evolution in agricultural markets, but are also partly the result of a formal organizational separation between marketing and production activities in one of the firm.

Business Sphere, Vol. 19, no.2

The first commercial quantities of a soybean oil with about three percent linolenic acid oil were produced in Iowa in 1994 through a collaboration with Pioneer Hi-Bred International, Inc. Continued to breed new soybean varieties with a focus on a even lower linolenic acid content of one percent. I was interested in understanding whether the oil would be stable enough to eliminate the need for chemical hydrogenation. During the process of increasing one percent linolenic acid seed varieties to obtain oil for testing, the Food and Drug Administration announced it would require labeling for trans fat beginning in 2006. Instead of using the seed of the new varieties to obtain oil for testing, it was used for further seed production so that commercial quantities of the one percent linolenic acid oil could be available as quickly as possible.