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Net Gains from 'Net Purchases? Farmers' Preferences for Online and Local Input Purchases

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Author Info
Batte, Marvin T.
Ernst, Stan
Abstract

E-commerce represents both threats to and opportunities for rural communities. This study addresses one element of the issue: farmers' willingness to substitute online merchants or national farm input stores for local businesses. Results of a conjoint analysis of contingent choice experiments suggest that farmers are willing to purchase from online or national stores outside their communities if compensated with lower prices or greater services. Results also demonstrate that the context of the input purchase, such as time constraints, was very important not only in valuing these services, but, more broadly, in terms of the farmer's loyalty to a local merchant.

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File URL: http://purl.umn.edu/10154
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Publisher Info
Article provided by Northeastern Agricultural and Resource Economics Association in its journal Agricultural and Resource Economics Review.

Volume (Year): 36 (2007)
Issue (Month): 1 (April)
Pages:
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Handle: RePEc:ags:arerjl:10154

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Related research
Keywords: e-commerce; farm input purchase; willingness to pay; contingent choice; rural communities; Farm Management; Marketing;

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  1. Leroux, Nicole & Wortman, Max S., Jr. & Mathias, Eric D., 2001. "Dominant Factors Impacting The Development Of Business-To-Business (B2b) E-Commerce In Agriculture," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association (IAMA), vol. 4(02). [Downloadable!]
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This page was last updated on 2009-12-11.


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