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Factors Associated with the Selection of Cooperative vs. Proprietary Handlers of Milk in Tennessee

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  • Jensen, Kimberly L.

Abstract

Factors that influenced the decision by dairy farmers to select cooperatives milk handlers versus proprietary handlers were examined. In a 1989 survey, Tennessee dairy farmers were asked to indicate reasons that influenced their choice of milk handler, such as better price, an assured market, and better service. Characteristics of the dairy farmers were then compared between those who selected a specific reason and those who did not. Better service and an assured market were the most often cited reasons by cooperative members, and higher price and lower deductions were cited more often by nonmembers. Farmers who cited price as a reason tended to have larger dairy farms, be less diversified, and more indebted than those who did not cite price as a reason. Those who selected service as a reason had more dairying experience and were less indebted than those who did not select service.

Suggested Citation

  • Jensen, Kimberly L., 1990. "Factors Associated with the Selection of Cooperative vs. Proprietary Handlers of Milk in Tennessee," Journal of Agricultural Cooperation, National Council of Farmer Cooperatives, vol. 5, pages 1-9.
    • Handle: RePEc:ags:joagco:46231
    DOI: 10.22004/ag.econ.46231
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    References listed on IDEAS

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    1. Black, William E., 1985. "Understanding The Cooperative Member," North Central Region Archives 303349, North Central Region - North Central Cooperative Extension Association (NCCEA).
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    Cited by:

    1. Marie-Christine Henninger & Valérie Barraud-Didier, 2013. "Complexity of the link between members and cooperatives : a market relation based on social interactions [La complexité du lien adhérent-coopérative. La complexité du lien adhérent-coopérative : un," Post-Print halshs-01377049, HAL.
    2. Li Feng & Anna Friis & Jerker Nilsson, 2016. "Social Capital among Members in Grain Marketing Cooperatives of Different Sizes," Agribusiness, John Wiley & Sons, Ltd., vol. 32(1), pages 113-126, January.
    3. Liu, Y., 2018. "Determinants and impacts of marketing channel choice among cooperatives members: Evidence from agricultural cooperative in China," 2018 Conference, July 28-August 2, 2018, Vancouver, British Columbia 275898, International Association of Agricultural Economists.
    4. Nillson, J. & Hendrikse, G.W.J., 2009. "Gemeinschaft and Gesellschaft in Cooperatives," ERIM Report Series Research in Management ERS-2009-059-ORG, Erasmus Research Institute of Management (ERIM), ERIM is the joint research institute of the Rotterdam School of Management, Erasmus University and the Erasmus School of Economics (ESE) at Erasmus University Rotterdam.
    5. Misra, Sukant K. & Carley, Dale H. & Fletcher, Stanley M., 1992. "Dairy Farmers' Evaluation of Southern Dairy Cooperatives," WAEA/ WFEA Conference Archive (1929-1995) 321357, Western Agricultural Economics Association.
    6. Peter Österberg & Jerker Nilsson, 2009. "Members' perception of their participation in the governance of cooperatives: the key to trust and commitment in agricultural cooperatives," Agribusiness, John Wiley & Sons, Ltd., vol. 25(2), pages 181-197.
    7. Morfi, Chrysa & Ollila, Petri & Nilsson, Jerker & Surry, Yves & Feng, Li & Karantininis, Konstantinos, 2014. "The switching behaviour of Finnish co-operative members in relation to their commitment and loyalty," 2014 International Congress, August 26-29, 2014, Ljubljana, Slovenia 182774, European Association of Agricultural Economists.
    8. Viergutz, Tim & Schulze-Ehlers, Birgit, 2016. "The Spatiotemporal Interrelatedness of Farmers’ Switching Decisions," 2016 Annual Meeting, July 31-August 2, Boston, Massachusetts 235882, Agricultural and Applied Economics Association.
    9. Misra, Sukant K. & Carley, Dale H. & Fletcher, Stanley M., 1993. "Factors Influencing Southern Dairy Farmers' Choice Of Milk Handlers," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 25(1), pages 1-11, July.
    10. Viergutz, Tim & Schulze-Ehlers, Birgit, 2018. "Member Commitment and Switching Decisions in Dairy Cooperatives – A Factorial Survey," 2018 International European Forum (163rd EAAE Seminar), February 5-9, 2018, Innsbruck-Igls, Austria 276864, International European Forum on System Dynamics and Innovation in Food Networks.
    11. Munch, Daniel M. & Schmit, Todd M. & Severson, Roberta M., 2020. "A Descriptive Analysis of Milk Pricing Attribute Values for Cooperative and Independent Milk Handlers in New York State," Journal of Cooperatives, NCERA-210, vol. 35.

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