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The Impact Of Marketing Advisory Service Recommendations On Producers' Marketing Decisions

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Author Info
Pennings, Joost M.E.
Isengildina, Olga
Irwin, Scott H.
Good, Darrel L.

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Abstract

To date, there is only fragmented and anecdotal information about the impact of the recommendations of market advisory services (MAS) on producers'’ decision-making. A conceptual framework is developed in which, among others, producers’' risk attitudes and risk perceptions; producers’' perceptions about MAS performance and delivery; and match between the MAS and the producer’s' marketing philosophy are hypothesized to influence the impact of MAS on producers’' marketing decisions. Data from 656 U.S. producers were used and the impact of MAS on producers'’ marketing decisions was tested using an ordered probit model. The empirical results reveal that not only the perceived MAS performance, but also the way in which MAS recommendations are delivered, and the match between MAS and producer'’s marketing philosophy are important factors explaining the impact of MAS recommendations.

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Publisher Info
Paper provided by American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association) in its series 2004 Annual meeting, August 1-4, Denver, CO with number 20389.

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Date of creation: 2004
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Handle: RePEc:ags:aaea04:20389

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Keywords: Marketing;

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  1. Good, Darrel L. & Martines-Filho, Joao & Irwin, Scott H., 2002. "The Pricing Performance Of Market Advisory Services In Corn And Soybeans Over 1995-2000," AgMAS Project Research Reports 14784, University of Illinois at Urbana-Champaign, Department of Agricultural and Consumer Economics. [Downloadable!]
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  2. Meyer, Jack & Rasche, Robert H, 1992. "Sufficient Conditions for Expected Utility to Imply Mean-Standard Deviation Rankings: Empirical Evidence Concerning the Location and Scale Condition," Economic Journal, Royal Economic Society, vol. 102(410), pages 91-106, January. [Downloadable!] (restricted)
  3. John Freebairn & Bill Griffiths, 2006. "Introduction," The Economic Record, The Economic Society of Australia, vol. 82(s1), pages S1-S1, 09. [Downloadable!] (restricted)
  4. Grossman, Sanford J & Kihlstrom, Richard E & Mirman, Leonard J, 1977. "A Bayesian Approach to the Production of Information and Learning by Doing," Review of Economic Studies, Blackwell Publishing, vol. 44(3), pages 533-47, October. [Downloadable!] (restricted)
  5. Coble, Keith H. & Heifner, Richard G. & Zuniga, Manuel, 2000. "Implications Of Crop Yield And Revenue Insurance For Producer Hedging," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 25(02), December. [Downloadable!]
  6. Stoneman, P, 1981. "Intra-Firm Diffusion, Bayesian Learning and Profitability," Economic Journal, Royal Economic Society, vol. 91(362), pages 375-88, June. [Downloadable!] (restricted)
  7. Jensen, Richard, 1982. "Adoption and diffusion of an innovation of uncertain profitability," Journal of Economic Theory, Elsevier, vol. 27(1), pages 182-193, June. [Downloadable!] (restricted)
  8. Martines-Filho, Joao & Good, Darrel L. & Irwin, Scott H., 2001. "1999 Pricing Performance Of Market Advisory Servives For Wheat," AgMAS Project Research Reports 14788, University of Illinois at Urbana-Champaign, Department of Agricultural and Consumer Economics. [Downloadable!]
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